While global e-commerce has passed its COVID-19-induced peak, the sector is still on track to expand for the foreseeable, growing a further 10.4 per cent this year with global sales reaching US$6.3 trillion according to eMarketer.

Asia is also expected to have the lion’s share of this growth with over US$2 trillion in sales. Zooming into Southeast Asia, the market is projected to mushroom by 22 per cent and will reach around US$230 billion in gross merchandise volume in 2026, with Singapore leading the region.

E-commerce is essential to Asia’s economic prospects

The growing e-commerce market has provided a platform for many of Asia’s small to medium enterprises (SMEs) to reach new markets and engage in international trade. Importantly SMEs are the backbone of Asia’s economy and these businesses represent 17 per cent of the national GDP in low-income countries such as India, or circa 40-50 per cent in higher-income countries such as Singapore and Malaysia.

Also Read: The thrills of online shopping: Exploring Vietnam’s e-commerce haven

Here we have a unique window of opportunity. Macroeconomic headwinds are battering Western markets, while economic optimism has returned to Asia. The Regional Comprehensive Economic Partnership (RCEP) is also picking up momentum and sets to drive more cross-border trade.

Yet threatening this optimism is that SMEs remain largely an underserved group. The most recent figures from the Alternative Credit Council quantify the funding gap for Asian SMEs at US$4.1 trillion.

The challenge lies in that when these SMEs grow, they do so at pace and as do their financing needs. Yet all too often entrepreneurs face substantial challenges accessing funding quickly enough through traditional avenues such as via banks.

Turning data into insights

There are several reasons for this. One is the lack of insights available to financial institutions in making lending decisions. Underwriting for funding remains largely paper-based evidence from a pre-defined list of documents such as invoices or previous sales records. Thus underwriting decisions are based on a very limited base of non-digital backwards-looking data resulting in a reduced risk tolerance to compensate.

Yet interestingly, when it comes to e-commerce, there is an abundance of real-time data across different platforms and partners in the value chain from procurement to fulfilment. While this offers a treasure trove of alternative data, the challenge is that such data is often unstructured, unconnected and in various formats. By breaking the siloes between e-commerce and finance data, richer insights can be uncovered and this is the first step to informing underwriting decisions.

The need to bring together investors with innovators

Another issue is that although traditional financial institutions such as banks are holders of capital, they may not have the capability, operational model, or risk appetite to lend to this segment of the market.

This is where hubs such as Hong Kong and Singapore can play an important role in connecting financial institutions with financial power, with fintech companies that have the technological and operational models to deploy capital and serve this sector.

Given its proximity, Singapore is well placed to be a funding corridor into Southeast Asia which has immense potential for cross-border e-commerce trade. Burgeoning markets include Vietnam as well as Indonesia, where its government is aiming to boost the SME share of exports by 54 per cent to 21.6 per cent by next year.

Filling the quantum requires an innovative approach

While these measures are a start, the size of the gap requires a solution which goes beyond these. Perhaps a good stress test of this was the Chinese cross-border e-commerce sector during the pandemic. Based on our data, Gross Merchandise Value in Chinese cross-border e-commerce increased by an incredible 63 per cent between 2019 and 2022.

Also Read: 3 success tips to help e-commerce businesses unlock online success

What made Chinese SMEs so successful was their ability to adapt quickly to overseas consumer trends and market opportunities. While these SMEs grew at an incredible pace, their funding needs also evolved just as rapidly.

For many Chinese entrepreneurs, traditional lending avenues even if successful, were unable to keep up with their businesses’ evolving needs, eventually becoming a bottleneck. It was during this period when we witnessed an increasing demand from these cross-border businesses for fintech alternatives able to offer dynamic funding facilities that scale with their growth patterns.

Most data involved in SME funding is backwards looking. Therefore, funding decisions are often made upon less relevant and untimely data. For this reason, providers often offer funding limited to what the customer needs at that moment – rather than based on what they need to help them grow going forward. This issue is not limited to traditional financial institutions but is something common among alternative lenders and even fintech companies in this space.

There is no question that the move to digital has made the financing process faster and more efficient. However, often the underlying risk assessment continues to be structured upon parameters and information when paper-based applications were still the norm.

This is what needs to change. It is building the ability to develop forward-looking risk modelling and harness emerging technologies such as machine learning. To sustainably deliver financial inclusion to this underserved group we need to shift mindset and business models to adapt and fully capture their needs rather than expect the underserved to conform to an approach that is not representative of their needs.

Behind every SME is an entrepreneur, real people whose lives and prosperity can be uplifted if we close this funding gap. The scale of the mission cannot be achieved alone by one bank or fintech provider. It requires the finance and fintech sector as a whole to step outside the norm, collaborate and innovate. This is an exciting moment for Asia, and there’s been no better time to be leading the charge.

–

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

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Prof. Durreen Shahnaz, Founder and CEO, IIX and IIX Foundation

Prof. Durreen Shahnaz is the founder of IIX, a pioneering impact investment firm that brings together investors, development agencies, and entrepreneurs to advance sustainable development and empower millions of women. Shahnaz is on the Forbes 50 over 50 lists and received the 2017 Oslo Business for Peace Award. Shahnaz holds degrees from Smith College, the University of Pennsylvania, and Johns Hopkins University.

Her latest book The Defiant Optimist: Daring to Fight Global Inequality, Reinvent Finance, and Invest in Women is set to come out on June 27, 2023. It chronicles the story behind the founding of IIX and the life events that inspired her.

The following is an excerpt from the book:

Chapter 13: Toward a global marketplace

“Bahu!” my friend Radhika called out from a distance. Central Park was bursting with flowers and kids running around when I found a bench under the shade of a tree to rest. I was supposed to meet Radhika here to catch up. And we had so much to catch up about. Since our days at Smith, Radhika had become an embodiment of the Lower East Side. Free-spirited, creative, and optimistic, she was writing a book about how jazz musicians create music. Rob and I had been back in New York City for a few years: settling into our new careers, married life, falling right back into the intensity of the city with work and old friends. Rob had returned to investment banking and was now equipped with a law degree. He had found his groove doing billion-dollar merger and acquisition deals, helping giant companies join together or buy each other. He slipped right back into the intense routines of New York investment banking like they were a pair of old shoes.

Meanwhile, I had arrived at a dead end—several, in fact. My search to make finance do good for the 99 percent seemed imperiled. Graduate schools did not have the answers for me, nor did the bastion of development, the World Bank. Through my work experience and graduate school programs, I was creating a bridge between the vastly different domains of development and finance, but I felt so alone in making this connection.

I had interviewed with several community development banks in Philadelphia and the Greater New York area. While they were making capital available in a small way to small businesses in underserved communities, these banks were struggling. Their work was happening in a vacuum, without any connection to the larger financial markets and without access to capital to grow and lend to the community at larger scale.

Small and minority-owned businesses in underserved communities were hitting the same wall of selective bias. Even if they did receive capital from a bank—and that happened only with much difficulty—other operational challenges remained. These businesses tended to lack the “right” contacts, access to the “right” market, and sometimes simply the “right” strategy. In other words, a whole set of invisible business tools, beyond just money, enables small businesses to work—and when lacking, as in the case of many businesses owned by women and entrepreneurs of color, causes them to fail.

Also Read: Women as focus of impact investment: Does it bring more harm than good?

I observed micro- and small businesses in New York, Philadelphia, and Washington, DC, hitting a wall in their growth and potential positive impact in their community. Here in America, these businesses were bigger than those I had seen with Grameen, but there were a lot of similarities. Both types of businesses were located at the periphery of the financial system, without an entry to the inside. Both needed much more from the financial markets than they were getting. Making finance work for the underserved “takes a village,” to crib a well-known phrase—but where was that village? Who was going to create it? Where was the pathway for these enterprises and the underserved communities they represent to financial markets that truly value their work?

