​​VCs buying from the market 🤑

That's the dream for any team. And that's the goal for any team. When you can somehow convince a VC in a so-so market to invest in a coin 800K USD - you are damn good. Congrats!

More "smart money TM" buying off the market 🤓

Previously, the dump-on-next-round model was easier and better, but in this season people got smarter (hint: they never will be fully smart) so everyone waits for some traction and validation on the secondary market before jumping in. That's because every first candle goes down, so it's normal to see this behavior.

Buying off the market is something we might see happen more as capital becomes more value-oriented (warning: this is a meme). Money still flows in the market, but it's not as widespread among 1000s of alts as it's used to be. Surely, people arbitrage and trade all penny stocks, but a few penny stocks will capture the most volume and liquidity. CoinFund has been doing this more as a hedge fund, and many others have been doing it on the sidelines. But not to hold and stake per se, more as trading - which makes sense as crypto assets are super seasonal and hype-driven.

Is it hard to get whales to buy your coin? Not thaaat hard, but making them hold it - is the way to go. More retention, more healthy appreciation. Just buying and selling a day later is not the effect you want to go for.

Valuating your bags 📈

The valuation methods and PMF analysis (product-market fit) are still unset and it's still all very experimental, but some already try these models of buying off the secondary market. a16z with SNX and MKR, and we will likely see this trend continue. However be careful being sold snake oil. For VCs, this money throwing around is a job, they have to deploy. Don't buy every Kyle Samani's shill, but also don't ignore it. In this particular case, Placeholder VC, Chris Burniske, added 800,000 USD worth of ANT (Aragon). I am personally surprised by what he saw there - because despite being an OG project - they have always struggled and have always been slow with delivering, not my go-to project. Anyway, props to them for convincing a big bag to enter. Here is the tx: https://etherscan.io/tx/0x673b79ad2e5de106e768574b958c22a547a59a9b01e7ea73c331ade36a6970b3

Have a token to shill or any token-tech-business question? Just jump in the chat 🤗

Update 🦄 Tim Draper also just bought 2.5% of ANT (Aragon) which is over 1,000,000 USD: https://www.theblockcrypto.com/linked/56417/venture-capitalist-tim-draper-bought-1m-ant-tokens-to-join-the-aragon-network