Recently, the market has remained sluggish, and the crypto bear has been a great challenge to both individual and institutional investors. Over the recent period, it has been reported that many big-name VC funds sold off the tokens of the projects they had invested in as soon as they were unlocked. In particular, the token dumping by some VC funds has prompted negative impacts on projects or even a survival crisis in some cases. The dumping also led to polarized public opinions about VC institutions.
Is an exit the only way out for VC funds in a bear market?
In this regard, ViaBTC Capital thinks differently: “We have invested in many promising projects that can stand the test of the market, including those that focus on infrastructure building, creative Web 3 applications, GameFi, innovative DeFi, etc. These projects often need 2 to 3 years to build their products and technical advantages step by step before they can finally bring continued profits. We think it inappropriate to dump the tokens of infant projects that are grappling with the liquidity crunch arising from a bear market.” Instead of recovering the costs, ViaBTC Capital aims to help projects grow and evolve until they scale up and bring higher returns. To ViaBTC Capital, the growth in user demand and product-related statistics will make the token and company more valuable over time, which will attract more market liquidity.
In a world where short-term returns on financial investments are no longer feasible, VC funds should stay calm and reconsider the future trend of the market. ViaBTC Capital believes that, from a long-term perspective, the crypto industry has witnessed many similar crashes, and each crypto slump was followed by a significant rebound. As such, investors should remain optimistic while being prudent. After the bubbles burst, instead of profiting from stories and endorsements like they used to, all projects will have to rely on data and products.
Here are some suggestions from ViaBTC Capital for infant projects and developer teams planning to venture into the crypto market:
- Rather than getting obsessed with copying cases that might deliver quick returns, projects should have the courage to build products based on innovative ideas;
- Maintain refined operations and formulate a sustainable roadmap;
- Create core R&D technologies to build a competitive edge;
- When in need of professional advice and consultation, feel free to contact ViaBTC Capital. We are not just another institutional investor but also a professional provider of post-investment services.
ViaBTC Capital focuses on long-term investments and post-investment services
In the field of investment, post-investment services are gaining momentum at a faster pace. Since its very inception, ViaBTC Capital has endeavored to build a standardized post-investment system. It has sought to build a professional team that offers post-investment services, a team with great soft power and refined operations.
As institutional investors make returns that are leveling off and face intensive competition where they seek to invest in the best projects, ViaBTC Capital has placed a greater emphasis on post-investment services. In today’s bear market, huge returns on investments solely based on funding are no longer available to institutional investors. In the early days of the market, institutions waited for the harvest once they planted the “seed”. However, now they have to engage in “intensive farming” to help the infant projects evolve, which catalyzes investment success. ViaBTC Capital is convinced that creating a post-investment service system and improving one’s overall strength is the key step to building an investment ecosystem.
ViaBTC Capital is backed by ViaBTC Group, which runs multiple business segments, including ViaBTC Pool, CoinEx Exchange, CoinEx Smart Chain (CSC), ViaWallet, and CoinEx Charity. With extensive blockchain experiences and abundant market resources, such a well-established ecosystem has become ViaBTC Capital’s unique advantage. To be more specific, it can provide project teams with post-investment services across all growth stages in terms of product ecosystem, R&D, economic models, market resources, quantitative token strategies, and VC connections. At ViaBTC Capital, a strong pre-investment team works closely with the professional post-investment team. With top-notch talents from companies that focus on cryptocurrency and finance, the investment team of ViaBTC Capital aims to empower projects via effective post-investment services, thereby enabling incredible returns at last.
Facing sluggish market conditions, investors find it difficult to earn the expected returns even through post-investment services. However, VC funds with great ambitions must not ignore the long-term value of post-investment services. Committed to long-term investments and first-rate post-investment services, ViaBTC Capital is confident that it will get through the present difficulties together with the outstanding projects in its portfolio.