Feeling disillusioned and unable to change a rigid system, I had left the financial sector for a job with Hearst, the multibillion-dollar media company. I was now overseeing the business of a dozen women’s magazines. In my ever-evolving search to find the source of power and turn it inside-out, I had wandered into media, which I believed had incredible potential for public service by influencing hearts and minds. Media also had incredible power to influence public opinion and the financial market. It sat in the nexus of human development and economic opportunity with the power to unleash change. At least that is what I thought.

But now I had a fancy job at Hearst magazines, and I was feeling more disillusioned than ever. Could I really make a difference by informing women about twenty ways to get the man of their dreams or eight ways to make the perfect pie? I struggled to come to terms with what people wanted to read versus what was moral and just. Adding to the tension between consumer desire and what you think they should desire was the overarching pressure to create content that would attract the advertising dollar.

Even while our magazines were offering solutions for women to shape and control their bodies, I was feeling betrayed by mine. I was recovering from an ectopic pregnancy, which takes hold in the fallopian tube and can be fatal to the mother if not detected in time. Without knowing it, I had been six weeks pregnant when I started bleeding at work and fainted.

During the month of bed rest following my emergency surgery, I had spent time piecing together what had happened and how I felt about it. I had been pregnant? We certainly hadn’t planned it. I had been traveling so much for my corporate job that I had lost track of many things in my life. I hadn’t noticed anything different with my body other than chronic exhaustion. Now I had lost one fallopian tube, and my other tube had been severely damaged during my teenage years when my appendix ruptured. Sadness overwhelmed me.

Now I still tired easily, but I was healing. I was doing some work every day, trying my best to run a vast overseas media operation while sitting propped up on a bed, with a cordless landline phone, in a tiny New York apartment.

But it was hard to focus on the nuances of growing a magazine business on the other side of the world when my head was in a fog. I could not focus. Little made sense anymore. How strange it feels to mourn for something you did not even know you wanted.

Also Read: How Third Derivative assesses the impact of a potential climate tech investment

Sitting on the park bench, I smiled as Radhika ran toward me with her big smile, crumpled linen shirt, and torn jeans. “Bahu!” she sang out again, her hair flowing behind her. She thought it was hilarious that Rob called me Bahu. “I mean, honestly, how cute and corny can it be?” she would laugh, and soon the teasing became a part of her vocabulary. So I was bride to Radhika now too.

Radhika engulfed me in a bear hug. “Bahu, how are you feeling? Are you OK?” she took my face in her hands. “You know it’s OK, right? Being a mother does not define womanhood—screw what South Asian culture shoves down our throats. We are in America. Think of all that you have done here as a woman—and as a minority woman at that!”

I saw the love and concern in her shining eyes and started sobbing. “I am sorry,” I said eventually, wiping my nose and resting my forehead on Radhika’s shoulder. “I don’t know why I am crying. I didn’t think I wanted to have a baby. But now that I can’t, I’m overwhelmed with sadness—and I’m angry! I’m angry with my body and my fate.”

I thought I wanted to transform the world for inclusion and gender equality, I told Radhika, but I hadn’t done anything. Yes, I could occasionally push through some meaningful content—like magazine covers featuring women of colour or stories covering economic inequality. But so what? Did that move the needle at all? I felt full of despair, and my words showed it.

“Hey, this is not the Bahu I know!” Radhika said, pulling back to look me straight in the eye.

“The Bahu I know does not let anything pull her down. What happened to the new idea that was brewing?”

A few weeks earlier, I had told her my idea for a new company: one that would connect the haves and have-nots from across the globe, as producers and buyers on equal footing. I dreamed of an online global marketplace of handmade goods made by millions of women artisans, and small businesses. I had wondered aloud to her whether a marketplace would be the next stage of the microcredit movement. Not only would women have the chance to start small businesses making handmade goods, but they’d also have the opportunity to grow their business by accessing new markets through this new medium called the internet. A new online company for collectibles called eBay was getting people excited, I had mused to Radhika; surely the market would have an appetite for handmade gifts, household items, and fashion accessories from around the world.

Also Read: Why GoImpact believes that education is the key to promoting ESG investment

“You’re right,” I told Radhika. “I need to put it down on paper and write a business plan.” I smiled, feeling a nudge of something like hope in my stomach. “I mean, maybe this new global equalizer, the internet, can help me do it. It’s 1999!” I said.

“Right!” Radhika said animatedly. “Now this is the Bahu I know!”

*

Writing a business plan is like taking the first step of a marathon— or maybe the first thousand steps. A business plan is basically a structured research paper in which you outline how you will create the business, who your customers will be, how you will grow, and what technology, marketing, and sales strategy you will need. The plan allows you to think through whether what you want to do is actually possible.

Once you ink the idea, having evaluated all the necessary parts of growth, you turn the ideas into numbers. The numbers tell you how much it will cost to make this idea a reality. It is the first reality check of an entrepreneur’s journey, the stage during which the edge of idealism often collides with pragmatism. How will the revenue streams look? How much money do you need to get the company off the ground? Will you need outside funding and if so, where will you get it? You will not have all the answers yet as to whether your new venture will succeed or fail. But now you’ve got some structure to the thinking, a framework for the idea, and the numbers to back it up. Now you need to make the plan a reality.

My company, oneNest, would manifest my quest to connect the worlds of the haves and the have-nots. I wanted to empower women, artisans, and microbusinesses from underserved communities by connecting them with a global market to sell their goods. These goods would be handcrafted personal items and household goods—jewelry, shawls, scarves, photo frames, tablecloths, bedspreads—anything that you need in your day-to-day life and made with hands and from the heart from artisans all over the world. The market would improve not only their individual incomes but also the fate of their communities, mightily. We would give women access to a market to sell their products so that they could pay off the loans they had taken to expand their production, avoiding the fate of the Grameen borrowers who defaulted on their loans after a few years because they had no access to new markets to grow their business.

In my research for the business plan, I found that such a marketplace simply did not exist. The internet presented a perfect opportunity for bringing exquisite, fair-trade items, made by artisans around the world, together in one marketplace. Beautifully woven fabrics from Bangladesh, silk shawls from Cambodia, silver jewelry from Indonesia, glass-beaded purses from Kenya, ceramic bowls from Mexico: the oneNest platform would show photographs of these products and share the stories of how they were made and by whom, as well as the positive impact created by every purchase. By connecting the two worlds of the buyers and the sellers, we could move the needle on global income inequality.

Turning an idea into a plan and then into reality hinges on an entrepreneur’s ability to convince friends, family, and acquaintances to contribute labour and funds. The two first believers in oneNest were Mohsin, a childhood friend of mine, and Vance, a friend from the corporate world. Both men believed in the power of the internet to democratise the market and connect the haves with the have-nots for sustainable growth. All three of us put in some seed money to pull together a prototype of the website.

Also Read: In February, digital transformation and social impact continue to take centre stage in startup investments

We got to work right away. Mohsin pulled together the web developers, while Vance took care of operational aspects like logistics and delivery. My job as CEO was to design the platform, source the goods that would appeal to the Western market, ensure pricing and quality, attract the buyers, find the right partners for marketing, and start building the team and the business as a whole.

A market requires two sides to come together simultaneously: buyers and sellers. On one side, we built a list of artisans and small businesses making beautiful handmade products. Watching the first artisans post product listings on the website was thrilling. There was Usha from India, uploading pictures of her gorgeous blue-and-white block print cushion covers and bedspreads. Maria from Guatemala uploaded photos showcasing the thick silver jewelry that she made that honored Indigenous designs. Grace, an artisan from the Philippines, shared a touching story of how she and her daughter collected seashells from the beach next to her village to create small, delicate capiz bowls from mother of pearl. Each item had a heartwarming story of the creator’s passion and purpose wrapped around it.

