This new startup intends to create a FIAT to Alt-Coin marketplace similar to what LocalBitcoins offers for users wishing to buy BTC directly.

It's called LocalCoinSwap. Below is some information about the token being offered in their ICO:

General overview

TOKEN CODE
LCS
PRICE PER LCS
0.4 US Dollar (USD) (1 USD = 2.5 LCS)
LCS MAXIMUM TOTAL SUPPLY
100,000,000
AVAILABLE THROUGH PRE-ICO/PRESALE/ICO
70,000,000
TOKEN BURN
All unsold
TOKEN FREEZE
All developer tokens for 1 year
PAYMENT CURRENCIES
Ethereum (ETH), Bitcoin (BTC), Litecoin (LTC), Bitcoin Cash (BCH), Dash (DASH), Ethereum Classic (ETC), US Dollar (USD), Euro (EUR), British Pound (GBP), Australian Dollar (AUD), New Zealand Dollar (NZD), Canadian Dollar (CAD) & more
SOFT CAP
500,000 US Dollar (USD)
ABSOLUTE HARD CAP
20,000,000 US Dollar (USD) (remaining tokens destroyed)
BONUS STRUCTURE
Community based

TRANSPARENCY
Open source (public GitHub)

What I find most interesting is that this exchange is wholly owned by the token holders. This means that if they can capture even a tiny fraction of the alt coin markets(For which there are notably few exchanges offering a variety of alts right now. With the exception of KuCoin. But that's another article entirely...) the dividends could be enormous. I believe this is very possible as there are very competitors for direct alt coin purchases

I think this is an interesting opportunity and something that addresses an actual problem we currently have. Many traders can relate to wanting to acquire an alt coin but not finding it at their regular exchange. Sure maybe you've got some BTC but you'd rather leave that there and just buy that new coin directly with your weekly "crypto fund investment". Creating an exchange that avoids the hassles of: buying BTC at Coinbase. sending to an exchange, trading for your coin of choice, and then paying sometimes costly withdrawal fees to get them into your wallet; opens these smaller coins to much broader market exposure and adoption.