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Kim Dotcom is starting a VC fund for privacy-focused startups

Some entrepreneurs are betting that the PRISM scandal will stoke user interest in privacy-focused services. The Pirate Bay’s founder Peter Sunde closed its crowdfunding campaign three days after announcing Hemlis, an encrypted messaging app, because the project received 150% of its goal.

Now embattled MegaUpload founder Kim Dotcom is embarking on a new project to get more privacy-focused apps in the hands of the public:

Dotcom appears to be in the very early stages of his project, but the involvement of a big name like Dotcom in the VC space could bring money to companies with more policy-focused or niche aims that wouldn’t normally gain mainstream funding.

Dotcom is a very vocal privacy advocate. In addition to his venture capital aims, he has been working to spy-proof his own website, Mega. Millions of the website’s users will soon gain access to spy-proof encrypted messaging through the website, which will allow users to send confidential messages and transfer secure files.

Dotcom told BGR that he planned to release messaging within the Mega online platform first, with mobile app accommodations to follow. The final plan, which is still six to nine months away, is a full-scale encrypted email service that prevents any third party from accessing meta data or keywords in any messages. Dotcom’s team, he says, is already working on the new suite.

Dotcom remains in New Zealand, fighting extradition to the U.S. on charges of money laundering and copyright infringement stemming from his first website, MegaUpload. His quasi celebrity status sets him up to make some waves in the privacy app world — assuming he doesn’t get thrown in jail first.

6 Responses to “Kim Dotcom is starting a VC fund for privacy-focused startups”

  1. Let’s let if I got this right. Kim who violates others IP rights by stealing from artists & producers and is currently a fugitive from criminal prosecution and has the audacity to solicited investors for “privacy” technology.

  2. So, do you really want to buy a commercial service from someone who is famous for dodging laws, or use at least a “creative interpretation” thereof? Not a sustainable supplier IMHO. Secondly, it’s typical that a technologist tries to find a solution in technology, but that isn’t the problem: the weakened laws in the US (and to a lesser extend in the EU) are.

    There is no point in offering people security from any nation that has removed due process from law. It simply means that a random official can wander in from the street after a fight with his missus and demand access, juts to annoy someone. There are no controls, no transparency and there is no clue what happens to data so falsely obtained.

    Oh, and that messaging client? Already exists and works, from a far more reliable pedigree.

  3. This is like a mobster boss fighting for civil rights. I am not sure if Kim is that believable in his new role. Furthermore, encryption is not new. In the end he is a cloud service with the same CALEA requirements as any other cloud service – with his history of pushing scam business. Nothing than a marketing stunt.