Even as listings from sellers began pouring in, we had to get their goods in front of direct consumers and small retail businesses. We started pulling together the buyers—mom-and-pop stores, gift companies, anyone and everyone who would buy artisanal gift items.

The technology had hiccups. In these early days of the internet, it was difficult to capture the beauty and exquisite artisanship of the handcrafted items. The photographs uploaded by vendors were often of poor quality and the descriptions inadequate. Sourcing and delivering the products, as well as enhancing their appearance on the website, were difficult tasks. Vance, Mohsin, and I were all working part-time from home, but we soon realised that arrangement was not sustainable. We needed to get an office, we needed to start working full time, and we needed to raise money to grow the business.

Even as the stress of our startup began to build, I could feel an almost physical sense of satisfaction as the dots between my three domains—development, media, and finance—began connecting. I reached out to my contacts at various microfinance organisations, fair-trade organisations, and artisan groups around the world to get their members to list their products on oneNest. I reached out to my media friends to develop creative marketing channels for oneNest. My experience of running multiple offices across multiple time zones at Hearst was coming in handy as I engaged microbusinesses and media houses across multiple countries and faced hurdles of cross-border commerce.

We were ready to move into the next gear: figuring out how to harness the power of finance to help our embryonic business.

We needed funding.

—

The Defiant Optimist: Daring to Fight Global Inequality, Reinvent Finance, and Invest in Women (2023) will be published by Broadleaf Books on June 27, 2023. The book is available for pre-orders on Amazon starting from April 27, 2023.

Echelon Asia Summit 2023 is bringing together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here.

Image Credit: Durreen Shahnaz

The post Book excerpt: How Durreen Shahnaz finds the inspiration behind her impact investment firm IIX appeared first on e27.

When watching the Earth Week panel discussions on YouTube I tuned in to some of the thought leaders in Blockchain and it forced me to focus on the threats of our changing environments and how projects are trying to support some of the most unfairly impacted. 

Rene Reinsberg, President of the Celo Foundation recognises that climate and economic opportunity are linked. As a technology, money is essentially software. Blockchain can reinvent the financial system and provide positive benefits through external factors. Climate change is driven by human behavior and it is not impacting people in a fair way. 

Reinsberg describes Web3 as “…a toolset for mass co-ordination.” This collective approach to solving some of the world’s biggest problems is a new way to consider the potential of humans when tackling the climate crisis.

In a world where success increasingly depends on reputation and trust, why is greenwashing so common?

Greenwashing refers to making unsubstantiated claims about sustainability and environmental practices to improve corporate image. As a result, regulatory bodies around the world are increasing their scrutiny and enforcement of ESG metrics reporting, with fines for violations sometimes exceeding US$1 million, as issued by the SEC.

Also Read: How Singapore is leveraging technology to become a sustainable fashion hub

However, reporting on greenwashing is challenging as organisations often struggle to measure and track relevant data points in an efficient and reliable way. This lack of standard metrics and transparency makes it difficult for consumers to trust the data and for regulators to distinguish between genuine and false reports.

Blockchain technology can help address this issue by providing transparent data recorded efficiently and automated reporting of various data points related to an organisation’s ESG tracking. 

Blockchain and Web3 Technologies funding climate solutions

Blockchain and Web3 technologies are at the forefront of a movement towards increased transparency, which can help achieve the goals set by the Paris Climate Accord and the United Nations Sustainable Development Goals. Blockchain projects are providing a foundation for structural changes that support cultural climate awareness, climate policy-making, and individual commitments to sustainability.

Today, it is dangerous to ignore the urgency of climate change. As the only place with a continuous life cycle, Earth is being harmed by all kinds of destructive actions. We need to act now to save our home and ensure a healthy environment for both living and nonliving creatures.

Imagine a world where recycling is not only easy but also profitable. With a blockchain-based recycling program, you can earn tokens in exchange for dropping off recyclables like plastic containers, cans, and bottles. It’s already working in Northern Europe, and the rest of the world needs to catch up.

Furthermore, conventional power networks are centralised, leading to energy delivery inefficiencies and power outages in areas devastated by natural catastrophes or poverty. A blockchain-based peer-to-peer power system can shift electricity remotely from where it’s generated in excess to where it’s needed, reducing the need for energy storage and fossil fuels.

Incentivising organisations to be transparent 

The environmental footprint of products is also impossible to determine in the existing system, and its carbon emissions are not reflected in the price. But with blockchain technology, each brand’s carbon emissions can be monitored, and the amount of carbon tax to be levied can be calculated at the time of sale. This will encourage purchasers to choose environmentally sustainable items and incentivise corporations to reorganise their supply chains.

And finally, blockchain can make supply chains more transparent, tracing products from the factory to the store and reducing waste, inefficiencies, fraud, and unethical behaviours. Consumers will have a better understanding of how each product was created and distributed, allowing them to make more ecologically conscious decisions.

We have the technology to save the earth, and we need to use it. Let’s act to ensure a sustainable future for our planet.

Four organisations connecting blockchain with climate solutions

The Celo Foundation 

Celo is the carbon-negative, EVM-compatible blockchain ecosystem. Their primary goal is to enhance the capacity for refi applications on the Celo blockchain. During the Global Impact Investing Network Investor Forum in The Hague, the Celo Foundation, based in the U.S., unveiled its “two per cent for Web3 Impact” commitment.

Also Read: Understanding the role of fintech, blockchain in transitioning to net zero

This initiative, developed within the Foundation’s Social Impact Collective, is an industry-wide effort that aims to assist in the onboarding of over 100 impact investors to Web3 and facilitate their first investment in the field or offer liquidity to impact lending protocols.

Ethic hub

A noteworthy example of a regenerative finance initiative that utilises smart contracts for crowd-funded impact investing is Ethic Hub, a company that originated in Spain and is redefining traditional microfinance.

Ethic Hub provides small-scale loans to farmers who have limited financing options and were previously subject to high-interest rates of up to 100 per cent. With a minimum investment of only around US$20, Ethic Hub uses blockchain technology to democratise impact investing and minimise investment risks through its native token, Ethix, which serves as a backup for Ethic Hub’s compensation pool.

Since its establishment in 2018, Ethic Hub has financed 450 projects, deployed US$3 million in capital, and generated a 1.2 per cent default rate and a nine per cent return to investors.

Climate Collective

The Climate Collection provides grant funding, community education, and collaboration with members to promote various impactful products and protocols that advance the Regenerative Finance ecosystem. Our goal is to encourage the adoption of ReFi and shift perceptions about the blockchain industry by engaging with climate enthusiasts and crypto participants.

Together with our members, we aim to create an all-inclusive ReFi Stack that surpasses its individual components, to foster a Web3-native financial system that promotes ecological regeneration alongside economic growth.

Digital Art 4 Climate

DigitalArt4Climate is an initiative involving multiple stakeholders that leverages blockchain technology (specifically non-fungible tokens/NFTs) to transform artwork into digital assets that can be collected and traded.

By doing so, it creates a social and technological innovation space that allows for unique possibilities to mobilise resources in support of the implementation of Sustainable Development Goals/Agenda2030, particularly in the area of climate action empowerment.

–

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

Join our e27 Telegram group, FB community, or like the e27 Facebook page

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Filipino cosplayer Alodia Gosiengfiao, who is one of the world’s most famous cosplayers as well as the co-founder of Southeast Asian esports company Tier One Entertainment, recently started exploring AI art.

Admitting that she’s late to the party, Gosiengfiao, who is an artist herself, just wanted to play around with the AI art generators that have become massively popular in the past few months. Just as all things AI have become.

