Meet the Blockchain VCs Pt. 8

Web3.ai is emerging as a crucial category with growing importance, combining artificial intelligence with blockchain technology

The current market cycle shows signs of recovery, with Bitcoin ETFs and institutional adoption acting as potential catalysts for growth

Regulatory clarity remains a key challenge, particularly in the US, while jurisdictions like Switzerland and Hong Kong are creating more favorable environments for crypto companies

Investment focus is shifting toward long-term builders and teams with genuine technological capabilities rather than those chasing quick profits or following trends

Multi-chain future is likely, with Ethereum serving as a settlement layer while different applications run on specialized chains for gaming, identity, and DeFi

Valuation discipline is crucial in the current market, with many projects needing to adjust expectations compared to previous bull market highs

Strong founding teams typically need at least 2-3 core members, including technical and business expertise, with CMO roles being particularly challenging to fill in Web3

Geographic diversification is important for crypto projects, with teams often maintaining presence across multiple jurisdictions like Switzerland, Hong Kong, and Dubai

The intersection of AI and blockchain is seen as a sustainable long-term trend, unlike previous hype cycles

Venture investors are emphasizing longer holding periods (5-7 years) and more active involvement with portfolio companies rather than quick token flips