ZUG, Switzerland, Sept. 13, 2019 /PRNewswire/ -- With the biopharmaceutical industry burdened by weakening productivity and innovation, the world is faced with an alarming possibility of statistical decline in the number of drugs that will be introduced to patients in the future.
While several statistics are predicting the productivity rate of the biopharmaceutical industry to reach zero percent by 2020, the same industry is actively seeking new ways to finance its research and development.
This is in response to the global pressure to change its course and innovate to effectively avert a vicious cycle of revenue loss, rising costs, increasing regulation, and decreased output resulting in a disservice to patients.
The latest suggestions being considered as possible ways to revamp the biopharma business model include monetizing intellectual property (IP) throughout the process of drug development; external sourcing of research and development assets, which involves either licensing, mergers and acquisitions, or joint ventures; and blockchain-based models focused on equity tokens or similarly structured assets.
However, these suggestions raise various issues, including the legality of the distribution of IP rights among many owners, the question of how rewards will be distributed in the future, the limited monetary resource available through external sourcing, and the complexity of the suggested blockchain models.
Patient-Driven Business Model
AEVOLVE AG proposes a model that focuses on the direct need of patients to access and receive drugs and treatments. Through its marketplace called Biospheres, AEVOLVE AG brings purchasing decisions, cost savings, flexible financial options, and innovation access in the hands of patients.
Biospheres offers reservations to various medical treatments or products from different biopharmaceutical companies, including reservations to commercial (available and approved by the Food and Drug Administration), pre-commercial, and research-stage treatments, procedures, or products touted as "offerings" under participating companies' names.
There are two kinds of tokens. The purchasing token called "AVEX" is used to buy reservations called "Spheres," each one representing a product or treatment in the "Biospheres" marketplace.
This patient-driven business model is overlaid with a securitization layer. AVEX.AI is a securitization pathway that allows traditional investors to invest in AVEX without participating in the utility market, thus separating the investment/speculative layer from the purely utility-based layer.
This hybrid model is to ensure that investors who want to invest in the performance of AVEX can do so through a tracker certificate offered on a Swiss ISIN, without confounding the simple patient access model. The AVEX offered on the tracker is classified as the underlying, vaulted by a Swiss institution as part of a structured product conforming to Swiss law.
This ingenious mode places innovations in the patients' hands and de-risks investor participation in life science innovation investment. It makes investing in blockchain-based assets easy because investors do not have to tackle issues of custody and security. It appeals to crypto funds and traditional funds alike, opening the gate to the trillion-dollar derivatives market.
AEVOLVE AG believes that this integrated model, while it is not the panacea for everything that ails the health industry, can effectively bring together the advancements of financial technologies and medical research to save the health industry from innovation collapse.
About AEVOLVE AG
AEVOLVE AG is a protocol that supports medical innovations from R&D stages to full-scale commercialization, by connecting patients, investors and scientific innovators. For more information, visit https://aevolve.health/
Contact:
Tom Martin
203-297-2137
[email protected]
SOURCE AEVOLVE AG
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