Will VC be eliminated if they don’t run with the company? Crypto venture capital bids farewell to the era of exiting as soon as it issues a coin, or is there going to be a major reshuffle?

As the cryptocurrency market enters a mature phase, traditional Web3 venture capital models are facing significant transformation challenges. Moving from early short-sighted speculation and quick profits to focusing on fundamentals and long-term value, many previously active crypto funds are now forced to exit or transform, reflecting fundamental changes in industry structure. Venture capital firm Symbolic Capital's Executive Director Sam Lehman recently published an article 'Crypto is Growing, VCs Are Being Left Behind', revealing that at least four well-known crypto funds have chosen to liquidate or quietly close operations in recent months, indicating rapidly changing market confidence in Web3 investments. He pointed out that traditional Web3 venture capital models primarily relied on "quick token generation events (TGE)", "centralized exchange (CEX) networks", and "short-term arbitrage opportunities". Many funds' fundraising logic was built solely on general partners' (GP) deep relationships with exchanges, determining which projects might be listed for short-term profits. Consequently, compared to Web2's typical ten-year funds, this approach led to numerous five-year or shorter funds, compressing investor support for long-term infrastructure projects. **Founders were also under pressure, often hastily issuing tokens before finding product-market fit (PMF), resulting in inconsistent project quality**. Entering 2025, the cryptocurrency market is displaying a more orderly and structured appearance against the backdrop of clearer regulations and traditional financial institutions' gradual entry. New transformation characteristics include: - **Extended lock-up periods**: Mainstream CEXs now generally adopt a 1-year waiting period plus 2-3 year vesting structure. - **Focus on fundamentals**: Markets no longer blindly chase token hype but demand actual revenue, product moats, and profit models. - **Diverse exit pathways**: Beyond token issuance, IPO and acquisitions are becoming potential exit methods for more projects. This transformation also raises higher requirements for venture capital. Funds previously relying on short-term arbitrage and token monetization will struggle to maintain their footing in the new landscape without changing their structure and mindset. Lehman indicates that future success will belong to multi-stage funds capable of "accompanying projects from Pre-Seed to IPO". While most funds remain focused on early-stage and short-term liquidity, funds able to lead Series A and above, helping companies build robust governance, prepare investor presentations, and evolve processes will significantly lead in this phase. The industry's maturation doesn't signify the demise of decentralization dreams but represents a necessary evolution towards sustainable development. The new generation of projects focuses more on practical applications and long-term value, marking a transformation from a "gambling arena" to an "industry". Those venture capital funds willing to adjust investment structures, strengthen fundamental support, and provide substantial operational and strategic assistance will become winners in this new paradigm. Those clinging to old thinking and ignoring changes will inevitably be left behind by the industry's growth momentum.