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CEO of Delphia, Andrew Peek, believes that access to proprietary data will give the firm an edge over other algorithmic investors.
According to TechCrunch, the algorithm investor, Delphia, has closed its Series A investment round with $60 million. The round saw participation from crypto heavyweights like Multicoin Capital, Ribbit Capital, and FTX Ventures. Road Capital, FJ Labs, Lattice Ventures, and Cumberland also contributed to the round.
Delphia will use the funds to expand its user base and the way investors can contribute data to its platform. It will provide rewards to data contributors to its mobile applications. Beginning this summer, the data contributors will be rewarded with the firm’s native token. The tokens can then be traded or redeemed to access membership benefits.
Multicoin Capital co-founder, Tushar Jain, added his thoughts to the discourse. “Our thesis is that users will willingly contribute their commerce, device, search and social media data in exchange for tokens,” he said.
Data Contributors Will Improve Trading Algorithms
Delphia offers long-only actively managed investment strategies. With as little as $10, users will gain exposure to a diverse portfolio of individual stock options. Also, the firm offers a hedge fund for accredited investors.
The algorithmic investor plans to use personal data shared by users of its platform to decide investment direction. It will combine the benefits of its algorithmic investing with those of data collected from users. By accessing data about consumer spending, employment patterns, and public opinion, the firm will deliver algorithmic models that will improve investor returns. In this way, Delphia plans to level the playing field between retail and institutional investors.
CEO of Delphia, Andrew Peek, believes that access to proprietary data will give the firm an edge over other algorithmic investors. “At the end of the day, none of us can pick stocks, as well as all of us, can,” Peek noted.
Data DAOs beyond Crypto
Tushar Jain acknowledged that DAOs have provided tools for “managing assets, risk and data.” While many firms have worked with assets and risks, Jain noted that not many have experimented with data. Jain believes that data DAOs have a future that is beyond the crypto industry. “I see data DAOs… competing with the largest data-centric companies in the world.”