TBW Exclusive: VC reveals the hidden changes in the encryption market, has the super Bull Market become a thing of the past?

In the keynote speech "Global and Asian Market Overview: Insights from Leading VCs on the State of Web3" on the first day of Taipei Block Chain Week, 4 speakers who have continued to work in the VC field were invited to discuss how VCs view the current encryption environment. (Synopsis: What do VCs think of the current meme coin frenzy? How long can Meme go this cycle) (Background added: How to build a successful encryption VC? Taipei Blockchain Week (TBW) debuted today (12th) with Animoca Ventures featured on the first day of the keynote "Global and Asian Market Overview: Insights from Leading VCs on the State of Web3." Nenter Chow, head of venture capital and portfolio strategy, Akio Tanaka, partner of Infinity Ventures Crypto (IVC), Richard Wang, managing partner of DraperDragon, and Daryl Lim, partner of TRIVE Digital, discuss how VCs view the current encryption environment. Opening the speech, Nenter Chow mentioned that the market has been particularly active recently due to the influence of Trump's election, and asked other speakers what topics they are most excited about right now. Japan's encryption development IVC partner Akio Tanaka first mentioned that unlike Western countries, large Japanese companies are very active in the cryptocurrency space, such as SONY, which previously had a very close relationship with the public blockchain Astar, and Astar CEO Sota Watanabe also established a Layer2 protocol belonging to Sony on Ether Square Soneium: So actually, big companies in Japan are accelerating the enhancement of Web3 and Cryptocurrency and Stable Coin, and we're following those effects closely because I think it's likely to become more global, for example if you look at some acquisition cases. In addition, Tanaka said that IVC is currently focusing on Stable Coin payments and entertainment. Richard Wang, managing partner of DraperDragon, went on to mention that the current investment hotspots are shifting very quickly, and DraperDragon's investment strategy is also adjusting at any time, as for the latest investment projects, the usual operating period is seven years, so it may not break out in this round of Bull Market, Wang also laughed at himself, hoping to invest in projects with DraperDragon Survive to the next Bull Market: We hope to survive this cycle until the next one. I'm not sure if the current market is sustainable. But maybe only this year, right? Therefore, we must ensure that the project survives for the next two to three years. Fair Launch is gradually becoming mainstream Daryl Lim, partner of TRIVE Digital, mentioned that from the perspective of VCs, "fairer issuance" token sales are becoming mainstream, and many projects are currently using fairer market strategies to shift to a more transparent token distribution environment rather than an opaque 100% circulation model: For example, the first day of Circulating Supply may reach 60%, It could reach 80% by the third month. This is a trend we have observed, and it works well this way. In addition, many VC funds are more supportive of this strategy because it can save a lot of money, such as reducing fees or supporting some companies. On the other hand, Daryl Lim also mentioned that the "appeal" of the project to the community has become one of the important factors in addition to the "product". For this topic, Nenter Chow believes that the "team" of the product is very important, because the Token Generation Event (TGE) is not the end point, but the starting point for the continuous efforts of the product: I think, obviously, the team of the product is also very important, are these teams really capable of solving the problem, or do the product have long-term sustainable growth potential? Because I think there are a lot of creative projects on the market right now, but in the end there is only one new logo left. A lot of people tend to focus on achieving a token generation event (TGE) as if that's the end point, but it's not, it's just a starting point, and you really have to focus on moving the project forward. Is this cycle a "Super Bull Market"? Next, moderator Nenter Chow asked the speaker when the market will peak and will this cycle be a "super bull market" with institutional money flowing into the coin circle. According to Richard Wang, DraperDragon still follows "Return on Investment (ROI)" as the first element, and "exit strategy and return" are the key. Nenter Chow went on to say that this cycle is not the same as previous cycles, and not all tokens are rising at the same time, but Chow is still curious about where the institution's funds will go. In response, Daryl Lim said that he thinks the exact picture of institutional inflows will be more complicated than it seems, but they have seen a lot of inflows in the market and clearly into specific areas. Moderator Nenter Chow asked how the encryption VC funding environment in the current cycle is different from the perspective of funds and partners, from the perspective of funds and partners. Tanaka said that if you look at the past three years, Cryptocurrency as an investment class, the scale is actually smaller than other areas, because the scale of other areas is growing faster. Tanaka continued that the rise of AI in recent years has sucked away a lot of VC investment funds, such as games, financial integration, etc., especially in the UK. Also because of the rapid development of AI, many projects and even encryption VCs focus on AI. Richard Wang, on the other hand, cites his observations in China and Hong Kong as examples, arguing that there are many investment opportunities in the domestic market, especially for cable partners (LPs). Wang went on to say that from an LP perspective, there were many quality funds in the last cycle, but the results were not ideal because the distribution growth rate (DPI) was very bad: no one could exit. Recently, many LPs have been very concerned about long-term lock-in periods and unclear exit plans. Wang said that this has also led to many funds starting to shift to higher investments in Liquidity, in response to which VCs either set up a shorter fund cycle or create a more structured plan to achieve exits: The old approach from the last cycle no longer works Key Recommendations from the Speaker At the end of the presentation, moderator Nenter Chow asked the speakers to share "key advice" for the current investment climate: Akio Tanaka mentioned that the coin of the Internet era is being realized, and these are based on...