Pave Bank, a fully licensed commercial bank built for programmable and regulated digital finance, has raised over US$39 million in fresh funding led by Accel, bringing its total funding to over US$44 million.

Tether Investments, Quona Capital, Wintermute, Helios Digital Ventures, Financial Technology Partners, Yolo Investments, Kazea Fund, and GC&H Investments also joined the round.

Pave Bank will use the money to expand its regulatory coverage, accelerate product development, and deepen its institutional-grade infrastructure across global markets.

Also Read: ‘Programmable bank’ Pave Bank launches with US$5.2M seed funding

It also plans to expand its licensing footprint, roll out programmable treasury products, and integrate more deeply with financial and digital asset ecosystems.

Pave Bank was started by banking executives-turned-fintech operators Salim Dhanani (CEO), Simon Vans-Colina (CTO), and Dmitry Bocharov (COO) with a US$5.2 million seed funding in 2023.

The fintech startup aims to reimagine how a bank is built, how it operates and how businesses interact with their bank. With the future of banking rooted in the convergence of traditional finance and digital assets, Pave Bank is building a new operating system or layer for how money or assets are linked globally.

Its unified platform offers commercial banking services—including deposit accounts, payments, FX liquidity, card issuance, and treasury management—alongside digital asset custody, instant settlement, and OTC trading under a single regulatory and compliance framework.

“The global financial system is moving towards regulated on-chain finance, and institutions need a trusted bridge between the old and the new,” said Salim Dhanani, co-founder and CEO of Pave Bank. “We have built a multi-asset bank that merges the stability and prudential oversight of traditional finance with the automation, speed, and intelligence of digital assets.”

A bank built for the new financial architecture

Pave Bank’s clients can manage fiat and digital assets in real time, automate treasury operations, and reduce dependency on intermediaries. For the corporate world, the platform enables the secure use of stablecoins and the integration of digital assets within their treasury systems, improving speed, control, and cost efficiency.

The company claims it has achieved profitability in seven of its first nine months of operation. With a workforce of just over fifty, Pave Bank credits its lean operating model to automation and AI-driven processes across engineering, compliance, and treasury functions.

“The companies we serve are large, sophisticated institutions operating across markets,” Dhanani added. “They expect their bank to be as fast and adaptive as the technology companies they partner with, but with the security and oversight of a regulated financial institution. That’s the gap we’re closing.”

“As digital assets become an integral part of the global financial ecosystem, there is a strong need for a well-regulated, full-reserve approach to banking at the intersection of fiat and digital assets,” said Rachit Parekh, Partner at Accel. “Pave Bank is at the forefront of this fundamental shift in how financial infrastructure operates.”

Also Read: Blurring the Lines: The convergence of traditional finance and crypto

Ganesh Rengaswamy of Quona Capital added: “By powering mainstream fintechs and digital platforms through its programmable banking infrastructure, Pave is leading the new age transformation in financial services. Its full-reserve, programmable model could catalyse wider adoption of stablecoins and deepen financial inclusion across markets.”

Pave Bank operates under a banking licence issued by the National Bank of Georgia. Its holding company is based in Singapore, and a representative office is in London. The firm is also expanding its presence to the UAE, the US, Hong Kong, and the European Economic Area.

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Vietnam has emerged as Southeast Asia’s most optimistic e-commerce market, even as it grapples with the region’s toughest regulatory landscape. A new report by Singapore-based Blackbox Research, “The Next Leap for E-Commerce in Southeast Asia,” reveals that 85 per cent of industry experts are confident in Vietnam’s long-term digital commerce prospects. This is despite 69 per cent citing compliance challenges, particularly tax reforms, as significant short-term hurdles.

This paradox of high optimism amid regulatory strain positions Vietnam not only as a resilient digital economy but also as a potential blueprint for broader ASEAN e-commerce integration.

According to the report, experts ranked Vietnam highest in logistics infrastructure (84 per cent), platform competitiveness (77 per cent), and buyer experience innovation (70 per cent). This performance is driven by tech-savvy sellers, agile entrepreneurs, and a maturing e-commerce platform landscape.

However, these strengths are undercut by regulatory rigidity. Only 39 per cent of experts view Vietnam’s regulatory environment as competitive, highlighting a gap between business innovation and policy adaptation. The report attributes much of the strain to the recent implementation of VAT withholding requirements, which disproportionately affect MSMEs that are unprepared for compliance complexity.

The country’s challenges are a microcosm of regional obstacles. Nearly half (48 per cent) of regional experts cite regulatory fragmentation—overlapping, inconsistent rules—as the most significant barrier to Southeast Asia’s e-commerce expansion. High logistics costs and limited MSME digital capacity also rank as significant concerns.

