The Shocking Truth! VC is Not a God! The 'Truth Revealed' in the Investment Circle Will Overturn Your Perception!

Venture Capital (VC) is not an invincible deity, but a hybrid of two roles in the market: top institutions and 'large retail investors'. Their work is divided into four major stages: fundraising, investing, managing, and exiting. Top VCs excel in all four areas, while most VCs are only proficient in one or two, making it difficult to guarantee returns on invested capital.

The classic '80/20 rule' shows that 20% of top VCs take 80% of the profits, leaving the rest of the VCs struggling to stand out. Especially in this round, lacking substantial technological innovation and focusing more on asset issuance and distribution, VCs are crazily banding together to form an 'inner circle' of interests.

VCs at the core 'inner circle' make steady profits, while peripheral VCs are gradually being eliminated by the market. This situation is akin to the current on-chain project market.

So, do not blindly trust VC endorsements! The key is to look at the project's product-market fit (PMF), ecological track, and team strength. Your independent research is often more valuable than that of most VCs; the market will eventually reward those with vision.

Let us unveil the mysterious veil of VC and recognize the truth of investment!