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The Chinese are investing £260 million in U.S. start-ups

AngelList, a sort of a dating site but for start-ups only, has an additional £260 million to throw someone’s way in the United States, The Wall Street Journal (opens in new tab) reported on Monday. We’re still waiting for the official press confirmation.

The funding itself doesn’t come from AngelList, of course, but instead from CSC Global, part of the China Science and Merchants Investment Management Group (CSC Group). It alone manages more than £7.8 billion.

AngelList is a site which connects start-ups with potential investors. It is a “platform for start-ups to raise money online, recruit and apply to incubators. It was started in Jan 2010 by Babak Nivi and Naval Ravikant, who also wrote Venture Hacks.”

According to The Business Insider (opens in new tab), start-ups are evaluated by 165 different angel investors, or "leads," who look after a group or syndicate of other investors. “These "leads" can then decide whether to help fund the young company, and encourage other investors in their syndicate to do the same,” BI explains.

CSC will now be able to tap into the AngelList investment groups and invest into a start-up. That means the “leads” won’t have to rely only on other investors in their group to complete an investment.

AngelList cofounder Naval Ravikant told The Wall Street Journal that AngelList will release $20 million (£13 million) of CSC's funding to early-stage US start-ups this year, raising that amount to $50 million (£32 million) in each subsequent year.

Both CSC Global and AngelList are expected to make the official announcement during the day.

Sead Fadilpašić
Sead Fadilpašić

Sead Fadilpašić is a freelance tech writer and journalist with more than 17 years experience writing technology-focussed news, blogs, whitepapers, reviews, and ebooks. And his work has featured in online media outlets from all over the world, including Al Jazeera Balkans (where he was a Multimedia Journalist), Crypto News, TechRadar Pro, and IT Pro Portal, where he has written news and features for over five years. Sead's experience also includes writing for inbound marketing, where he creates technology-based content for clients from London to Singapore. Sead is a HubSpot-certified content creator.