Crypto Investors Urge Long-Term Focus Amid Rapid Trends

Chasing trends in the rapidly evolving world of cryptocurrency and Web3 can be a costly mistake, as highlighted in a recent roundtable discussion hosted by Cointelegraph Accelerator. The event brought together venture capitalists to discuss the current state of crypto investments, key trends, and factors that will shape the landscape in the coming years.

Nikola Santoni, partner at Lemniscap, emphasized the importance of assessing future demand rather than chasing current trends. He noted that while the intersection of crypto and AI has accelerated, the narratives and attention spans are changing rapidly. This volatility requires a keen awareness when investing. Lemniscap focuses on identifying natural market demand and teams with potential for long-term product development. Santoni stressed the importance of building conviction early on and ensuring that the envisioned product makes sense in the long run.

Michael Zajko, co-founder of Lattice, echoed Santoni's sentiments, stating that successful investments are made before something becomes a hot trend. He pointed out that venture investments typically have a 5-7-year timeline, and investing at the peak of a trend can mean missing out on earlier opportunities. Zajko highlighted the example of DeFi Summer, where investing at the peak would have meant missing out on earlier opportunities like Uniswap and Aave. He also mentioned the potential of decentralized physical infrastructure networks (DePIN), noting that some DePIN tokens are coming to market this year, presenting exciting opportunities.

Ivan Li, founding partner at Comma3 Ventures, agreed that chasing all the chains is risky, especially in primary investments where there is no liquidity. He advised investing before a project gets off the ground, given the long timelines involved. Li also expressed skepticism about the future of EVM-based blockchains, suggesting a closer look at Move-based blockchains like SUI, which he compared to today's Tesla in terms of innovation.

Zajko also discussed the rapid development of AI within Web2 and its simplistic approach in crypto projects. He noted that developers are taking a more cautious approach, focusing on long-term value rather than just launching tokens for retail speculation. He expected to see more advanced AI agents this year that deliver real value, rather than just tweeting. Zajko divided AI into two main areas: enterprise AI, which includes decentralized compute projects, and retail-focused projects that are still in development. He anticipated a reemergence of