The stock-picking startup with algorithmic and crypto features plans to reward users for access to their data, a model that helped it close a new $60 million Series A led by Multicoin Capital.
The startup’s “share-to-earn” data token model will reward users starting this summer for contributing valuable information, which it will then use to help its model better pick stocks. The company offers two sorts of investing methods, one of which is free (its stock picks) and a long/short blend that is open to accredited investors. Fees paid by the wealthier investors are used to help reward data-providing users, who can get their rewards in the form of either cash or tokens.
CEO of Delphia, Andrew Peek, believes that access to proprietary data will give the firm an edge over other algorithmic investors. Read Andrew’s insights on the Series A and journey to building the next generation Web3 Data DAO platform “Delphia – Algorithmic Investing ? Data Dividends”
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Our Investment in Delphia – by Tushar Jain | Managing Partner | Multicoin Capital
Algorithmic Stock Adviser Delphia Raises $60M Ahead of Rewards Token Launch – CoinDesk
Delphia, the premier algorithmic stock advisor that helps people invest smarter together, today announced the closing of a $60 million Series A funding round led by Multicoin Capital with additional participation from Ribbit Capital, FTX Ventures, Valor Equity Partners, FJ Labs, Lattice Ventures, Cumberland, Trajectory Capital Partners, Thomas Bailey from Road Capital and M13. Delphia will use the funds to launch its native rewards token, increase the number of ways users can contribute data, and expand its headcount globally.
Delphia’s mobile investment platform is currently available for download on App Store and Google Play. The Company offers long-only actively managed investment strategies with zero management fees and $10 investment minimums, as well as a hedge fund for accredited investors that runs a long-short market neutral strategy of approximately 2,500 US equities.
Delphia’s investment platform plans to leverage consumer spending insights, employment patterns and public opinion data derived from social media to deliver algorithmic models that were previously exclusive to top-performing hedge funds. Starting this summer, Delphia’s investors will have the opportunity to contribute their own data to the algo-advisor in return for a native token that can be traded freely or redeemed for membership benefits, thus leveling the playing field between institutional and retail investors.
Andrew Peek, CEO of Delphia, commented on the news, “Currently, retail investors are forced to either invest in passive robo-advisors that are designed to achieve average returns, or they can pick stocks directly through platforms like Robinhood or E-Trade — where they’re up against the best hedge funds in the world. Delphia gives investors a third choice in the form of a mobile-delivered algo-advisor that leverages machine learning models designed by top hedge fund professionals, expanding access to elite financial products for retail investors.”
The Series A funding round brings the total raised by the Company to $80 million and is demonstrative of the continued support Delphia has received from traditional financial institutions as well as firms within the digital asset ecosystem.
“Our new strategic investors and the funds from this round will enable us to share our algorithmic breakthroughs with anyone willing to contribute data or dollars, no matter how big or small. We’re most excited about rewarding our members with a true data dividend for helping us build the world’s largest user-contributed proprietary data set. We expect this token to help us improve the stock selection algorithm for all the participants in our ecosystem,” concluded Peek.
To start investing, you can download the app on the App Store and Google Play, and to learn more about Delphia and its funds, please visit https://delphia.com/.
Multicoin Capital: “Delphia is a first mover in an exciting new trend of Data DAOs that seek to harness user-owned data to benefit those users. By carefully aligning incentives and collecting otherwise inaccessible data, Delphia has created a sustainable market edge that actually gets stronger with every new user that joins the platform. Data DAOs will become forces to be reckoned with in capital markets as the gap widens between data sources publicly available for purchase and proprietary data sources that can only be managed by DAOs and for the benefit of those DAOs,” said Tushar Jain, Managing Partner, Multicoin Capital.
Ribbit Capital: “Investment strategies powered by proprietary data are responsible for a large portion of the alpha captured across financial markets – but these strategies have been reserved exclusively for the world’s top institutions. Delphia is a great experiment in financial inclusion, with the potential both to deliver compelling returns to investors and to do so in a way that is broadly accessible,” said Nick Shalek of Ribbit Capital.
Delphia is the premier algo-advisor that helps people invest smarter together. Designed by a team of data scientists and academics, Delphia analyzes the personal data shared by its members to make intelligent investment decisions. By converting personal data into investment capital, Delphia aims to change the way we think about our data, investing, and the future of our economy. Delphia is headquartered in Toronto, Canada, with teams in New York, San Francisco, and London.
Media Contact
Henri Viès
M Group Strategic Communications (on behalf of Delphia)
917.765.1441
delphia@mgroupsc.com
Delphia (USA) Inc. is a fully-owned subsidiary of Delphia Holdings Corp. Delphia (USA) Inc. is registered as an investment adviser under the Investment Advisers Act of 1940. Quotes are made by investors in Delphia Holdings Corp. This poses a conflict of interest in that investors stand to economically benefit from the success of Delphia (USA) Inc. No compensation was provided.
