The European Commission (EC) and European Investment Fund (EIF) have launched a new investment scheme for artificial intelligence and blockchain in Europe. Starting from 2020, the scheme will make €100 million available to support blockchain-based products and services and artificial intelligence. This is expected to attract a further €300 million from private investors.
The European Investment Fund and European Commission support innovative technologies. The recently announced project will focus on development and growth beyond the research and proof of concept stage. The announcement reads: “For years, we have taken cornerstone investments in venture capital funds supporting ICT and life sciences, we’ve supported FinTech, space and cybersecurity. With the European Commission, we are launching a dedicated investment scheme that will make EUR 100 million available to venture capital funds or other investors that support AI and blockchain-based products and services.”
“Because these are cornerstone investments, we expect a total of EUR 300 million to be generated for AI and blockchain from other private investors crowding in. The scheme will also allow co-investments with national promotional banks, which will increase the capital even further. The process will start from 2020. The blockchain and AI ‘financing gap’ in Europe presents an opportunity for the EIF to support these new technologies through its existing and future venture capital networks.”
Blockchain and AI will change our lives
“It’s clear that technologies such as blockchain and artificial intelligence (AI) will change our lives. What is less known, however, is just how much of this technology is being innovated in Europe. From Maastricht to Berlin to Tallinn, throughout our universities, our research centres and our start-up businesses, some of the brightest minds are inventing products that promise to change everything from medical science to defence, to how we store information”, states the European Investment Fund in a blog post.
Western Europe is expected to remain the second-largest region in the world for blockchain spending in 2019 ($674m), coming after the United States ($1.1bn), but ahead of China ($319 m), according to the International Data Corporation. For AI, the figures are expected to hit $5.2bn this year. “Despite the sums, much of the funding is directed at the research and proof-of-concept stage. When it comes to funding development on a larger scale, we just don’t do so much of it in Europe. Developers and entrepreneurs wanting to grow their businesses ultimately end up recipients of US financing, working for US companies, and the job opportunities and economic growth these technologies bring head elsewhere”, adds the European Investment Fund.
This is only the beginning
Investing in a portfolio of innovative AI and blockchain companies will help develop a dynamic EU-wide investors community on AI and blockchain. “By involving national promotional banks, we can scale up the volume of investments at a national level. The EC and the EIF’s participation in the market could be a powerful force for setting regulatory and legal precedents, driving a clarity of language and easing the path to regulation on both AI and blockchain in Europe.
Imagine a world where waste is trimmed from supply chains, cutting costs and maximising efficiency, thanks to the transparent nature of blockchain. Or enhancing your natural abilities through AI technology. AI and blockchain can only change lives if they can be commercialised and used. We’re looking forward to making that happen!” concludes the EIF.
Seal of Excellence and Tech Innovation Award
This year, Modex BCDB (Blockchain Database) has received the ‘Seal of Excellence’, a quality label awarded to project proposals submitted to Horizon 2020, European Union’s research and innovation funding programme.
The Seal of Excellence recognizes the strength of Modex’s proposal and the added value it brings. Unique and safe, the ‘Seal of Excellence’ is digitally sealed against fraud, as is the project proposal and evaluation summary report. Modex’s proposal was praised from several points of view, being considered a breakthrough innovation with high potential, a game-changing idea that has something that nobody else has, better than any alternative.
A couple of months ago we were happy to announce that Modex has been recognized by CIOReview as one of the 10 most promising blockchain consulting/services companies to watch in 2019. Each year, CIOReview – a print magazine resource that bridges the gap between enterprise IT vendors and buyers – publishes a listing of 10 companies that are at the forefront of providing Blockchain Consulting Services and impacting the marketplace. Following this distinction, Modex is now part of the exclusive group of companies on CIOReview Platform – Blockchain Europe 2019.
Read more here about Modex’s journey in 2019 and our plans for 2020.