Also Read: AI adoption in SEA e-commerce: The clock is ticking for sellers

Vietnam’s urban-rural delivery gap, with 80 per cent of e-commerce revenues concentrated in Hanoi and Ho Chi Minh City, exemplifies the broader inclusion challenge. Solving this requires extending infrastructure investment and digital capability-building across provinces. Experts call for multi-stakeholder collaboration, with 57 per cent deeming public-private co-investment as essential.

Smarter regulation is another lever. Suggestions include streamlining tax processes, piloting regulatory sandboxes, and embedding evidence-led policymaking to encourage innovation while maintaining trust.

The report underscores the opportunity to transform platforms into “e-Distributors” or intermediaries that provide sellers with access to consumers and tools for compliance, logistics, and payments. With 85 per cent of experts supporting this model, the onus is on platforms to evolve beyond marketplaces into full-service digital enablers.

David Black, CEO of Blackbox Research, described Vietnam’s situation as “remarkable resilience.” He notes, “This paradox—high optimism contrasted with significant regulatory friction—isn’t just happening in Vietnam but across Southeast Asia too. It proves the entrepreneurial spirit is strong in the region, but it needs a better framework to truly thrive.”

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The alarming statistic that approximately 90 per cent of startups fail is well-known in the entrepreneurial world.

While running out of cash is often cited as the immediate cause of death, a new white paper titled “The Corporate Venture Valley of Death,” co-authored by Wright Partners and MING Labs (WPML), argues that this financial shortfall is merely a symptom of deeper, systemic underlying issues. The report details the dangers lurking in flawed venture design, misaligned teams, and insufficient adaptability.

The true killer: Lack of market need

“Valley of Death” is defined as the critical gap where a venture runs out of early funding before achieving sustainable traction or securing follow-on investment. While three common definitions exist—the funding gap, the cash burn gap, and the research-to-commercialisation gap—they all point to a period of acute financial vulnerability.

Also Read: Why startups fail: Lessons from immigrant entrepreneurs who beat the odds

However, simply injecting more money is rarely the solution, as many failing ventures suffer from fundamental business flaws that cash cannot fix, such as weak product-market fit or unclear customer value.

Crucially, research indicates that the number one cause of startup failure is a lack of market need for the offering, accounting for 42 per cent of failures–a rate higher than running out of cash or internal team issues.

The WPML authors emphasise that many ventures are poorly conceived from the start, acting as a “solution in search of a problem” or relying on untested assumptions. This foundational error typically stems from a rushed or superficial design phase, where founders settle for a shallow “paper validation” without rigorously testing whether customers genuinely struggle with a problem and are willing to pay for a solution.

The authors, drawing on their hands-on experience, stress that a viable venture must solve an “acute” customer problem–one that unlocks significant tangible value–either by saving or earning the customer a substantial amount of money or time. They have seen numerous ideas with surface appeal, such as an ESG reporting tool for banks or a biomass trading marketplace, fail because deep analysis revealed the pain point was not significant enough to translate early interest into a scalable business model.

The trap of hype and easy money

The tendency for ventures to chase trends rather than pinpointing genuine customer pain exacerbates this issue. During periods of “easy money,” like the boom that preceded the 2022/2023 tech downturn, startups formed around hype cycles–whether it was crypto or generative AI--often obtaining initial funding easily because investors feared missing out on “the next big thing”. However, when the funding tide recedes, these hype-driven companies, lacking a sustainable business model beyond buzzwords, hit the Valley of Death hard.

To combat this, the white paper outlines a rigorous approach during the concept Design stage: actively seeking out potential failure points, attempting to disprove the concept, and finding holes, uninterested customers, or cheaper existing alternatives. The ultimate antidote to the Valley of Death is deemed to be early and consistent revenue generation.

The twin pitfalls: Wrong team and rigidity

Beyond flawed design, the report identifies the wrong founding team and insufficient adaptability as primary failure drivers. A great idea can falter without the right people and incentives. Moreover, even ventures with strong concepts and teams often fail because they lack the ability to pivot when the market inevitably shifts.

The venture landscape is constantly changing due to economic shifts, new competitors, and unexpected crises. Small ventures are particularly sensitive to these changes, as they lack large companies’ diversified business lines and financial reserves. A startup must be able to adjust its model quickly in response to new information or external shocks.

The recommended playbook for survival emphasises two core principles:

• Sell first, build later: Prioritise early revenue, using minimal solutions that customers will pay for, thereby proving the attainability of cash flow and extending the runway.
• Run pilots early and iterate fast: Allocate budget to testing assumptions in vivo and utilising the “scientific method of venture building” to gather real feedback on pricing, demand, and usability, quickly refining product-market fit.

Also Read: The business looked healthy – until I asked this one question

In conclusion, the 90 per cent failure rate is not a curse, but a reflection of preventable, foundational errors. For corporate executives and entrepreneurs alike, avoiding the Valley of Death means embracing a rigorous Design Phase and demanding honest validation before significant resources are committed.

