July 8, 2022

Salto X raises 5.2 mln EUR to give contributors fair company upside internationally

Salto X team

Most founders who have distributed teams know the pain of giving out equity. Divergent laws in different jurisdictions, taxation and employment rules. And the pain only increases when founders try to give equity to non-employees: contractors, advisors, community and any other type of gig workers.

It seems so apparent that old-school stock options just do not fit into the future of work. And we are here to change that with Salto X - web3 alternative to stock options in Europe. 

Salto X gives transparent access to equity-like compensation to contributors regardless of geography. The issuance consists of an off-chain part - legally establishing the company's token pool - and an on-chain platform to issue contributor NFTs, set distribution rules and stream the company tokens. 

How it works: 

Contributors receive NFT certificates for the cliff period, consisting of key properties: the amount of tokens, cliff, and vesting end date. The smart contract automatically and continuously executes token transfers upon vesting. Contributors can add the NFT to Metamask and access any time.

Vesting execution can be set for any period: months, weeks, or days - thus, contributors can have faster access to the financial upside of the company.

As of now, tokens can be cashed out in case of full or partial exit. This creates much needed liquidity without the company needing to wait for an exit with an IPO or a sale. 

Imagine having a possibility to sell the tokens you have vested to your colleagues, upon your leaving the company, or the other way around: buy more of the tokens from them when they leave. We are working heads downs to give more liquidity avenues by giving a chance to white-listed contributors to buy and sell vested tokens amongst each other. 

“Salto X is a company upside distribution as it should be. 5 mins to distribute them, minimum legal overhead and efficient results. The way Salto X is doing equity distribution is a competitive advantage to small startups for hiring talents distributed worldwide. Salto X token magic makes working in startups attractive compensation-wise, which is crucial in a battle for global talents.” Rustem, founder of Tools and Products, Salto X сustomer

The Salto X team is on a mission to ensure that all the contributors get their fair stake in a company and make tangible value out of it. Unfortunately, we have seen many contributors who didn't make the most out of their upside. For example, they could not exercise their options as those were too expensive, didn't participate in secondary rounds due to inherited complexity, or simply never used their options as they didn't understand the value. We are here to change it by focusing on the end-user experience and education.

“Our goal is helping founders to build more global remote companies, where every single employee will receive their fair share of company success. Salto X team has been a remote company from day 1. Our team is divided between Estonia, Latvia & Ukraine; so we know the pain very personally,” says Salto X CEO Ragnar Sass. “Imagine if Skype success was equally shared between contributors in Romania or Georgia - what effect it would give to the ecosystem over there?”

We thank our believers and supporters: ByFounders, the new Nordic VC, Berlin-based crypto VC, Blockwall, New York-based Box Group, crypto fintech 3Commas, and angels such as Liu Jiang (ex-Sequoia GP) &  Alex Gluchkowski (Founder of ZkSync) for having our backs with EUR 5.2 mln seed round, and jumping in our crazy ride!

For many of those who want to join the ride - we are hiring