In this venture capital-focused segment of The Scoop, CoinShare Chief Strategy Officer Meltem Demirors and Aglaé Ventures Managing Partner Vanessa Grellet explain which crypto verticals are oversaturated, and examine how market dynamics have changed since last year.
Although the crypto industry has experienced many boom-and-bust cycles before, Demirors says “2021 will be one of the worst years for crypto venture returns.”
Demirors explains that one of the reasons for this is a mismatch in block space supply and demand that was created during the proliferation of competing Layer 1 blockchains last year:
“We're seeing that now with all of these overfunded L1s — there's just more block space than there is demand for block space.”
Instead of mimicking existing successful projects, Grellet suggests that up-and-coming crypto projects should identify how they plan to differentiate themselves early on:
“The question is, if you are a new platform coming into space or a new marketplace, what is distinctive that you bring that will allow for the end user to come to your platform rather than going to the existing incumbents?”
Episode 115 of Season 4 of The Scoop was recorded live with The Block's Frank Chaparro, CoinShares CSO Meltem Demirors, and Aglaé Ventures' Managing Partner Vanessa Grellet.
Listen below, and subscribe to The Scoop on Apple, Spotify, Google Podcasts, Stitcher or wherever you listen to podcasts. Email feedback and revision requests can be sent to podcast@theblockcrypto.com.
This episode is brought to you by our sponsors Tron, Ledn, Athletic Greens
About Tron
TRON is dedicated to accelerating the decentralization of the internet via blockchain technology and decentralized applications (dApps). Founded in September 2017 by H.E. Justin Sun, the TRON network has continued to deliver impressive achievements since MainNet launch in May 2018. July 2018 also marked the ecosystem integration of BitTorrent, a pioneer in decentralized web3 services boasting over 100 million monthly active users. The TRON network completed full decentralization in December 2021 and is now a community-governed DAO. | TRONDAO | Twitter | Discord |
About Ledn
Ledn was founded on the unshakeable conviction that digital assets have the power to democratize access to the global economy. We help you to experience the real life benefits of your Bitcoin without having to sell it. Start a savings account, take out a loan, or double your Bitcoin. For more information visit Ledn.io
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