By focusing on a monetisable customer pain and pushing for early sales, ventures can build the resilience needed to survive the difficult early growth phase.

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The global landscape is shifting amid increased uncertainty that is influenced by geopolitical tensions, shifting trade policies and rapid advancements in technologies such as artificial intelligence.

It is important for Southeast Asia to understand these trends to navigate the uncertainty and discover opportunities in this rapidly evolving business environment. While there are challenges, there are also opportunities for the region to strengthen its position and drive sustainable growth.

Here are key global trends and their possible impact on the Southeast Asian ecosystem in 2025.

Trade-offs of Trump’s tariffs

Since returning to office, President Trump has introduced protectionist or “America First” trade policies that could disrupt global supply chains. For instance, President Trump signed executive orders on 1 February to impose tariffs on Canada, Mexico, and China which raised concerns over inflation and production costs.

This poses significant risk to Southeast Asia, a region that is heavily reliant on exports. U.S. goods exports to ASEAN reached US$124.6 billion in 2024, an increase of 16.6 per cent from 2023. While these measures could increase costs for businesses dependent on international supply chains, they may also drive production to Southeast Asia as companies seek alternatives due to tariffs on China.

Although some industries such as electronics and manufacturing might be impacted due to rising costs and fluctuating demands, the region can benefit from a reconfiguration of global supply chains.

Southeast Asian countries such as Vietnam and Indonesia are focused on strengthening their manufacturing sectors with investor-friendly policies, and will likely benefit from new capital inflows and business relocations. This could further boost industrial growth and create new job opportunities in the region.

Also Read: Wall Street’s reckoning: How Trump’s words sparked a global sell-off

The Federal Reserve’s monetary policy and how it will shape the region

The US Federal Reserve’s monetary policy is another factor that could affect Southeast Asia. While interest rates have remained steady at 4.25 per cent to 4.50 per cent, there is increasing uncertainty due to concerns surrounding the Federal Reserve’s stance on future rate hikes or cuts as well as ongoing geopolitical tensions.

Higher interest rates could post a threat to both emerging markets and developing economies (EMDEs) in Southeast Asia. However, it does not specify which countries fall under each category. According to the World Bank, an increase in U.S.interest rates, especially driven by shifts by the Federal Reserve’s stance, will have an adverse impact on financial conditions in emerging markets and developing economies.

An extended period of high interest rates could slow down regional growth by limiting business expansion and reduce investors’ interest in riskier assets such as venture capital and private equity investments. These assets are sensitive to interest rate movements as higher borrowing costs make acquisitions and funding rounds more expensive and that leads to lower valuations and reduced potential returns.

Such movements may result in a slowdown in investment activities in the region. Conversely, if interest rates go down, Southeast Asia could see a return in investments which will enhance the region’s competitiveness and long-term economic resilience.

The movement in interest rates also impacts retail investors in addition to institutional investors.  Investors in Southeast Asia need to stay informed of shifting interest rates and the impact on their investment strategies as different equities react differently to interest rate movements.

Also Read: Global markets in flux: Trump’s tariff pause and bitcoin reserve shake sentiment

For instance, dividend stocks tend to be more attractive when rates are stable as they offer steady cash flow, while growth stocks benefit from less volatility in borrowing costs that allow companies to resume long-term investments. Growth stocks could see a rise if the Federal Reserve cuts interest rates later. However, if interest rates are sticky and rate hikes return, growth stocks could experience headwinds.

A shift in AI narrative

AI will continue to be a major trend in 2025, with new AI advancements transforming the industry. The  initial AI rally was led by hardware companies such as NVIDIA as companies relied on their high-performance chips to power advanced AI systems. However, as AI adoption continues to rise, the focus has started to pivot to software driven solutions.

Palantir exemplifies this trend and has emerged as a leader in operational AI decision-making tools. The company helps enterprises process their data and turn them into actionable insights to improve decision making and enhance operational efficiency.

The next phase of AI will focus on companies, like Palantir, Snowflake and Marvell, which are driving AI adoption through data utilisation, enterprise integration, and scalable revenue models.

Simultaneously, competition in the industry is ramping up and driving greater innovation as companies find ways to make AI more scalable in key areas such as cloud computing, cybersecurity, healthcare, and generative AI.

This presents new opportunities for companies in Southeast Asia to leverage AI to automate their processes, boost their operational efficiency and improve decision-making to fuel business growth. The shift from AI hardware to software underpins the growing realisation that AI’s true potential lies in its application across industries, not just in the hardware powering it.

These global trends will continue to shape Southeast Asia’s business landscape in 2025 and beyond. The region’s ability to navigate shifting trade policies and the pivot from AI hardware to software will be crucial in defining its trajectory and performance in the global economy. Southeast Asia can drive its next wave of growth by staying agile and intentionally capitalising on these trends.