Imagine her shock, then, when her followers became so upset when she posted AI-generated art on her Facebook page. The barrage of negative comments was so bad that she was forced to take down the image and post an apology. 

“‘Sorry…’ — art by yours truly (non-AI). 

“Thank you for your thoughts and concerns. I’m not here to promote AI-generated images. Just exploring what all the fuss is about. Tbh, I’m late to the game (since this is my first time trying this out). And by doing this now I understand why some fellow artists are against it. I still support real art and will continue to produce non-AI works.

“Today, I listened to all of you and educated myself more about the concerns many of you have around AI-generated images. As a gamer, I like to explore technology, but as an artist, I have deep respect for the craft. I apologise for disappointing you guys. My heart still lies with real art.”

Now, what’s wrong with this picture?

Much ado about AI art

This is what I posted as a comment on her apology.

“I’m sorry you had to experience this, Alodia. It’s an outrage how public figures get bullied by an online mob. It’s one thing to have your opinion on AI art. It’s another to attack someone experimenting with AI art and force her to take it down.

Also Read: Effective marketing strategies to win over Gen Z for your startup

“Yes, there are valid concerns over AI art. But a mob is a mob, online and offline, and this is basically censorship. Hope you’re all proud of yourselves and your groupthink.”

Let me be clear: it is valid to question the ethical and legal implications of AI-generated art. For instance, research has shown that AI generators can simply copy existing images.

“Researchers in both industry and academia found that the most popular and upcoming AI image generators can ‘memorise’ images from the data they’re trained on. Instead of creating something completely new, certain prompts will get the AI to simply reproduce an image. Some “of these recreated images could be copyrighted. But even worse, modern AI generative models have the capability to memorise and reproduce sensitive information scraped up for use in an AI training set.”

AI art is currently in legal greyscale, challenging existing copyright and privacy laws. In the meantime, many artists have been earning an income selling their AI-generated art as non-fungible tokens (NFTs). NFTs have proven to be a boon for many artists, bringing their work to the attention of an audience that might previously not have been interested in art, but like collecting digital collectibles.

The artists who oppose AI art, however, are concerned not only for ethical reasons but also economic ones, as they deem it unfair to compete with someone who does not have “natural talent” and who hasn’t put in the number of hours required to train in their craft and produce works from scratch, whether manually or digitally.

Of course, AI artists will point out that they do use their talent and own artistic style to edit and enhance the images AI has generated. The AI-generated images are only the building blocks – far from the finished product. And so the question goes back again to whether the AI images themselves violated someone’s copyright.

Far from the online crowd

Clearly, the controversy over AI art is a complex issue that cannot and will not easily be resolved. It is just the tip of the iceberg, as AI continues to evolve and becomes part of human society. 

It is only human to be afraid that AI will replace you. For instance, the Industrial Revolution shook the foundations of society and rendered many professions obsolete or undesirable – and not everyone who lost a job was able to adapt. That’s why, in the age of ChatGPT, many humans are anxious that they could be replaced by AI.   

My problem, however, with what Gosiengfiao experienced is that she became a victim of an online mob mentality. Unfortunately, online mob mentality has become the norm rather than the exception in social media, turning it into a toxic environment.

By loudly criticising and verbally attacking her with their barrage of comments, these so-called fans basically bullied Gosiengfiao into taking down the Ai-generated art and forced her to apologise. It’s no different from the toxic behaviour of, say, K-pop fans who want to dictate what the recording label of their idols should do, or who verbally abuse other K-pop artists and their fans. 

It is a herd mentality in digital form. An online mob is not interested in a discussion or an exchange of ideas. What they want is to impose their ideas and force someone to act the way they want them to. 

Also Read: How to embrace diversity, equity, and inclusion in DeFi and Web3

In other words, they are online bullies. And the only way to deal with bullies is to stand up to them.

“We’re entering a world where more of our lives and actions are being not only monitored, but closely inspected, and it’s only a matter of time before we’re all judged under similar scrutiny. I hope for your sake, as well as mine, that we’re able to find a more peaceful way to express criticism and discontent for the actions of our fellow people—and that the institutions of the world grow enough of a backbone to stand up against internet hate mobs.”

It’s hard, of course, to fight against mob mentality, especially since most of us are on social media because we want to be liked. It’s so much easier, then, to just think like the crowd – or to give in to their demands.

“When we share our thoughts on social media, we’re generally hoping for validation. A simple web search will reveal that people have begun discussing the possibility that many in our society are now addicted to likes. By extension, our desire to be accepted can impact our ability to be objective in the face of online bullying. In fact, it may contribute to our willingness to join the mob. 

“This collection of naysayers may be completely well-intentioned but could be making decisions and forming opinions based on irrational thought. Once this groupthink sets in, an ‘us versus them’ attitude can dominate any discussion. When members of the group don’t want to dissent for fear of rejection, the mob mentality will prevail.”

At the end of the day, being human means learning to think for ourselves – and to accept that others may not think as we do.

–

Editor’s note: e27 aims to foster thought leadership by publishing views from the community. Share your opinion by submitting an article, video, podcast, or infographic

Join our e27 Telegram group, FB community, or like the e27 Facebook page

Image credit: Photo by Daria Nepriakhina on Unsplash

The post The controversy over AI art: Online mob mentality and the complex ethics of creativity appeared first on e27.

Dear Pro member,

It seems GoTo Group’s cost-cutting measures are paying off.

The Softbank-backed tech giant managed to cut its net loss for Q1 by 41%. Like many other tech startups in the region, GoTo also has been tightening its purse strings by cutting jobs and arresting cash burns to survive these uncertain times. Gross revenue also grew 14 per cent y-o-y.

The firm said in March it would cut 600 more jobs after the layoff of 1,300  employees announced in November. As per some reports, the reduced head count saved it about 210 billion rupiah (US$14.3 million) in Q1.

The group expects to turn profitable in Q4 on higher revenue growth and reduced costs; savings from the jobcuts announced in March will be reflected from May onwards, says CEO Andre Soelistyo.

This is the top story of this edition of Ecosystem Roundup.

Also, take a look at the other major developments in Southeast Asia’s startup industry.

Regards,
Sainul.

—

Startup fundraising in SEA dipped to a 2-year low in Q1
Homegrown startups raised US$2.08B in Q1, down 25% from the previous quarter and 52% from the same period last year; Startups in the region clocked 195 equity funding deals in Q1, marking a 37% drop on y-o-y basis.

GoTo Q1 loss narrows 41% to US$265M on higher revenues, lower marketing spend
Gross revenue4 grew 14% YoY to US$408M, while incentives and product marketing costs were reduced by US$317M or 39% YoY; The adjusted EBITDA for Q1 2023 improved 67% YoY to US$109M.

Capria Ventures hits first close of US$100M Fund II
The fund will invest in 20-25 startups across India, SEA, LatAm, and the MEA; The focus sectors are fintech, mobility/logistics, agtech/foodtech, climate, and jobtech/HRtech.

Finnish EV firm Virta raises US$93.8M, gears up for SEA expansion
The investors are Jolt Capital, E.ON, Helen Ventures, and Vertex Growth Fund; The company plans to expand into Malaysia, Indonesia, and Vietnam within the next two years.

Edtech firm BrightChamps makes new acquisition to enter B2B vertical
The Metamorphosis Edu deal is expected to help BrightChamps expand its learning offerings to schools globally; This marks the company’s third acquisition after it bought Vietnam’s Schola for US$15M and India’s Education10x in 2022.

Cosmose AI raises funding at US$500M valuation
The investor is Swiss non-profit NEAR Foundation. Cosmose gathers insights from smartphones and helps understand offline shopping habits and drives footfall across 20M venues in Asia.

