Summary of Ordinary Web3 Entrepreneurs in 2024 and Outlook for 2025

The year 2024 is an extraordinary year for the Web3 industry. As an ordinary Web3 entrepreneur still striving on the front lines, I would like to share my insights and outlook from the following four aspects: from wilderness to universality, from chaos to order, from recession to bubble, from conservatism to transformation.

From Grassroots to Universality: BTC Spot ETF Initiates the Universalization of Crypto Assets

In 2024, the crypto world underwent a transformation from a niche subcultural product to an asset class with universal value. This journey has two landmark events:

1. On January 10, 2024, the BTC spot ETF was approved.
2. On November 6, 2024, a cryptocurrency-friendly new president is elected.

These two events drove the price of BTC from the range of $30,000 to $60,000, and from $60,000 to $100,000.

Compared to the bull market in 2021, the motivation for liquidity in this round of the bull market has changed. In 2021, it was primarily driven by high capital efficiency brought about by deregulation, while in 2024, it is being driven by political influence promoting the universal value of cryptocurrencies. This has led to more support for cryptocurrencies from mainstream elites and the media, and the motivations for purchasing BTC have also increased factors such as "store of value" and "hedge against inflation," making its value support more robust.

This transformation from "grassroots" to "universal" has also influenced the mindset of practitioners. Now we can introduce our industry with more confidence, which will benefit talent inflow and industry collaboration.

For 2025, I anticipate that the following aspects are worth paying attention to:

• Progress of Bitcoin reserve-related legislation at the national, organizational, and corporate levels.
• Statements related to key figures with political influence
• The BTC allocation in the balance sheets of publicly listed companies in the United States

From Chaos to Order: Improvement of Global Crypto Regulatory Framework and Expansion of Web3 Business Scenarios

For a long time, one of the core value propositions of the cryptocurrency industry has been the censorship resistance brought by decentralization and anonymity. However, the industry's development is iterating towards a more pragmatic direction.

With the new government coming to power and changes in personnel at regulatory agencies, a more inclusive and crypto-friendly regulatory framework is expected to be introduced. This will make it possible to expand Web3 business scenarios without taking on excessive legal risks.

In 2025, I will pay special attention to the following aspects:

• The judgment result of the lawsuit case
• The proposal and promotion of relevant legislation
• Changes in personnel appointments of regulatory agencies
• Remarks and views of key decision-makers

I am very interested in the following two aspects regarding potential business expansion directions:

1. Ce-DeFi scenario: connecting traditional finance with on-chain tools to improve capital efficiency. This includes two directions: from traditional finance to on-chain and from on-chain to traditional finance.

2. The application of DAO in the management of off-chain entity businesses: exploring internal governance through the DAO model to obtain cheaper financial services.

From Recession to Bubble: Three Major Directions for Web3 Business Development

In 2024, the traditional Web3 business hotspots underwent significant changes. From the downturn period in the first half of the year, represented by the LRT market, to the rapid entry into a bubble phase in the second half of the year, capital is chasing projects with short-term high returns.

Looking ahead to 2025, I believe traditional Web3 businesses will develop in the following three directions:

1. More innovative grand narratives: Capital tends to chase high-growth sectors, so emerging fields with imaginative potential will attract attention.

2. More robust business revenue: Some mature sectors will return to reasonable valuations, and the pursuit of real income will become the main theme. The DeFi and Ce-DeFi sectors may have new commercialization opportunities.

3. A more balanced interest game model: The traditional VC model faces challenges, and new financing models may emerge.

From Conservatism to Reform: Opportunities and Challenges Brought by Changes in the Political and Economic Environment

The year 2025 will be a year of significant change, with political shifts triggering immense transformations across various fields such as the economy and culture. These uncertainties will bring substantial volatility to the risk markets.

Some previously damaged capital may manipulate the market during the window of power transition, creating a "panic selling" situation. In this environment, sectors like NFTs, which were once popular but later declined, may experience a resurgence.

Overall, 2025 will be a year of both opportunities and challenges. As Web3 entrepreneurs, we need to remain vigilant and actively seize the new opportunities brought by market changes.