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In an era of persistent inflation, geopolitical uncertainty, and shifting monetary policies, a new financial landscape is emerging. Cryptocurrency, once dismissed as a fringe experiment, is now positioned as a powerful tool for economic resilience and innovation. While headlines often focus on price swings, the real story is how digital assets are providing tangible solutions to the weaknesses of our current system.

Let’s explore the powerful role crypto is playing in today’s economy.

The pillars of promise: Crypto’s economic advantages

• A modern hedge against inflation

With central banks around the world engaging in significant money printing, fears of currency devaluation are real. Bitcoin, with its fixed supply of 21 million coins, was architecturally designed as a direct response to this. This verifiable scarcity positions it as “digital gold” for the modern era — a decentralised asset that can help preserve purchasing power, offering an alternative to traditional safe havens.

• Financial sovereignty and inclusion

The current global economy highlights the risks of centralised control. Cryptocurrencies operate on borderless, censorship-resistant networks. This isn’t just a technological feature; it’s a paradigm shift. For millions in countries suffering from hyperinflation or restrictive capital controls, crypto provides a viable lifeline — a way to secure wealth, send remittances cheaply, and participate in the global economy on their own terms.

• Unlocking new avenues for growth

The search for yield in a fluctuating interest rate environment remains fierce. The ecosystem of Decentralised Finance (DeFi) offers a compelling alternative. Through secure processes like staking and liquidity provisioning, individuals can actively earn yield on their digital assets, fostering a new model of economic participation that moves beyond traditional banking.

• The engine of Web3

Beyond finance, blockchain technology is the foundation for the next evolution of the internet, known as Web3. This represents a future with creator-owned economies (powered by NFTs), transparent supply chains, and user-controlled digital identity. Investing in the crypto space is, in many ways, an investment in the foundational layer of this more open and equitable digital world.

Also Read: CPI countdown: How Friday’s inflation data could make or break the crypto rally

A balanced perspective: Acknowledging the journey

It’s important to acknowledge that the market is maturing. Currently, crypto assets often move in correlation with tech stocks, reacting to broader macroeconomic trends like interest rate hikes. This “risk-on” behavior shows an asset class still finding its independent footing amidst traditional markets.

Furthermore, the path to mainstream adoption is being paved with necessary regulatory frameworks and continued technological scaling to improve user experience. These are not roadblocks, but signposts on the road to maturation.

Looking forward: A pragmatic and optimistic outlook

For those looking to engage with this dynamic space, a strategic approach is key:

• Focus on the long-term vision: Look beyond short-term volatility to the long-term trajectory of technological integration and adoption.
• Prioritise education: Understand the fundamentals — from Bitcoin’s monetary policy to the utility of smart contracts. Knowledge is your most valuable asset.
• Diversify thoughtfully: Consider crypto as a growth-oriented component within a diversified portfolio, aligned with your personal risk tolerance.

The bottom line

Cryptocurrency has firmly transitioned from a conceptual experiment to a formidable force in the global economy. It offers a powerful set of tools for those seeking alternatives: a potential store of value, a gateway to financial inclusion, and a stake in the future of the internet.

While the journey involves volatility and evolution, the underlying trend is one of relentless growth and increasing utility. For forward-thinking individuals and institutions, understanding crypto is no longer optional — it’s essential for navigating the future of finance.

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A few years ago, sustainability was seen as a nice bonus—something startups might consider if they had extra resources. Today, it’s a necessity. Consumers demand it, investors prioritise it, and governments are enforcing it. For startups, sustainability is no longer a “good to have.” It’s becoming the biggest competitive advantage in 2025 and beyond.

Startups that integrate sustainability into their core business strategy aren’t just helping the planet—they’re building more resilient, profitable, and future-proof companies. Here’s why sustainability is set to be the biggest growth driver in the coming years and how startups can capitalise on it.

The business case for sustainability: Why startups can’t ignore it

• Consumers are voting with their wallets

The modern customer doesn’t just care about what a product does—they care about where it comes from, how it’s made, and what impact it has. Millennials and Gen Z, now the dominant buying force, are willing to pay a premium for sustainable products.

Consider Patagonia, a company that built its brand on environmental activism. When they launched the famous “Don’t Buy This Jacket” campaign—urging customers to think twice before making a purchase—it didn’t hurt their sales. Instead, it boosted their reputation and customer loyalty.

For startups, this is a game-changer. A strong sustainability narrative isn’t just about ethics—it’s about differentiation.

• Investors are pouring money into ESG startups

Venture capitalists (VCs) and institutional investors are increasingly backing sustainability-focused startups. BlackRock, the world’s largest asset manager, has seen its ESG-related assets under management grow significantly. As of 2024, BlackRock’s sustainable funds exceeded $423 billion in assets under management, making it the leading sustainable funds asset manager globally. ​

This substantial growth underscores the escalating demand for sustainable investment options. For startups, having a clear sustainability strategy can be pivotal in attracting investment, as investors are keen to support businesses that align with environmental, social, and governance (ESG) principles.​

VCs aren’t just investing in green startups out of goodwill—they see sustainability as a risk management strategy. Companies that operate sustainably are less likely to face regulatory fines, public backlash, or sudden shifts in market demand.