ONE Championship, Animoca partner to create NFT-powered mobile game
ONE Fight Arena will offer players optional Web3 integration that uses blockchain and NFTs to provide authentic digital ownership to players for certain game assets.

MetaCRM raises US$2.5M to build one-stop Web3 CRM tools
Cherubic Ventures is the lead investor: The Taiwanese startup says its Web3 CRM products can connect on-chain and off-chain data to create blockchain-native solutions and analytics tools.

Explico bags US$1.4M to make student assessment easier using AI
The investors are Astonic Ventures Singapore, Mavis Tutorial Centre, and Singapore Asia Publishers; Explico can generate assessment tasks, find appropriate peers for study groups, and provide transparent adaptive feedback using AI.

Better Bite invests in alt-protein startups Allium Bio, Cultivaer, EatKinda, Klevermeat
The VC firm invested from its First Bite, which provides a US$50K investment to new and aspiring alt-protein founders in APAC; A new round of First Bite applications is now open until May 19.

French accelerator ZEBOX opens APAC hub in Singapore
ZEBOX Asia Pacific aims to help tackle pressing business and sustainability issues in sectors such as supply chains, logistics, transportation, and energy.

True Global Ventures pivots fund to focus on generative AI
TGV has now rebranded the Follow On Fund to the Opportunity Fund; About 30% of this fund has already been deployed;
The firm expects to reach the second close for the fund by the end of May.

SoftBank Group taps Arm CEO as board member
Rene Haas is the CEO of British semiconductor firm Arm; SoftBank acquired Arm for US$32B in 2016; The semiconductor company is planning to launch an IPO in the US this year, with a reported target of US$8B minimum.

17 startups inch closer to competing at the 2023 TOP100!
Check out this diverse and exciting group of frontrunners as they inch closer to competing at this year’s TOP100!

Bootstrapped: How 99VR raced against the clock to build a profitable business
99VR CEO advises aspiring founders to create a simple product that can be immediately used by the general public and has a direct impact.

Why Fidelity Funding believes startups need more than just funding to succeed
To curb the high failure rate in the startup ecosystem, Fidelity Funding builds a model that provides startups with more than just money.

Canvas Space allows you to micro-monetise your content in fiat, cryptocurrencies
Canvas Space is a creator-centric platform, allowing micro-transactions for any small parts (seconds, pixels, minutes, and paras).

We want to be the ‘verification check’ for growth-stage companies in SEA: TNB Aura
In their investment philosophy, TNB Aura is taking a top-down approach when it comes to assessing a potential investment.

Hard work takes over when talent fails: Latif Sim of BeLive Technology
Knowledge evolves day to day and there could be situations which require us to unlearn and relearn says the Chief Strategy Officer at BeLive Technology.

Web3 startups: The next big thing investors are flocking to
Web3 startups have captured the attention of investors, who recognise the potential for high returns on investment and the benefits of diversification.

Lessons learned from executive who helped expand 4 unicorns to global markets
Throughout his 15-year career, Troy Malone has helped Evernote, Weebly, All-Turtles, mmhmm and Drata to scale internationally.

How business leaders can utilise generative AI in employee communications
There are some incredible use cases where generative AI can increase efficiency and help you focus on the stuff that matters.

Rise of digital collectibles: The long-awaited “NFT” rebrand
The rebranding of NFTs to digital collectibles allows people bullish and building in Web3 to have better and easier conversations.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the platform, and other prizes. Join TOP100 here.

The post Ecosystem Roundup: SEA’s startup financing dipped to a 2-year low in Q1; GoTo cuts Q1 loss by 41% appeared first on e27.

As the world starts to move beyond the pandemic, the need for resilience has taken the main stage in many critical sectors including construction. The construction industry is one of the largest industries in the world, contributing significantly to economic growth and employment.

However, it has a significant impact on climate change and accounts for 38 per cent of total global emissions according to the World Green Building Council. These emissions come from various sources, including the production of building materials, transportation of construction materials and equipment, construction activities, and the operation of buildings.

A significant contributor to the construction sector is the brick industry, providing building materials for a wide range of structures. However, worldwide, billions of rudimentary kilns typically use coal for brick-firing purposes and contribute to 20 per cent of the world’s black carbon emissions. Around 90 per cent of this production is in South Asia, and in some South Asian cities, these kilns are responsible for up to 90 per cent of the particulate matter emissions.

The brick industry in South Asia has been growing at an alarming rate, primarily driven by the construction boom in urban centres. In countries such as India, Bangladesh, and Nepal, the brick industry has become one of the largest sources of greenhouse gas emissions, second only to the energy sector. The impact of the brick industry on the environment, including the Himalayas, has been significant and far-reaching.

Also Read: Why these startups focus on informal plastic waste workers in the fight against climate crisis

Since the Himalayas play a critical role in the ecological, social, and economic systems of South Asia, air pollution poses a significant threat to the region’s well-being. The impact of climate change due to these emissions is causing glaciers to melt, leading to flash floods, landslides, and other natural disasters in the Himalayas. The warming of the Himalayan region is also leading to the migration of animal species and the destruction of their habitats, further resulting in the loss of biodiversity.

The brick industry’s impact on air quality is also severe. The brick kilns’ emissions contribute to the deterioration of air quality, leading to respiratory diseases and other health problems. For instance, in addition to thousands of deaths due to air pollution in the brick sector, the economic costs on public health in Nepal only per year are about US$46 million.

Brick kilns burning coal are also adding further pressure on the energy security of countries like Nepal which have a low domestic fuel reserve. Nearly 73 per cent of the total coal consumed in the country is imported (largely from India, Indonesia, and the US). According to the World Bank, Nepalese kilns burn about 1 million tons of coal per year and, owing to the increase in demand, coal consumption is increasing.

The brick industry’s impact on the social fabric of South Asian societies is also significant. The industry is responsible for the widespread exploitation of labour, including child labour and forced labour. The industry’s reliance on traditional kilns is often at the expense of worker safety and health, leading to widespread health problems, including respiratory diseases and skin disorders.

The brick industry is an essential source of employment in South Asia, providing jobs to millions of people. However, the industry’s impact on the economy is not always positive. The industry’s reliance on traditional kilns has led to inefficiencies in the production process, resulting in low productivity and high costs.

The high costs of production are ultimately passed on to consumers, making the final product expensive. The high cost of bricks has resulted in the widespread use of cheaper and low-quality materials, leading to the construction of unsafe buildings, which can collapse during earthquakes or other natural disasters.

As the demand for bricks increases with the growth of the construction industry, there is an urgent need for sustainable practices in the brick sector. Sector-wide solutions to transition to cleaner and more efficient technologies can help reduce energy consumption and greenhouse gas emissions and make the sector greener and more sustainable.

Innovative developments have taken place worldwide to successfully replace these traditional bricks with eco-friendly alternatives such as non-fired bricks, reducing greenhouse gas emissions (GHGs) while preserving the quality and strength of the material.

One of the most proven innovative alternative technologies hardens and cures bricks using soil stabilisers instead of firing, thereby avoiding coal or any fossil fuel consumption. An automated non-fired, eco-friendly brick is manufactured with three components: soil (90 per cent), cement (9.8 per cent) and soil stabiliser (0.2 per cent).

Advantages over traditional bricks manufacturing process

Reduced GHG emissions

The Good Bricks System (GBS) cuts the CO₂ emissions down to one-third of the traditional brick kilns. It also eliminates deadly black carbon, sulfur oxides (SOx), nitrogen oxides (NOx), and various particulate matters (PMs) that are causing massive health issues and climate change issues in the Himalayan region.

Also Read: How to navigate the investment opportunity in climate tech sector

High productivity

The GBS process results in enhancing productivity by reducing the production time from 28 days to just five, allowing the manufacturer to produce bricks during the rainy season and at night since all processes can be done indoors under one roof.                             

