- Curtis Chou
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- TradeUp
TradeUp
UCLA's Next Big Startup
Curtis Chou
February 21, 2024
Thank you to everyone supporting the first post of the newsletter! - Curtis
My goal is to share with the world some of the amazing things UCLA founders are working on. Today, I’m excited to share how you can securely trade your collectibles through TradeUp (Pre-Seed).
One Liner:
Redefining the marketplace by building trust and transparency in every transaction, while minimizing fees to bring us towards a more connected world.
The Dilemma:
Collectors want to buy, sell, and trade safely. Traditional online marketplaces charge high fees, offer little to no protection, and no trading capabilities.
The Innovative Solution:
TradeUp offers a secure, escrow-protected marketplace for trading collectibles with peace of mind and no marketplace fees.
Market Evaluation:
TradeUp indirectly competes with giants such as eBay, Grailed, and StockX to name a few. But they also have direct competitors with other collectible trading marketplaces such as PWCC, ALT, and COMC.
Differentiation:
TradeUp's escrow process uniquely secures transactions by placing holds on the involved parties' accounts reflective of the cards' values, facilitating direct trades with confidence. Only upon mutual confirmation is the security hold released, removing liability from the marketplace and equally protecting both parties from scams, without fees.
Revenue Model:
TradeUp plans to partner with banking institutions to generate revenue through an ACH escrow processing fee on every transfer. They will charge payment processing fees where applicable for item+money trades, and optional TradeUp Protection charges. The platform further monetizes through value-added services such as middleman, shipping labels, insurance, and sponsored posts, with a focus on maintaining low costs while providing secure and transparent trading experiences.
Traction + Fundraising:
TradeUp has escrowed over 6,000 items on their platform since raising a pre-seed round from Plug and Play and Hatcher+ in August 2023. They're anticipating to launch item+money trading which is scheduled to go live this week!
The Inspiration Behind TradeUp
“We founded TradeUp out of our own frustrations with existing marketplaces. As sellers on places like eBay, we felt the sting of losing up to 20% of our item's value to fees, all under the promise of "protection" that often felt minimal at best. It was clear to us that both buyers and sellers were craving something different—a way to move products, connect, and build community without being penalized by excessive fees or risk of scams.
At TradeUp, we're not just about trading. We see it as an underserved transaction method to move your product. Kalvin and I were inspired by the communities on (sub)Reddit and Facebook Groups, where trading thrives but there was a lack of security against bad actors. That's the heart of TradeUp—a platform where you don't have to sacrifice a significant portion of your value for security.”
Learn More:
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