For startups looking to raise capital, having a clear sustainability strategy can be the difference between securing funding and being overlooked.

• Governments are tightening regulations

Governments worldwide are implementing stricter environmental policies, and startups that get ahead of these regulations will have a significant advantage.

For instance, the EU’s Corporate Sustainability Reporting Directive (CSRD) requires businesses to disclose their environmental impact in a standardised way. In Asia, Singapore has introduced mandatory climate-related disclosures for publicly listed companies, signalling a shift toward greater transparency.

Also Read: Some lessons on how to fulfil the climate tech promise

For startups, proactively adopting sustainable practices can mean fewer compliance headaches down the road—and potentially securing grants, incentives, and partnerships with regulatory bodies.

The competitive advantages of sustainability for startups

• Cost savings and operational efficiency

Many assume sustainability is expensive, but in reality, going green reduces costs in the long run. Energy-efficient supply chains, waste reduction strategies, and sustainable packaging can lower operational expenses significantly.

Take Tesla’s gigafactories, which operate on renewable energy, dramatically cutting long-term production costs. Similarly, brands like Unilever have reduced expenses by prioritising sustainable sourcing and waste reduction.

For startups, adopting similar efficiency-driven sustainability measures can increase margins and reduce overhead costs—a major advantage in competitive markets.

• Talent attraction and retention

The best talent wants to work for companies that align with their values. Employees today, especially younger professionals, prioritise mission-driven companies.

Startups like Beyond Meat and Impossible Foods have built passionate teams by positioning themselves as companies with a strong purpose. Their sustainability-driven mission attracts top-tier engineers, marketers, and operations professionals who want to make a difference.

For startups struggling with hiring, sustainability isn’t just a marketing tool—it’s an employer branding advantage.

• Brand loyalty and market differentiation

When every startup is fighting for attention, sustainability can be the X-factor that makes your brand stand out.

Certifications like B Corp status or carbon-neutral pledges can enhance credibility. Take Allbirds, for example. Their entire marketing revolves around sustainability, from their materials to their supply chain. As a result, they’ve cultivated a fiercely loyal customer base willing to advocate for the brand.

For startups, embedding sustainability into your brand story isn’t just about doing good—it’s about creating a stronger emotional connection with customers.

• Future-proofing against market risks

What is the biggest risk businesses face today? Climate change and resource scarcity.

Industries relying on finite resources or unsustainable supply chains will face increasing challenges in the coming years. Meanwhile, startups investing in green alternatives—such as renewable energy, circular economy models, or eco-friendly manufacturing—will be better positioned to adapt.

For example, while fossil-fuel-based energy companies struggle, renewable energy startups are thriving. Sustainability isn’t just about survival—it’s about gaining a first-mover advantage in the industries of the future.

Also Read: Investing in climate tech: Why investors should focus on impactful, low-hanging fruits

How startups can integrate sustainability for competitive advantage

• Innovate with sustainable products and services

• Use eco-friendly materials and ethical sourcing
• Explore circular economy models (e.g., renting instead of selling)
• Example: Lush Cosmetics’ zero-waste packaging

• Optimise operations and supply chains

• Partner with green suppliers to reduce your carbon footprint
• Adopt energy-efficient technologies to lower operational costs
• Example: Unilever’s sustainable supply chain initiatives

• Leverage sustainability in marketing and storytelling

• Be authentic—customers can detect greenwashing
• Highlight measurable impact (e.g., CO2 reductions, waste saved)
• Example: The Body Shop’s commitment to ethical sourcing

The future: The rise of the green economy

By 2026, sustainability won’t just be a competitive edge—it will be the baseline expectation.

Startups that embed sustainability into their DNA will attract better talent, gain stronger customer loyalty, and secure funding faster. Those that ignore it? They’ll struggle to stay relevant in a market that increasingly demands responsible business practices.

In short: The startups that win in 2025 will be the ones that make sustainability a core part of their strategy—not an afterthought.

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The Simple Agreement for Future Equity (SAFE) was popularised by Y Combinator (YC) in 2013 and has quickly become a ‘go-to’ instrument for startups seeking quick, flexible early-stage funding in the venture world. 

However, failing to understand how SAFE works as a legal instrument may pose significant risks, especially for first-time angels. 

How does a SAFE agreement work?

A SAFE (‘Simple Agreement for Future Equity’) is an easy way for startups to raise money without dealing with immediate valuations or shareholder responsibilities. 

A SAFE usually includes terms like a valuation cap or discount rate, which give angels the chance to convert their investment into equity at a better price during a future event, like the next funding round. Unlike loans, SAFEs don’t have interest or a set repayment date, which makes them appealing for startups.

