Panel Discussion: The Ideal Recipe for KOL Strategy

Panel Discussion: The Ideal Recipe for KOL Strategy

A panel of crypto KOLs (Key Opinion Leaders) convened to dissect “The Ideal Recipe for KOL Strategy” in 2024. Moderated by the insightful Joy Song, the panel featured a diverse group of voices: Anndy Lian, a seasoned investor and author; MAD CRIPTO, a fund manager building the innovative “Knights” project; Your Crypto DJ, a DJ and prominent voice in the meme coin space; and Sandro Crypto, an advocate for utility and education.

The discussion kicked off with a question on the hottest narratives of 2024. While acknowledging the allure of AI and liquid staking, the panelists highlighted the persistent dominance of meme coins. Anndy Lian emphasized the importance of community engagement, noting that meme coins, despite often lacking inherent utility, thrive on the strength of their communities. MAD CRIPTO echoed this sentiment, pointing out that meme coins offer a simplified entry point for new investors, contributing to their explosive growth.

However, the panel acknowledged the double-edged sword of meme coins. Your Crypto DJ, a self-proclaimed meme coin enthusiast, appreciated their transparency – they are what they are, pure community-driven gambles. Sandro Crypto, on the other hand, expressed concern over the speculative frenzy they incite, emphasizing the need for education and a focus on projects with genuine utility.

The conversation then shifted to the impact of platforms like Pump & Dump, which have democratized token launching. While acknowledging its role in simplifying the process, Your Crypto DJ expressed concern over the platform’s potential to drain liquidity, leading to short-lived tokens.

The panelists agreed that discerning quality projects amidst the meme coin deluge is crucial. Sandro Crypto highlighted the evolving role of KOLs, emphasizing the need for projects to move beyond superficial engagement and recognize the value of authentic community building. He cited the example of node sales, where KOLs with dedicated communities demonstrably drove significant investment.

Anndy Lian stressed the importance of content quality and transparency, urging KOLs to prioritize their audience’s financial well-being over short-term gains from shilling dubious projects. He argued that a KOL’s true value lies in their ability to empower their community with knowledge and guide them towards profitable, sustainable projects.

The discussion concluded with a reflection on the future of the KOL landscape. Your Crypto DJ emphasized the importance of authenticity and building a genuine connection with one’s audience. Sandro Crypto reiterated his call for education and a focus on long-term value, urging aspiring KOLs to delve deeper into the technology and educate their audience on the fundamentals of blockchain and cryptocurrency.

The panel served as a microcosm of the evolving KOL landscape in 2024. While meme coins and short-term gains continue to dominate the conversation, there’s a growing recognition of the need for substance, education, and a focus on long-term value. As the industry matures, the KOLs who thrive will be those who can adapt to this changing landscape, prioritize their community’s best interests, and provide genuine value beyond fleeting hype cycles.

Cointelegraph, Newtribe Capital, ABCDE Capital, and Myco organized this event in Singapore on 18 September during the Token 2049 week.

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j

Panel Discussion: VC vs KOLs Investment Strategy

Panel Discussion: VC vs KOLs Investment Strategy

The crypto world is at a crossroads. A recent panel discussion at a crypto event brought together a diverse group of experts – a venture capitalist, a representative from a major blockchain platform, and several angel investors – to dissect the changing dynamics of fundraising in this volatile space.

The moderator set the stage by pointing to a noticeable trend: a “crisis of narratives.” While fleeting trends and meme coins grab headlines, the industry seems to be lacking a cohesive long-term vision. This lack of direction, coupled with the aftermath of high-profile failures, has made venture capitalists wary, leading to a noticeable tightening of the purse strings.

This cautious approach from traditional funding sources has opened the door for a new breed of investors. Angel investors and smaller funds, less burdened by the need for massive returns, are stepping in to support promising projects. This shift is not just about available capital; it’s about a fundamental change in how projects are being evaluated and supported.

The panelists agreed that the old playbook of relying solely on big-name VCs is becoming outdated. Projects are realizing the importance of building strong communities and attracting a diverse range of investors who bring more than just money to the table. Strategic guidance, network access, and marketing expertise are now viewed as equally valuable, especially in a market saturated with projects vying for attention.

This new landscape demands adaptability and creativity from both sides of the table. Founders need to think beyond traditional fundraising rounds and explore alternative models, such as community-driven initiatives and tokenized equity. VCs, on the other hand, need to evolve from being just financiers to becoming active partners, offering tangible value beyond their initial investment.

The panel discussion served as a reminder that the crypto space while facing challenges, is also ripe for reinvention. The current climate, though turbulent, presents a unique opportunity to build a more sustainable and community-driven ecosystem where innovation thrives on shared vision and collaborative effort.

This event, held in Seoul on 2 September 2024, is a side event organized by ICP, NewTribe, and Cointelegraph in conjunction with the Korea Blockchain Week (KBW). Panelists include David from UFVentures, Shashi Shekhar from ICP, Red from PickelsDAO, Petr Martynov from Morningstar Ventures, and best-selling author Anndy Lian.