Cheaper production process

On average, the production cost of soil-stabilised bricks is about 10-12 per cent lower than conventional bricks.

Reduced production and process losses

Anecdotal evidence suggests that the amount of production and process losses in conventional brick manufacturing is between 20-25 per cent. These losses can include factors such as waste in the clay preparation process, breakage of bricks during firing, bricks that do not meet quality standards, human errors, and inconsistent brick quality owing to uneven use of coal firing. In the case of GBS (Good Bricks System), these losses account for less than three per cent.

Better working conditions

Since Good Bricks manufacturing operates year-round, it eliminates the issue of seasonal migration and allows workers and their families to receive social benefits guaranteed by full-time employment further improving their working conditions.

The importance of sustainability in the brick sector cannot be overstated. Although such non-fired technologies exist on the ground, the implementation and adoption at a larger scale would require

• Participation of all stakeholders, including brick manufacturers, policymakers, consumers, and environmental groups
• Willingness to invest in such innovative sustainable solutions

By leveraging such innovative technologies, the brick sector can move towards a more sustainable and environmentally responsible future, benefiting both industry and the Himalayas.

–

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The advent of Web3 has paved the way for a new wave of startups aiming to leverage the power of decentralised technologies such as blockchain and cryptocurrency. These startups have captured the attention of investors, who recognise the potential for high returns on investment as well as the benefits of diversification.

In this article, we will explore the world of Web3 startups and why they are the next big thing that investors are flocking to.

A look at Web3 startups

Web3 startups are companies that leverage decentralised technologies to create innovative solutions that are not possible in traditional centralised systems. These solutions typically involve blockchain technology, which is a distributed ledger that allows for secure and transparent transactions without the need for intermediaries.

Web3 startups are revolutionising the finance industry through decentralised finance (DeFi), which allows for peer-to-peer transactions and removes the need for intermediaries such as banks. DeFi protocols like Compound, Aave, and MakerDAO have gained popularity among users who are seeking a more transparent and decentralised financial system.

Web3 startups are also disrupting the gaming industry by introducing blockchain-based games that allow players to earn cryptocurrencies and trade in-game assets on decentralised marketplaces. Axie Infinity is a popular example of such a game, where players can earn cryptocurrencies by breeding and battling creatures called Axies.

In addition to finance and gaming, Web3 startups are also making strides in the social media industry. Social media platforms like Minds and Steemit are leveraging blockchain technology to create decentralised alternatives to mainstream social media platforms. These platforms aim to give users more control over their data and content while ensuring transparency and censorship resistance.

Also Read: Putting all your eggs in one basket?

As more industries adopt decentralised technologies, Web3 startups will continue to create new markets and revolutionise existing industries, making them an attractive investment opportunity for investors looking for high returns on investment.

Tap into the upsides

Investing in Web3 startups offers several benefits for investors who are interested in the potential of decentralised technologies. In this section, we will explore in more depth the advantages of investing in these startups.

High returns on investment

Web3 startups can offer high returns on investment through their innovative business models and disruptive technology solutions. Decentralised technologies like blockchain and cryptocurrency can transform industries, creating growth and profitability opportunities.

NFTs remain popular, with digital art and collectibles being a growing market. Nifty Gateway and Rarible are examples of Web3 startups that have capitalised on this trend, providing NFT marketplaces for artists and collectors to transact without intermediaries.

The NFT market cap grew from US$210 million in 2020 to over US$35 billion in 2022, demonstrating the explosive potential of Web3 startups to create new markets and generate high returns on investment.

With the increasing adoption of blockchain technology and decentralised finance, Web3 startups are expected to expand into new markets and revolutionise existing industries.

Diversified investments

Investing in Web3 startups provides the advantage of diversified investments across different industries and solutions. Web3 startups operate in a range of industries, including finance, gaming, social media, and supply chain management, among others. This provides investors with opportunities to invest in a range of solutions and reduce the risk of being overexposed to a single industry or solution.

Diversification is a key strategy for reducing investment risk, as it allows investors to spread their investments across different asset classes and industries. By investing in a portfolio of Web3 startups, investors can reduce their exposure to specific risks associated with any single startup and increase their chances of success.

Socially responsible investing

Investing in Web3 startups can also be a socially responsible investment, as these startups often have a positive impact on society and the economy. Decentralised technologies have the potential to create more transparent, efficient, and secure systems that benefit all stakeholders.

For example, blockchain technology can be used to create more transparent and efficient supply chains that reduce waste and improve sustainability. Web3 startups such as Provenance and Everledger are using blockchain technology to track and verify the authenticity of products, from food to diamonds, creating a more transparent and sustainable supply chain.

Investing in Web3 startups that are working on socially responsible solutions can provide investors with a sense of purpose and help to create a more sustainable future for all.

Potential for liquidity

Investing in Web3 startups can also offer the potential for liquidity, as many Web3 startups use cryptocurrency tokens as a means of fundraising and as a means of transacting on their platforms. These tokens can be bought and sold on cryptocurrency exchanges, providing investors with opportunities to realise returns on their investments.

Additionally, many Web3 startups are exploring alternative fundraising models such as initial coin offerings (ICOs) and initial exchange offerings (IEOs), which provide investors with opportunities to invest in the early stages of a startup’s development and potentially realise significant returns as the startup grows.

Challenges facing Web3 startups

Web3 startups face challenges that can impact their success.

Also Read: Strategies for success: Building a thriving Web3 startup

One major challenge is the lack of regulation and standardisation in the decentralised ecosystem. This can create uncertainty and confusion for investors, making it difficult to assess risks and potential rewards.

Technical complexity is another challenge, requiring a high level of expertise, which can be a barrier for investors.

Established companies with established market positions and significant resources can also pose a challenge to Web3 startups.

Strategies for successful investment in Web3 startups

To succeed in investing in Web3 startups, a strategic approach is necessary. This includes research, due diligence, building a diversified portfolio, and collaborating with experienced partners.

Research and due diligence are crucial for assessing risks and potential rewards and analysing technology, business models, market position, and competition.

Diversifying investments across different industries and solutions reduces risk and provides opportunities for high returns.

Collaborating with experienced partners offers valuable insights, technical expertise, market knowledge, and connections to other investors, increasing the chances of success for Web3 startups.

Final thoughts

Web3 startups are the next big thing that investors are flocking to, as they offer the potential for high returns on investment, diversification, and socially responsible investing.

While Web3 startups face challenges such as regulation and technical complexity, their potential to transform industries and create new opportunities makes them a compelling investment opportunity for forward-thinking investors.

As the Web3 ecosystem continues to grow and mature, investing in Web3 startups will likely become an increasingly important component of a well-diversified investment portfolio.

–

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Animoca Brands and its game developing and publishing subsidiary Notre Game have announced a partnership with leading martial arts organisation ONE Championship to create an NFT-powered mobile game ONE Fight Arena.

The We3 game is being developed by Notre Game and will start player testing in Q4 2023, with a full global launch in Q1 2024.

It will be available as a free-to-play mobile game on Google Play and Apple’s App Store.

Unlike traditional sports games, ONE Fight Arena will focus more on strategic gameplay than just the action inside the Circle. Gamers can select from a wide variety of ONE athletes, such as MMA legend and ONE Flyweight World Champion Demetrious “Mighty Mouse” Johnson and ONE Flyweight Muay Thai World Champion Rodtang “The Iron Man” Jitmuangnon.

ONE Fight Arena will offer players optional Web3 integration that uses blockchain technology and NFTs to provide authentic digital ownership to players for certain game assets, including ONE athletes as they appear in the game.

