VCs Accelerate Internet-Driven Finance Shift, Legacy Systems Left Behind

Venture capital (VC) is accelerating the transition from traditional economies to internet-driven models, with decentralized finance (DeFi) platforms and blockchain-based ecosystems emerging as key players in this shift. The rapid growth of decentralized exchanges (DEXs) and tokenized economies underscores a broader trend where capital is reallocating toward internet-native infrastructure, challenging legacy systems.

A notable example is , a decentralized perpetuals exchange backed by Pantera Capital and Coinbase. Since its February 2024 launch, Avantis has processed over $12 billion in cumulative volume, leveraging zero-fee perpetuals (ZFP) to attract traders. Its institutional-grade tools, including up to 500x leverage, have drawn significant VC interest, with a total supply of 1 billion tokens and a market cap of $303 million as of September 2025. The platform’s governance and staking mechanisms further align with VC strategies to decentralize financial infrastructuretitle1^[1].

Meanwhile, , a multi-chain DEX backed by former Binance CEO Changpeng Zhao (CZ), has surged 1,200% since its launch in September 2025. With a market cap of $1.6 billion, Aster’s hidden-order functionality and cross-chain support (BNB Chain, Ethereum, Solana) position it as a direct competitor to Hyperliquid ($18.89 billion market cap). Analysts note that Aster’s rapid user growth—2 million wallets onboarded in its first week—highlights the appeal of internet-native financial toolstitle2^[2]. This aligns with VC strategies to fund projects that reduce reliance on traditional banking systems.

The shift is also evident in blockchain gaming ecosystems. , a governance token for a post-apocalyptic game metaverse, has a market cap of $172 million and a 24-hour trading volume of $1.09 million. Its utility in in-game transactions and DAO governance reflects the blurring lines between traditional gaming and decentralized economiestitle3^[3]. VC funding in such projects underscores the pivot toward internet-based value creation, where user engagement and tokenomics drive growth.

The competition between and further illustrates the internet economy’s ascendancy. Ethereum’s $541.85 billion market cap dwarfs Solana’s $129.29 billion, but Solana’s 17% weekly price gain in September 2025 highlights its appeal for high-throughput applications. Ethereum’s staking inflows and institutional demand, despite validator exit queues reaching 2.6 million ETH, suggest resilience in its role as a foundational blockchain for DeFi and NFTstitle4^[4]. Conversely, Solana’s Alpenglow upgrade and focus on AI-integrated DeFi projects position it as a challenger to Ethereum’s dominancetitle5^[5].

Analysts attribute the internet economy’s rise to structural advantages: lower transaction costs, programmable money, and global accessibility. Avantis’ institutional-grade leverage, Aster’s multi-chain scalability, and Ethereum’s staking infrastructure exemplify how VC-backed projects are redefining financial systems. However, regulatory scrutiny and market volatility remain risks, particularly for tokens like UDS, which experienced a 10.26% drop in 24 hourstitle6^[6].

The data underscores a paradigm shift: traditional economies, constrained by intermediaries and geographic boundaries, are ceding ground to internet-native models. VC funding is accelerating this transition by backing platforms that prioritize transparency, composability, and user ownership. As projects like Avantis and Aster scale, they may further erode the relevance of legacy financial systems, cementing the internet as the backbone of global commerce.