This cycle, primary markets are maintaining some discipline relative to public market growth.
Raised at 25m when BTC was at $10k, now raising at 70-100m with BTC at $55k?
"Pricey"? Yes. But vals not ballooning vs BTC/ETH growth, a very different picture to the last cycle.
Raised at 25m when BTC was at $10k, now raising at 70-100m with BTC at $55k?
"Pricey"? Yes. But vals not ballooning vs BTC/ETH growth, a very different picture to the last cycle.
17/18 was the age of the parabolic VC. Huge rounds, blatant markups and a world where raising $10m was conservative.
This time around, rounds are tight & valuations slowly chug higher; with second/third rounds often underperforming liquid growth.
An old graphic by @ninormansor
This time around, rounds are tight & valuations slowly chug higher; with second/third rounds often underperforming liquid growth.
An old graphic by @ninormansor
This won't last forever & I'd argue the tide is beginning to turn with 80-150m becoming the new norm for marque deals.
But it's a good sign that we are mid-cycle & the catchup between public & private is still somewhat laggy.
Smarter & more patient capital.
But it's a good sign that we are mid-cycle & the catchup between public & private is still somewhat laggy.
Smarter & more patient capital.
Is this capital enduring? Is it unmovable? This Time Different? Or are we one $ETH parabola, one DeFi summer, from the frothy reversal?
Return of term sheet FOMO? I'm not talking "oversubscribed" rounds - I'm talking a *true* circus, 17/18 style.
Return of term sheet FOMO? I'm not talking "oversubscribed" rounds - I'm talking a *true* circus, 17/18 style.
Most of this cycle's "froth" lives in the liquid markets.
The TikTok army. The low cap DEX hunter. The Robinhood margin trader. The IDO chaser. It's retail, not VC.
But how much longer?
The TikTok army. The low cap DEX hunter. The Robinhood margin trader. The IDO chaser. It's retail, not VC.
But how much longer?
IMO, just a matter of time until pandora's box reopens
#1 - TradFi capital drawn to DeFi will try its hand at crypto VC
#2 - Gaming/entertainment capital, an entirely new class, will throw money at NFT/gaming deals
#3 - Crypto VCs raise $ w/ insatiable pressure to deploy
#1 - TradFi capital drawn to DeFi will try its hand at crypto VC
#2 - Gaming/entertainment capital, an entirely new class, will throw money at NFT/gaming deals
#3 - Crypto VCs raise $ w/ insatiable pressure to deploy
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