Also Read: Animoca Brands acquires US-based music metaverse company Pixelynx

Players who do not wish to engage in the Web3 layer will still be able to play ONE Fight Arena as a traditional free-to-play mobile game, without true ownership of their ONE digital assets.

Hua Fung Teh, Co-Founder and Group President of ONE Championship, said: “This partnership will give us the opportunity to engage with our global fanbase at a deeper level through a unique gaming experience.”

Yat Siu, Co-Founder and Executive Chairman of Animoca Brands, said: “Our partnership with ONE to create ONE Fight Arena will enable the fans of the world’s largest martial arts organisation to access a novel gaming experience with true digital ownership at its core.”

ONE Championship ranks among the world’s top five sports properties for viewership and engagement with a cumulative reach of over 400 million fans, according to Nielsen. It produces and distributes events across over 170 countries, featuring martial artists and World Champions from over 80 nations and all martial arts styles, including MMA, Muay Thai, kickboxing, and Brazilian jiu-jitsu.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the platform, and other prizes. Join TOP100 here.

The post ONE Championship, Animoca partner to create NFT-powered mobile game appeared first on e27.

The 2023 Echelon Asia Summit is happening at the Singapore EXPO on 14-15 June 2023. Are you a startup founder, investor, corporate, or tech enthusiast? Don’t miss out on one of the most anticipated tech conferences in the region! Get your tickets now! For more information, visit the official Echelon page.

Registration for TOP100 is now open and we are looking forward to seeing your startup on the list!

TOP100 Program gives you the one golden chance to connect with hundreds of investors, showcase your startup at Echelon, pitch on the TOP100 stage, and access special programs. Find out what’s new in TOP100 and join here: https://bit.ly/TOP100_2023

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Now that Echelon Asia Summit is coming back in full swing, e27 is determined to make one of its key features, the TOP100, one of the best yet!

The TOP100 program is an annual initiative organised by e27 to showcase and recognise the most promising startups in the Asia-Pacific region.

The program is open to exciting new startups from the Asia-Pacific region with innovative ideas that break barriers across different industries. The selection of the TOP100 involves a rigorous screening process, including an evaluation of the startup’s product or service, team, market potential, and traction.

Also read: Effective customer retention strategies from top Philippine founders

The selected startups are given the opportunity to pitch their business ideas at the Echelon Asia Summit this June 14-15, 2023, at the Singapore Expo. The program also provides exposure to investors, mentors, and potential partners, enabling growth among participating startups and helping them expand their networks across the larger global tech ecosystem.

The TOP100 program has become one of the most prestigious startup competitions in the region, attracting thousands of applicants each year and providing valuable visibility and support to the most promising startups in the region.

17 startups closer to competing at this year’s TOP100

Being a frontrunner refers to startups close to making it to this year’s TOP100 program.

With all the amazing startups sprouting across the Asia-Pacific region’s vibrant tech startup ecosystem, we now present you with 17 frontrunners closer to competing at this year’s TOP100. Get to know them here!

WriterZen

Founded in 2021, WriterZen is a pioneer content SEO toolset that simplifies content lifecycle from creation to conversion. Tailored for all SEO expertise levels, WriterZen strives to deliver an exceptional user experience, while helping solve the most pressing issues for content creators in the new digital age by offering an advanced suite of tools for digital content creators to help them streamline their SEO (search engine optimization) workflow and produce content in the most efficient way.

More than 12,000 marketing teams, SEO professionals and agencies trust WriterZen to help them manage everything–from research to executing and optimizing content for better search results.

Wallet Codes

A one-stop platform for gamers to buy digital vouchers with ease and redeem them in peace, Wallet Codes offers a wide variety of over 50 digital top-up vouchers and gift cards at affordable prices, including Mobile Legends, PUBG UC, Steam, iTunes, Nintendo, and many more.

Wallet Codes’ top priority is to facilitate fast, secure, and convenient transactions on its platforms across all payment modes. Additionally, registered users will be enrolled in their P Points loyalty reward program with any purchase. The accumulated points can be used to redeem any product available on the platform. The highlight? There are no expiry dates or redemption periods. Furthermore, Wallet Codes also offers B2B partnerships for brand distributors and resellers looking to expand their portfolios.

Python RPA

Python RPA is developing a no-code SaaS platform for repetitive task automation. Anyone using their platform can create software bots (agent applications) that mimic human actions on a PC.

Key components include the No-code Studio, an integrated development environment for bots creation which features the following functionalities: no-code development of projects (scenarios for software bots), browser tasks automation, desktop tasks automation, MS Excel, and Google Sheets tasks automation; and the Python scripting 2. Orchestrator, a centralised software bots management server with the following functionalities: performance management, event logging, scheduling, queues, virtual machine management, and credentials management and encryption

Tokenizer NeoBank

Tokenizer enables users and businesses to store and transact Digital Assets and Fiat seamlessly in a single app for savings, transfers, payments, bill pay, investments, etc. In addition, Tokenizer is a gateway for users to easily access DeFi-based crypto yields. In addition to cryptocurrencies and fiats, Tokenizer is also a portal for tokenized assets such as real estate, bonds, etc where existing traditional assets are converted to tokens via industry-leading Asset Tokenization with Compliance and Trading infrastructure.

In short, Tokenizer is the complete Digital Assets super-app platform for the new era of banking and finance.

ZAKKI

ZAKKI is a startup dedicated to fostering an inclusive community for elderly individuals and people with disabilities through social technology. It is the flagship project of the Integrity Syariah, with a mission to promote micro-enterprises, volunteer communities, and support networks for these communities. During the COVID-19 pandemic, ZAKKI launched Naon, an anti-corruption and lost-and-found initiative, and developed MAHA, an educational game aimed at preventing discrimination and violence against children.

Additionally, ZAKKI operates the Rekan project, a volunteer network, and community learning center, as well as Kimar, a micro-business market platform for beneficiaries. ZAKKI #ForYou is a crowdsourced program that provides free goods, pets, and food to those in need.

Artopologi

Artopologi.com is an online platform that connects, serves, and grows the art ecosystem in its mission to regenerate art collectors in Indonesia. We provide online and offline platforms for artists and galleries to exhibit, sell, and authenticate artworks. Each of the artwork showcased in our marketplace comes with a digital certificate registered on blockchain as a physical asset-backed Non-Fungible Token as proof of authenticity. The certificate is minted directly by Artists and Galleries.

All types of collectors — whether aspiring ones, newbies or seasoned — can purchase art directly from the artists, from treasure troves of various galleries, or from private collections in IDR (Rupiah). We also offer B2B services to connect businesses or art enthusiasts with artists and artworks that are suitable for the brand identity and image they want to build.

Evalue8 Sustainability

Evalue8 automates carbon accounting. It enables organisations to produce greenhouse gas emission reports for stakeholders and identifies cost and greenhouse gas emission-saving opportunities. Evalue8 is a specialist software business based in Canberra that provides an enterprise sustainability platform to organisations to enable them to measure their progress towards becoming clean and green and to assist them in that process.

Their carbon accounting software links to accounting software to minimise your data entry effort and to enable your greenhouse gas emissions reporting to be as up-to-date as your information sources.

It also helps you document the calculations, which is important if you want to be able to demonstrate that you have achieved greenhouse gas emission reductions of 50% or more by 2030 or are carbon neutral by 2050, whether you wish to apply for Climate Active certification as carbon neutral or not.

Quest – Hire a Hero

Quest connects SMEs in Southeast Asia to a “cult-like” community of Gen Z gig workers within 5 minutes.

With increased pressures to reduce cost and full-time headcount, startups and SMEs in Southeast Asia are struggling to execute their ideas. On the other hand, 80% of Gen Zs are capable and hungry for alternate income sources.