Until the SAFE converts, angels don’t have any ownership or voting rights in the company. But once the agreed event happens, the SAFE turns into equity based on the terms, letting angels receive shares in a startup at a lower price than future angels. This makes SAFEs a flexible and straightforward option for startups looking for quick and easy fundraising.

SAFEs can create uncertainty for angels

For first time angels, it’s important to understand that a SAFE is an early stage, risky investment, in many ways the antithesis of a “safe” investment. While SAFEs promise early access to high-growth ventures, they strip angels of traditional legal safeguards.

• No priced round: YC’s SAFEs usually have no maturity date, so they would likely sit in a startup’s books in practice “forever” without any legal requirement requiring the startup to do anything about them. If there is no qualified financing, or a sale event, the last closure for the SAFE angel may likely be a wind- up or liquidation, where the angel may be able to receive up to their original investment back. And that’s only if (a) the company has enough assets to liquidate, and (b) those assets are not taken up by secured and other unsecured creditors. 
• No legal protections, no legal control: Until the SAFE converts, an angel usually does not have any of the rights that a shareholder would have (e.g. any voting rights or say in company decisions). A SAFE holder lacks voting rights, board seats, or liquidation preferences until a SAFE conversion in contrast to preference shareholders in a priced round. In liquidation events, they’re often subordinate to debt holders, risking total loss if the startup fails. According to Carta, a significant number of SAFEs signed by VCs also have side letters with common terms such as Most Favoured Nation (MFN) clauses, pro-rata rights, and information rights. Therefore, you may wish to get a startup lawyer to draft a side letter if you want additional rights beyond those outlined in the standard SAFE. 
• Complex cap table and conversion roulette: In our experience, as more SAFEs convert into equity and multiple SAFEs with varying terms are in play, the startup’s capitalisation table (‘cap table’) can end up becoming complex.  If you are unfamiliar with cap tables, you may want to read up about “cap table cramming” and how later SAFEs with better terms may dilute your stake.

Also Read: 5 legal mistakes startups make after inception and how you can avoid them

The legal gray zone

In 2021, after transitioning the SAFE agreement to be based on a post-money valuation, YC also began publishing international versions of the SAFE to address jurisdictional issues. To date, versions are available for Canada, the Cayman Islands, and Singapore, with clear warnings to seek local legal advice. 

Therefore, the YC’s SAFE template may usually require extensive customisations by a startup lawyer with direct experience in securities law.   Therefore, you must make sure that the SAFE is customised for your jurisdiction and that you’re complying with applicable securities laws in the country where the startup is domiciled. For example, a Malaysian startup must still comply with local Malaysian securities laws. 

In 2022, ​Singapore Academy of Law and Singapore Venture and Private Capital Association introduced the Convertible Agreement Regarding Equity (CARE), within the Venture Capital Investment Model Agreements (VIMA) as a local alternative to the YC’ SAFE agreement, to get more venture funding for startups. ​

In my past experience as startup lawyer, issues may arise when counterparties may be unfamiliar, especially over conversion mechanics (adding further to closing timeline compared to traditional equity structures). For instance, SAFE shares to be issued to a startup must be properly allotted and issued upon conversion, including setting the correct issue price at the subscription date, obtaining the necessary preemptive rights waiver from the existing shareholders to filing the necessary share lodgement returns to the registrar by the company secretary.

Final thoughts

Angels must not get fooled by the term “simple”  as there are still complicated mechanics to work through. Therefore, angels should seek legal advice before seeking to deploy capital using SAFE. As with all “standard” forms, one size doesn’t fit all and there are aspects of the YC’s SAFE that needs to be fixed each and every time one is used.

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Artificial intelligence is transforming media worldwide, yet much of Southeast Asia remains in the early stages of adoption. Studies show more than 80 per cent of the region is still in the stage of early AI adoption. Most media outlets are still exploring initiatives, experimenting with transcription, fact-checking, or content generation tools.

An Accenture report shows that 83 per cent of ASEAN countries are still in early adoption, while only 15 per cent have reached advanced implementation. Fields like communications, media, and technology sectors account for just 19 per cent of advanced adoption, highlighting untapped potential.

In the Philippines, a Vero survey found 90 per cent of journalists are familiar with AI, but only 52 per cent have integrated it into their work. Countries like Thailand, Indonesia, and Vietnam often begin their AI adoption with simple transcription or translation tools, while many navigate AI tools on their own.

This gap between AI’s potential and its implementation isn’t just about technology; it emphasises the absence of structured training and institutional support.

Faster isn’t always better: Why AI in newsrooms needs guardrails

The journalism industry faces ongoing challenges ranging from misinformation, shrinking attention spans, public scepticism, and increasingly polarised consumption. At the same time, fears of job loss, loss of creativity, and the erosion of core journalistic skills make the landscape even more challenging.

