What holds more value in the new startup world – a blockchain incubator or an accelerator?
These are two exercises that have similar and contrasting elements at play.
The end goal might be the same, but the way they arrive at that point can be very different in style and substance.
Here we will expand on these programs to see what is involved in further detail.
The first talking point to identify in this setting is with the timeframe. A blockchain incubator simply does not have one that exists, introducing participants to arrive on location where interactions and exercises are carried out continually. An accelerator will be designed as an official program that will normally last between 3-6 months. The structure will be more akin to a university initiative that builds to a major presentation with analysts and investors present for the key event.
Mentors and Interested Parties
A blockchain incubator will be run in the style that a mentor would prefer. There will be the inclusion of administrative staff, yet the team structure is designed to be flat to ensure that there is equity across the board for the participants. The accelerator on the other hand will be designed with more interested parties and key members in mind, including advisors, alumni, investors as well as the mentors who form part of the initiative.
This results in something that reflects more of a top-down hierarchy where different members are accountable to other members. The difference might be subtle and dependent on the model at the time of examination, but these are some of the fundamentals that can be sourced to compare their unique qualities.
Concept of Validation
Given the short timeframe that is involved with an accelerator, the validation process takes a front seat to proceedings. This is where documentary and testing evidence is showcased to demonstrate compliance for the transaction software. A blockchain incubator on the other hand has far more leeway to test ideas and concepts, offering an ecosystem that is open to failure to eliminate theories before reaching an objective.
Attitudes and Environments
The lack of official structure and timeframe that can be found with a blockchain incubator is often its greatest asset and its greatest weakness all at the same time. A workspace in this example can be something as simple as a group of university peers operating out of a townhouse or garage, locations that have seen some of the most profitable brands in the world form.
The attitude is generally relaxed and members can come and go according to convenience. The direct opposite can be found with an accelerator as the robust application process ensures that key performance indicators and testing mechanisms are questioned and analysed with precision.
The Developmental Phase
In essence a program can almost transition from a blockchain incubator to an accelerator once an idea has developed to the next phase. Rarely will this be the case but there is a degree of overlap. One can be viewed as the child whilst the other is an adolescent, one step closer to being fully formed and out in the marketplace.
The incubator helps to let an idea grow and expand, networking with other professionals and mentors to test theories and to access resources and investment interest from the outside. An accelerator is focused in on a specific target with that key idea already formulated and likely to be further along in its own lifespan. Those who arrive in this secondary format have already utilized practices within an incubation setting.
New models that change how financial data is engaged with will ultimately take specialists and teams many years to design and for interested parties to buy in on the concept. A blockchain incubator can be a perfect environment for students and young engineers and analysts to take an idea and take it to the next level. The stringent rules and guidelines enforced on accelerator participants can be equally as fruitful, ensuring that there are no compromises or distractions from the task at hand.
The new transactional landscape in the years to come will be a direct result of both practices working parallel to one and other.