I. The Industry Mirror of Du Juan's Declaration: Structural Contradictions in the Primary Market Exposed
The decision by ABCDE Capital founder Du Juan to suspend new investments and second-phase fundraising is like a touchstone thrown into the deep pool of the blockchain industry, with its ripples mapping out the systemic contradictions existing in the primary market.
This industry veteran who has been involved with heavyweight institutions like Huobi and Node Capital, used sharp terms such as "short-sighted game" and "lack of value creation" to directly point out the core ailment of the industry: in the carnival of token liquidity, the original intention of blockchain technological revolution is being alienated by trading platform market value management and institutional arbitrage games.
This alienation is significantly presented at the data level: according to CoinMarketCap statistics, 327 new trading platform projects were launched globally in the first quarter of 2025, but only 12% of these projects maintained positive technical iteration three months after listing, with an average token price drop of 67% from the opening price.
More worryingly, some institutions use an industrialized assembly line operation of "private placement - listing - market value management - exit", compressing the investment cycle to 6-8 months, resulting in numerous projects becoming abnormal products of "code shells with economic model packaging".
The deep-rooted cause of this phenomenon lies in the blockchain industry's unique "triple mismatch":
· Time value mismatch: Traditional VC's 7-10 year exit cycle is compressed to 18-24 months under token liquidity impact, causing an inversion between technology sedimentation period and capital return period
· Valuation system mismatch: The network effect of protocol-layer projects has not yet emerged, but market value has already prepaid the value of the next 5-10 years through token models
· Responsibility boundary mismatch: Institutions simplify post-investment management to trading platform docking services, ignoring technical route correction and ecosystem co-construction responsibilities
This systemic distortion is consuming the industry's innovative momentum.
When Gitcoin developer forum data shows that blockchain original protocol code submissions in Q1 2025 decreased by 23% year-on-year, while token economic model white paper numbers surged by 178%, we cannot help but face the truth: the industry is degenerating from a technology-driven value internet to a liquidity casino dominated by financial engineering.
[The translation continues in the same manner for the rest of the text.]Similar to Celestia's data availability layer, which enhances scalability by decoupling the execution and consensus layers, Messari predicts that modular blockchains will carry 58% of next-generation protocols by 2027.
· Intent-Centric Execution Network
The "intent pool" architecture built by protocols like Anoma can improve transaction efficiency by 5-8 times while reducing gas costs by 60%.
· Decentralized Science (DeSci) Infrastructure
In areas such as research data confirmation and peer review incentive protocols, it is expected to reshape the $20 billion research funding allocation system.
IV. Future Declaration to Investors
As investors choose to break free from short-term gaming, the industry is ushering in a historical turning point of value restoration. Those projects that truly focus on underlying technological innovation, are committed to expanding the boundaries of trust, and dare to reconstruct production relations will gain the vitality to transcend cycles.
In the next 3-5 years, blockchain investment should no longer be financial alchemy wrapped in code, but should return to its essential mission—rebuilding the trust foundation for value transfer in the digital world through distributed ledgers and cryptographic protocols. This requires investors to maintain keen insight into technological frontiers while possessing the resolve to resist human greed. Only then can one capture truly world-changing protocols in this ongoing digital economic revolution.
Welcome to join the BlockBeats official community:
Telegram Subscription Group: https://t.me/theblockbeats
Telegram Communication Group: https://t.me/BlockBeats_App
Twitter Official Account: https://twitter.com/BlockBeatsAsia
