McAfee Coin | The Evolution Of Venture Capital Via Blockchain

McAfee Coin - The Evolution of Venture Capital

John McAfee has been a prominent figure in the tech world for decades, he has also been a rather controversial figure at times. John is most well known for his anti-virus software which has dominated the anti-virus market for years. But if you’ve been in the Bitcoin space for sometime you will also have see John showing is support for the Crypto on multiple occasions.

Aside from being chased around the World by hostile Governments, John is a true believer in Bitcoin and what it stands for, just recently following Jamie Dimons public denouncement of Bitcoin and anyone he catches trading it within his criminal banking empire, John responded on CNBC:

“You called bitcoin a fraud. I’m a bitcoin miner. We create bitcoins. It costs over $1,000 per coin to create a bitcoin. What does it cost to create a U.S. dollar? Which one is the fraud? Because it costs whatever the paper costs, but it costs me and other miners over $1,000 per coin. It’s called proof of work. And the fact that bitcoin is consistently growing in its use and its value has to say something. Sure it will rise and fall as all new technologies are. But at the same time, it is certainly not a fraud.”

Venture Capital Turned Upside Down & Inside Out

On the table are not one, but two Cryptocurrencies, Mcafee Coin(MCF) & Internet Of BI(IOB).

IOB Asset

Taken from the IOB Whitepaper which can be found here:

  • The First China-focused Crypto Capital (CC) Fund Raised Through An ICO
  • Issuing Approximately €200 million Worth of Internet of Bi (IOB) Over a Period of xxx Days, Which Is the ‘Money‘ Raised Through An ICO
  • Crowdsourcing for Money As Well As Their Talent, Knowledge, and Passion for Better Investments
  • Initial Coin Offering Outside of US and Singapore to avoid possible future local government regulations
  • IOB to be Listed on Multiple Major International Exchanges
  • All Investments and Assets Are Recorded on the Public Blockchain
  • Investments Exclusively Focused on Decentralized & Distributed- Ledger Startups in China

The white paper is very difficult to navigate and seems to have whole sections unfinished, which is a little worrying but more likely a technical oversight rather than a problem.

Ironically this ICO which objectives are to assist specifically in Chinese startups will not be available to investors within China just to the recent Chinese ICO ban.

MCF Asset

Taken from their websites FAQ’s page:

The McAfee Coin (MCF) is a cryptocurrency that will be distributed after the McAfee Coin ICO’s. Initially, MCF Coins will allocated as follows:
  1. 30% reserved for RMZ,
  2. 50% Accelerator expenses and investments,
  3. 10% as a reward mechanism for CWBs. After the ICO, MCF Coins will be a mechanism used to reward individuals who are part of the McAfeeXL social investment network,
  4. 10% to McAfee Coin Foundation.
We aim to raise ¥1 billion specifically for the MCF Coin through the ICO process. In order to promote total governance transparency, the issuer of MCF, McAfeeXL, also plans to be listed on a major world stock exchange.

 So Why Two Coins?

A perfectly valid question is why do they need two separate ICO’s with two separate coins?

Other than opening up the flood gates to even more cash flowing into this new venture here is what the website states:

They serve two distinct purposes.
  1. MCF is to be invested in much earlier startups, while IOB is to be invested in later stage companies; IOB is closer to a traditional venture capital fund, where the investment management company, ReiSoleil McAfee Zhu Ventures LLC, has a fiduciary responsibility to;
  2. While MCF is an investment vehicle at the beginning, it is structured as more of a blockchain startup company where the company uses the assets in whichever way the management deems prudent, with full disclosure, on operating expenses, investment activities etc.


VC Funding Evolving

So the most important factor to consider in any ICO is what the asset will be funding, what exactly are these highly successful entrepreneurs intending to do with the $400Million they intend to raise from the two combined ICO’s . This is the opening statement from the website

The venture capital system has been an integral force in the rapid wave of innovation that has taken place over the last 30 years. Household names like Amazon, Google, Facebook and Uber are all success stories that began as startups with venture capital funding. The model is sound, but the system is starting to show its age. And while the success stories have been amplified for all to observe, the increasing failure of the system to deliver on promises is being swept under the rug.

The dark underlying reality is that far more venture-backed startups fail than succeed. This is not because they have bad ideas. The truth is that most startups that go the venture capital route will not receive the attention, guidance or support that would help them to succeed. In fact, unless a startup is among the top 10% of the ongoing performers a venture fund has invested in, it is highly unlikely they will be supported at all. It is not the startups that are failing – it is the system.

And what about the funds themselves? The reality is that they aren’t much better at generating returns than the majority of the startups they fund. For more than a decade the stock markets have outperformed most of them, and since 1999 venture capital funds on average have barely broken even. If this trend continues, venture capital will become an increasingly unattractive avenue for investment. If this happens, everyone loses.

John McAfee and Yale ReiSoleil understand what needs to change. MCF and IOB are more than just crypto-assets. They represent the next generation of venture capital funding.

The following video from DataDash Youtube Channel discusses this new offering from John McAfee to the Cryptospace, although a little over optimistic at times it’s a good overview of whats on of offer.

To Invest Or Not To Invest


This is always the big question to consider, is it worth investing in?

Well, as more and more ICO’s get pumped out the gap between profit gains made for early investors and those who buy in once the assets go on the open market is shrinking rapidly. In fact, more often than not once new assets are open to the World the value often sinks below the value set in the ICO.

The goals of this operation seem legit and worthwhile with great potential, a shake up of the VC funding setup has been in order for years and using crypto McAfee hopes to do just that. Good names behind the venture and with alliances already made within Chinese Local Government, this is a serious operation:

Chinese Government Alliance Partners:

  • ChinaUMS Hangzhou
  • ChinaUMS Chongqing
  • ChinaUMS Shanghai
  • ChinaUMS Jiangsu
  • Chinese Academy of Science
  • City of Hangzhou
  • City of Chengdu
  • City of Qingdao
  • City of Yantai
  • City of Weihai

I won’t be investing in this, however I will be keeping an eye on the value once it hits the open market. That is not to say it’s not worth investing in as I think it has great potential, but if your looking for quick short-term profits from this then i’d look elsewhere. If you’re willing to hold to your investment long-term than this could be worth considering.

Disclaimer: Statements contained within this post do not represent the views or policies of anyone other than the writer. The information contained within this article is provided for discussion purposes only, and are not investing recommendations. Under no circumstances does this information represent a recommendation to buy or sell securities.


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