 

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j

Decoding Crypto Investment: The Scientific Strategy for Venture Capitalists

Decoding Crypto Investment: The Scientific Strategy for Venture Capitalists
  • Successful crypto venture capitalists have embraced a scientific approach to investing, resulting in substantial returns.
  • VC investing involves thorough research, crafting hypotheses, conducting experiments, and making data-driven decisions.

The cryptocurrency market has been on a remarkable rise since the beginning of 2024, fueled by several factors such as the approval of a spot Bitcoin ETF by the SEC, Bitcoin halving that happened recently in April, the increased institutional interest and demand, and the innovation and adoption of various blockchain projects and platforms.

The total market capitalization of all cryptocurrencies reached more than $2 trillion level for the first time since April 2022. Bitcoin, the largest and most dominant cryptocurrency, hit a new all-time high of $33,000, while Ethereum, the second-largest and most widely used cryptocurrency, also gathered significant trading volume.

Optimizing Crypto VC Strategies with Science

The crypto market, marked by volatility and uncertainty, presents both challenges and opportunities for venture capitalists (VCs). VCs are crucial in providing capital, expertise, and credibility to crypto startups. However, successful investment demands a scientific approach, understanding of technology, market, regulations, and risk management for optimal returns.

I brought this up after having a dinner meeting with a group of VCs and I realised how unrealistic their investment strategy is when it comes to crypto. They think that it is ok to invest in every project that comes to them.

Well, in this article, I will discuss what a scientific approach for VC in investing in crypto means, why it is important, and how it can be implemented. I will also provide some examples of successful crypto VCs who have adopted such an approach and achieved remarkable results.

Structured Methods for Crypto VC

A scientific approach for VC in investing in crypto is a method that applies the principles and practices of science to the process of identifying, evaluating, selecting, and supporting crypto investments. It involves the following steps:

Research: This step requires thorough research into the crypto market, technology, trends, opportunities, and challenges. Gathering and analysing data from diverse sources like academic papers, industry reports, blogs, podcasts, social media, forums, and newsletters is crucial.

Hypothesis: This stage entails crafting a concise hypothesis for the crypto investment, defining problem, solution, value proposition, target market, competitive advantage, business model, traction, team, and vision. It also involves outlining assumptions, risks, and expected outcomes, aiming to present a compelling case for investment returns.

Experiment: This stage includes creating experiments to validate the hypothesis, setting criteria, metrics, and methods for evaluation. Feedback and data from stakeholders are collected and analysed to refine the hypothesis and assess project viability and scalability.

Decision: This phase entails analyzing experiment results, comparing actual with expected outcomes to support or reject the hypothesis. Strengths, weaknesses, opportunities, and threats are identified, with recommendations for improvement. Decisions are made on investment continuation, support, or exit, with findings communicated to stakeholders.

Why Is a Scientific Approach for VC Important?

A scientific approach to VC investing in cryptocurrency is crucial for several reasons. Firstly, it mitigates bias and emotion, which often cloud judgment. Emotional biases like confirmation bias and fear of missing out can lead to irrational decisions.

A scientific approach relies on evidence and data, reducing the impact of such biases. Secondly, it enhances accuracy and efficiency by providing a structured process for evaluating investments amidst vast information and uncertainty.

Lastly, it fosters learning and innovation by allowing VCs to test assumptions, learn from failures, and refine strategies. Overall, adopting a scientific approach strengthens decision-making in the dynamic landscape of crypto investments.

Examples of Successful Crypto VCs

Numerous successful crypto VCs have embraced a scientific approach to investment, yielding impressive outcomes. Among them:

Andreessen Horowitz (a16z): A leading VC globally, with a stellar portfolio including Airbnb, Slack, and Instacart. In May 2022, they launched a $4.5 billion fund for crypto and Web 3 companies. Notably, they’re investing $100 million in EigenLayer. Chris Dixon, a GP at a16z, is a notable blockchain advocate.

Their firm articulates clear investment theses on Web 3.0, decentralized finance, and next-gen internet, conducting experiments to validate these ideas. They share insights openly.

Pantera Capital: Pioneers in crypto VC, investing in projects like Ton and Polkadot. Applying financial expertise, they analyze markets, publish reports, and forecast a $150,000 Bitcoin price this year, anticipating its DeFi liquidity surpassing Ethereum’s. Their scientific approach underpins their success and bullish outlook.

Conclusion

The dynamic crypto market presents vast opportunities and challenges for venture capitalists. Investing in crypto demands deep tech, market, and regulatory understanding. A scientific approach applies research, hypothesis formulation, and experimentation to optimize decision-making.

Examples like Andreessen Horowitz and Pantera Capital showcase the success of this method, aiding in the discovery of transformative crypto projects. By reducing bias, enhancing accuracy, and fostering innovation, a scientific approach empowers VCs to navigate the complexities of crypto investment, maximizing returns and supporting groundbreaking solutions.

This article is not a professional or financial advice, and you should do your own research before making any investment decisions. Also, please be aware that this is a creative and hypothetical exercise, and the data and information I used may not reflect the actual or future state of the crypto market. This is just my opinion based on what I know. Thank you for reading.

 

 

Source: https://www.financemagnates.com/cryptocurrency/decoding-crypto-investment-the-scientific-strategy-for-venture-capitalists/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j