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WhiteForest
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Co-founder @ForesightVen Chairman @theblock__ Director @blocktempo
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WhiteForest
03-31
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I recently heard that Zhang Jian from FCoin is behind Hyperliquid. I can't confirm the truth, and I don't care. But from a product and team perspective, it makes sense. FCoin launched transaction mining in 2018, and within half a month, its daily trading volume claimed to be 7 times that of Binance. Hyperliquid's HYPE airdropped 31% of its tokens directly to users with zero VC funding, increasing its value from $1.8 billion to over $7 billion, the largest ever. The essence of both is the same: it's not about throwing money away, but about designing a flywheel where the more you use it, the more you earn, and the more you earn, the more you use it. FCoin's core team consists of about 10 people. Hyperliquid, to date, has 11 people, an average daily trading volume of $6.4 billion, a cumulative total of $2.6 trillion (nearly twice that of Coinbase), and users have grown from 300,000 to 1.4 million. 11 people. A well-designed flywheel doesn't require a large team. Neither takes VC money. Jeff self-funds his quantitative trading profits, rejecting all VCs, and giving all tokens to the community. FCoin was one of the earliest to advocate for decentralized exchanges, two years before the DeFi Summer. Zhang Jian, former CTO of Huobi, experienced firsthand the drawbacks of centralization; Jeff said the FTX collapse was his direct motivation for starting his own company. Their starting point was essentially the same: having witnessed the fragility of centralization, they wanted decentralization. Zhang Jian has been absent from public view because of FCoin. He wasn't the only shareholder; there were multiple partners, and he ultimately took the blame for the 7,000 to 13,000 BTC loss. It's understandable that he won't be appearing again this time. What I learned from this experience is that innovation in flywheel mechanisms is more important than AI or trading itself. The ability to design a growth engine that spontaneously spreads and reinforces user engagement is the deepest moat.
HYPE
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