Gate News message, April 20 — According to The Block, the crypto venture capital landscape is undergoing structural transformation. Investors now universally require startups to demonstrate real users and revenue before deploying capital, marking the end of the era of easy early-stage funding. Token models as reliable exit mechanisms have significantly diminished in appeal, with low-circulation, high-valuation token launches consistently underperforming the market. Investors are returning to traditional equity-based thinking.
Simultaneously, the rise of the AI sector is capturing substantial LP capital and entrepreneurial talent, further intensifying crypto VC fundraising challenges. However, multiple investors note that reduced competition, rationalized valuations, and improved regulatory environments position 2026-2027 as the strongest investment year since 2018. Future capital is expected to concentrate on stablecoins, payments, tokenization, real-world assets (RWA), and financial infrastructure—sectors with clear business models. The boundaries between crypto VC and traditional VC are also expected to accelerate their convergence.
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