Surveys by Cision and Sword & The Script show that nearly 50 per cent of journalists receive more than 50 pitches per week, with up to 79 per cent rejected for being off-beat. Clearly signifying that most don’t match a journalist’s beat.

Meanwhile, modern AI systems are reshaping journalism by predicting trends, analysing massive volumes of data, and tracking reputational risks in real time to sharpen relevance and provide clarity. Yet researchers caution that if the content generated by AI is not transparently labelled and verified, it may blur the line between fact and fiction, particularly with deepfakes and manipulated media.

Also Read: Taiwan and Malaysia forge innovation bridge to advance AI, sustainability, and digital transformation

The field stands at a crossroads between great promise and significant uncertainty. Hence, the question is no longer about the impact of AI but about who gets to control the processes.

Reality check on policy gaps and uneven AI adoption

Despite AI’s potential to transform journalism through fact-checking, multilingual reporting, and crafting personalised content, its adoption remains uneven.

A 2025 Thomson Reuters Foundation report found that while 80 per cent of journalists in the Global South use AI, only 13 per cent of newsrooms have formal AI policies.

In Southeast Asia, surveys reveal that 79.3 per cent of newsrooms lack formal policies for AI. This shortfall raises serious concerns about integrity, creativity, transparency, and critical thinking in journalism.

A 2025 survey conducted by Trust Project examined journalists’ perspectives on AI’s influence and the results illustrate the following data:

• 53.4 per cent concern about AI’s ethical impact.
• 54.3 per cent worry it may erode creativity and originality.
• 51.4 per cent fear it could diminish critical thinking.
• 49 per cent caution about rising misinformation risks.

The facts clearly highlight the need for establishing formal AI guidelines to mitigate risks.

Also Read: A brief history of AI: Is winter coming?

Three principles for Southeast Asian newsrooms

To combat these risks associated with AI Adoption, newsrooms should know of these three principles to leverage AI responsibly.

• Transparent labelling of AI-generated content: Newsrooms should establish clear standards on labelling, oversight, and verification before surging into large-scale adoption.
• Structured training and leadership: While studies reveal more than 57 per cent of journalists using AI are self-taught, to keep pace with the rapid technological change, the industry requires structured training and formal newsroom guidelines to ensure credibility and ethical accountability.
• A human-in-the-loop model: To ensure journalism adheres to the principles of truth, accuracy, and objectivity, there’s a need for human oversight and institutional mechanisms to monitor and audit AI performance so it does not replace editorial judgment.

To maintain the principles of trust, accuracy, and ethical standards in journalism, the Southeast Asian newsrooms must follow the three principles of transparency, training, and human to balance efficiency with ethics.

Conclusion

Currently, Southeast Asia is at tipping point: eager to harness AI yet cautious of its impact on credibility and editorial integrity. The region’s media leaders must act decisively and establish ethical frameworks to balance speed and trust in journalism amidst the wave of AI adoption.

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In the climate x health space, investability is no longer solely about technical innovation; it increasingly depends on context, delivery, and inclusivity.

Investors are learning that non-financial enablers–specifically gender inclusion and capacity building–are not ancillary costs but essential components that multiply returns and ensure long-term sustainability.

Also Read: Asia’s climate-health deals are rising, but the story still lacks a name

The “Unlocking Capital For Climate x Health: The Investment Landscape in Asia” report, prepared by AVPN and Prudence Foundation, in partnership with Catalyst Management Services (CMS), says that women often carry a disproportionate burden of climate x health impacts, whether through increased caregiving roles, vulnerability to vector-borne diseases, or lack of access to adaptive infrastructure.

Consequently, ventures that intentionally expand women’s agency, income, and asset access consistently outperform on social and financial metrics.

Case study: Build Change’s resilience loans

Build Change’s pilot in Indonesia demonstrates gender-responsive models’ commercial and social benefits.

• The intervention: Build Change’s Incremental Climate Adaptation Loan (ICAL) combines micro-loans with mobile guidance to help low-income households climate-proof their homes.
• Target audience: The pilot targets and supports women-led households in heat- and flood-vulnerable zones.
• Impact: By reducing indoor heat exposure and creating safer living spaces, the retrofits improve health outcomes and potential productivity. Crucially, the process strengthens credit and adoption among women, reinforcing community resilience.
• Scale pathway: The model is highly scalable through existing microfinance networks (like KOMIDA). The Global Innovation Fund (GIF) provided an initial investment of US$460,000 to validate the pilot.

Capacity building as core infrastructure

Technical Assistance (TA) and capacity building are emerging as smart derisking investments that accelerate uptake and long-term resilience. Innovations, whether climate-linked insurance (like WRMS) or resilient housing, require frontline actors–microfinance partners, local health workers, and community-based organisations–to be adequately trained, supported, and confident in their deployment. Technical assistance facilities are referenced explicitly as a form of grant funding for capacity building and project preparation.