At Quest, they give businesses everything they need to find, hire, and manage top gig talents for a fraction of the cost of agencies and freelance platforms.

Quest is on a mission to provide the next million jobs through flexible opportunities.

Longan Group

Longan Group is an ethical and inclusive debt management company supporting consumers and financial institutions to manage their finances more efficiently, on a mission to solve consumer indebtedness and promote financial health among the 2bn population across Asia, a $60bn market.

They provide debt solutions for banks, fintechs, and other financial institutions looking to improve cash flows and manage their balance sheets. They are headquartered in Singapore with core operations in Vietnam and Indonesia. They are actively working on further expansion.

South and Southeast Asia have experienced rapid growth in lending, both consumer and corporate, over the last 15 years. Home to some of the largest financial institutions in the world, there is an obvious void in place of professional receivable management companies. Longan Group is here to fix this problem.

Praketa Innotech Pvt Ltd

Praketa is a youth-led Indian social enterprise. Their young crew is working towards the 4th, 7th, 8th, 13th, & 17th UN Sustainable Development Goals: Affordable & Clean Energy – Climate Action – Quality Education – Decent Work and Economic Growth – Partnerships for the Goals.

They have been awarded and recognised by National & International organisations such as United Nations, Niti Aayog, Youth Sustainable Energy Hub (YSEH), Asian Development Bank, MIT, Atal Innovation Mission, and many more.

ExtraBread

ExtraBread is a decentralised lending protocol. The platform enables a more cost-effective and fully transparent model using a ready-to-go liquidity pool infrastructure by connecting investors and borrowers to democratise access to capital and finance opportunities.

Real-world assets can be tokenised into fractional digital ownerships and participants can turn these tokenised digital assets into multiple financial instruments.

Depositors can provide liquidity funds to earn a passive income, while asset owners are able to borrow or raise funds by collateralising their assets.

WeJammin

WeJammin is the perfect platform for singers, songwriters, artists, and producers to collaborate on creating new music. It’s a mobile app featuring Rap Studio and Song Maker capabilities, with a huge selection of beats and other sound effects to choose from.

Recording your vocals or instruments is a breeze — just use your earphone mic, and WeJammin will automatically compress, equalise, and apply reverb, delay, and other filters with a single tap. Whether you want to craft a hit single or just share something special with your friends and family, WeJammin has everything you need to bring your music to life.

Through cutting-edge technology and innovative tools, they are simplifying music production and fostering a global movement of music creators. With their mixing mastering AI model, they are planning to enable users to simply upload their songs on Spotify and other streaming platforms right through their phones.

Hewania

Hewania is the pet super platform covering vet telehealth, marketplace, content and community, to make pet parenting much easier than before. They are the official partner of the Indonesian Veterinary Medical Association and aim to be the pioneer of the growing pet industry in Indonesia and Southeast Asia.

They are helping pet owners to connect with credible veterinarians who are members of the Indonesian Veterinary Medical Association, and provide the best pet supply products. They are also helping pet owners to find the nearest pet shop or clinic from their place in their online directory with 5000+ data from Indonesian Veterinary Medical Association.

Potioneer

Areix Analytics Limited

AREIX is an award-winning FinTech company that develops simple and high-performance financial management services for both sophisticated and novice investors.

Their offerings solve the challenge of users that cannot access returns from sophisticated strategies due to the complexity of backtesting automated models and implementing risk management practices.

Founded in HKSTP, AREIX is now backed by international accelerators, such as the 500 Global and the AppWorks. Having achieved 15+ accolades since 2020, AREIX is an innovative pioneer in the area of web 3.0 fintech. AREIX is now leveraging its technology and expertise to build an open, user-centric, and trustworthy ecosystem.

Augmenteed

Augmenteed is a software platform for designing and building digital workflows for front-line technicians at their job sites. They optimise the daily tasks of workers by deploying applications that replace outdated manual processes, resulting in improved productivity, better team collaboration, reduced errors, and lower costs.

They augment operations for standard operating procedures, maintenance and repair, technical support, and training.

Their platform is unique as it enables industrials to digitise their processes within weeks without coding and offers the flexibility to modify and update the workflows and layouts as per current requirements. Any changes to standard operating procedures and regulations can swiftly be updated in the application

MedsGo

MedsGo was created with the goal of making medicines and healthcare supplies convenient for Filipinos. Founded in 2023, MedsGo is a digital service that allows customers to order these items on the web. We team up with registered pharmacies and distributors to guarantee quick access to essential medical products. Our services are continually evolving, which include same-day delivery, a telephone health line, and an online prescription option.

It is MedsGo’s ambition to become the principal e-commerce provider of medical items and healthcare essentials around the Philippines. Our company seeks to revolutionize the purchasing process of medications, making it hassle-free and dispensing without the need to queue up at a store.

A step closer to the 2023 TOP100

After a rigorous screening process, these startups are a step closer to qualifying for this year’s TOP100.

If you are one of the founders of the startups above, a representative from e27 will be reaching out to you soon to discuss with you the next step in your application process. Feel free to get in touch with us for any inquiries.

Also read: Ditch your other plans and Meetup with us in Singapore

If you have an exciting startup with innovative ideas that can eclipse the best and the brightest in the region, join the 2023 TOP100 and stand a chance to pitch your ideas to some of the top investors in the Asia-Pacific at this year’s Echelon Asia Summit. Register for TOP100 here.

The post 17 startups inch closer to competing at the 2023 TOP100! appeared first on e27.

GoTo Group narrowed its net loss by 41 per cent for the quarter ending March 31, 2023, to Rp 3.9 trillion (US$265 million) from US$445 million recorded in the same period last year.

The improvement is mainly attributed to higher revenues and reduced incentives and product marketing spending.

In Q1 2023, GoTo Group continued to optimise monetisation and reduce costs across the organisation. Gross revenue4 grew 14 per cent YoY to Rp 6 trillion (US$408 million), while incentives and product marketing costs were reduced by Rp 2.6 trillion (US$317 million) or 39 per cent YoY.

The adjusted EBITDA for Q1 2023 improved 67 per cent YoY to US$109 million, driven by solid performances from the on-demand services and e-commerce segments.

“We continued to make considerable progress toward profitability in the first quarter of 2023, with adjusted EBITDA improving by 67 per cent YoY and 49 per cent QoQ, meaning we are halfway towards becoming adjusted EBITDA positive within Q4. Our focus on high-quality, profitable consumers along with a disciplined approach to costs has significantly increased our efficiency and gives us a glimpse of what the future looks like for GoTo,” said GoTo Group CEO Andre Soelistyo.

Also Read: ‘Indonesia will soon see a proper credit boom for businesses, consumers’: AC Ventures

The cost-saving measures implemented in Q4 2022 reduced recurring cash OpEx by around 17 per cent QoQ. Personnel cost savings from measures announced in November 2022 improved by 13 per cent from the previous quarter. Incentives and product marketing spend were also reduced by 39 per cent YoY.

On-demand services saw healthy gross revenue growth of 12 per cent in Q1, led by optimised commissions and fees in transport as well as targeted platform and delivery fees in food.

Incentives and product marketing expenses decreased by 30 per cent YoY on a blended basis between food and transport, in line with the company’s focus on increasing its high-quality consumer base, which is more resilient and less motivated by incentives.

In the e-commerce segment, GoTo’s introduction of innovative features supported continued monetisation growth during the quarter while sustaining Tokopedia’s sizable market share. These included improved merchant app functions enabling meaningful competitive insights and marketing tools to drive sales. The implementation of dynamic ad slots in search also helped increase ad relevance.

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Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like connecting with investors, visibility through the platform, and other prizes. Join TOP100 here.

The post GoTo Q1 loss narrows 41% to US$265M on higher revenues, lower marketing spend appeared first on e27.