Furthermore, behaviour change is the bridge from design to impact. Solutions must embed local engagement and Information, Education, and Communication (IEC) components to shift how institutions and users respond to risks.

Also Read: Why climate x health startups need government backing to survive the valley of death

A portfolio approach that integrates finance with capacity, inclusion, and credible impact pathways is essential for investors seeking catalytic returns. The goal is to back ventures that build systems, not just products, generating both durable value and measurable impact across the climate x health frontier.

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Climate risk has already exposed the fragility of our global supply chains. 

Take semiconductors, for example: Their production requires vast amounts of water, and droughts in Taiwan have already threatened manufacturing that impacts the electronics industry worldwide. These challenges are not isolated. Similar vulnerabilities exist across agriculture, textiles and logistics, where disruption ripples through entire supply chains. 

At the same time, our physical assets are losing value as climate risks mount, operating costs are climbing, and investors are demanding far greater resilience. These nature-based risks result in interconnected risks and require interconnected solutions. 

Nature-based risk is financial risk 

For the business world, nature-based risk is financial risk, and this impacts businesses of all sizes. 

In fact, small and medium-sized enterprises (SMEs) are likely to be most affected given their prevalence, particularly in Asean where they make up more than 99 per cent of firms in the region. SMEs play a vital role in these economies, but they are also the most vulnerable – projected to lose US$237.5 billion in revenue if they fail to keep up with the green agenda. 

While this signals the urgent need for solutions, SMEs also face the added complexity of budget and scale. But before solutions can be implemented, there must be awareness of the issues at hand. Helping SMEs adapt is the single biggest lever we have for building resilient economies. 

The awareness gap is also prevalent among stewards of capital – particularly around what mitigating nature-based risks mean for their portfolios. 

Also Read: Investors bet on algorithms and insurance to tame Asia’s climate-health crisis

Large asset allocators and institutional investors have made constructive progress in steering away from financing the brown economy (such as coal, oil and gas) to focusing on the green and also the emerging blue economy (oceans and marine life), which is projected to have the highest returns in the long term. 

But there is still a need for ongoing education and purposeful integration of these values in their day-to-day investment decisions as investors continue to question the performance of such investments, particularly in volatile markets. Beyond this, investors are also in search of solutions that are capable of unlocking long-term returns as part of their decarbonisation investment strategy. 

The best solutions are nature-based 

All of these risks stem from nature itself, and one thing is clear – the best solutions too are nature-based. 

Nature-based solutions are actions to protect, sustainably manage, and restore natural and modified ecosystems that address societal challenges effectively and adaptively, simultaneously benefiting people and nature. But these solutions are currently underfunded, and innovation across the investment value chain to support these solutions has to be accelerated. 

The World Economic Forum projects that the world needs about US$2.7 trillion worth of investments per year until 2030 to build a nature-positive economy. For businesses and investors, investments and innovations in nature-based solutions hold the key to enhancing resilience against financial risks linked to climate change. 

For investors, the growth of nature-based solutions as an asset class warrants a look. There is increasing demand to align investment portfolios and targets with disclosure frameworks, such as Taskforce on Nature-related Financial Disclosure recommendations. 

Large asset owners are also keen to increase their stewardship and engagement in this asset class. A third of investors surveyed earlier this year by the Asia Investor Group on Climate Change have already adopted biodiversity-related disclosures and/or strategies. 

The vibrant landscape of climate tech solutions for the blue economy for ocean restoration and preservation of coral reefs, among others, are also key financing opportunities for investors to realise long-term value and impact. 

Also Read: Unlocking climate x health capital: A data-driven blueprint for smarter impact investing

For SMEs and businesses, the implementation of nature-based solutions must be practical, scalable and affordable. We must also consider innovation as a key driver. 

For example, we have seen the rise of artificial intelligence (AI)-enabled climate risk modelling and innovative insurance products like parametric insurance. But AI is a double-edged sword; while it has great potential to deliver intelligence and advice at scale and at a low-price point, it is not environmentally-friendly, and we must ensure that our use of tools to protect our businesses is balanced with the impact of the tools themselves. 

An interconnected response is needed now 

Interconnected risk requires an interconnected response. There is a synergistic relationship to be explored between investors who are looking for opportunities and SMEs who are seeking solutions. Financing this gap and allocating capital to nature-based solutions are the key to future-proofing economies. 

Whatever the solution, we must move beyond risk-mapping and take tangible action to build resilience. After all, awareness of risks does not protect our businesses, people and livelihoods. These actionable solutions must be implemented now, as the climate risks we face are already substantial and intensifying year on year. 

Climate resilience is built upon preparedness. This is not a challenge to be met in isolation, but a systemic shift requiring leaders to unite, innovate and catalyse action across borders, supply chains and industries. 

Nature-based solutions, and by extension climate tech, are not the next frontier, they are the present frontier. 

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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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