From Speculation To Sustainability: Hack Seasons Panel In Singapore Shares How Investors Are Navigating Web3 Market Evolution
In Brief
At the Hack Seasons Conference, Web3 and crypto VCs discussed how institutional interest in stablecoins, DePINs, and AI-blockchain integration are reshaping investment strategies.
At the recent Hack Seasons Conference in Singapore, key representatives from major venture capital firms specializing in Web3 and digital asset investments gathered to discuss the evolving strategies shaping the next phase of the cryptocurrency market. The session, moderated by Mickey Hardy, President and Chairman of Arcadia, featured insights from Rob Hadick, General Partner at Dragonfly, Akshat Vaidya, Managing Partner and Co-Founder of Maelstrom, and Kevin Koh, Co-Founder of Spartan.
The discussion began with panelists noting that the current market cycle differs significantly from previous ones, prompting investors to redefine their key investment theses for capital deployment over the next three to five years.
Speakers observed that the industry is currently experiencing what some describe as a “stablecoin summer,” marked by growing institutional interest in stablecoins and blockchain-based payment systems. Several participants shared that nearly 60% of their recent investments over the past year were focused on this area, spanning both DeFi-native and crypto-native stablecoin projects as well as payment platforms integrating stablecoins into their infrastructure. They highlighted that this trend represents a fundamental shift in how traditional businesses operate, as blockchain technology continues to enhance the movement of money in a digitally native and efficient way.
In the short term, panelists agreed that the “Wall Street-isation” of the crypto industry remains a dominant narrative, encompassing developments in DeFi, stablecoins, and financial infrastructure. However, looking further ahead—over a ten-year horizon—many are turning their attention to DePIN. They described DePIN as the next major phase of crypto evolution, one that has the potential to impact nearly every industry and fundamentally transform economic structures worldwide.
While stablecoins remain a core area of focus, the discussion also emphasized the growing intersection between crypto and artificial intelligence. Although the surge of activity in AI seen in the latter half of last year has moderated, panelists noted that significant capital continues to flow into the sector. They expect the overlap between AI and blockchain—particularly in the development of autonomous AI agents—to become an increasingly prominent area for innovation and investment.
From Founders To Frameworks: How Crypto Investors Assess Long-Term Value In A Changing Market
The panel continued by exploring how investors distinguish between short-term trends and long-term sustainable success, as well as the key metrics and principles used to evaluate founders and projects.
Speakers noted that the criteria largely depend on the project’s stage. In the early stages, the primary focus is on the founder and the target market. The specifics of the product or technology often matter less, as early projects can pivot quickly. Investors assess whether there is a clear product-market fit, whether the target market is ripe for disruption, and whether it has the potential to grow significantly once that disruption occurs. At this stage, evaluating founder traits—such as vision, adaptability, and understanding of the market—is often more important than concrete metrics. In later stages, however, data-driven analysis becomes more critical. Investors begin to look closely at indicators such as total value locked (TVL), unique users, and retention rates, particularly for consumer-facing applications. Cohort analysis and user behavior over time become essential tools for assessing long-term viability, though these metrics are not typically relevant at the seed stage.
The panelists agreed that most venture capital firms rely on similar frameworks—founder quality, market potential, and execution ability. However, they observed a key distinction between Web2 and Web3 investment dynamics. In traditional tech, investors often pursued the next iteration of a successful platform, asking “What’s the next Instagram?” or “What’s the next Snapchat?” In cryptocurrency space, and particularly in DeFi, success tends to be cumulative rather than competitive. Projects that collaborate with existing players, rather than trying to displace them, often perform better and gain stronger network effects.
Founder quality remained the dominant factor discussed, particularly a founder’s clarity of vision, flexibility to pivot when needed, and capacity to adapt to changing market conditions. Panelists also emphasized the importance of ecosystem dynamics. Since most investors are chain-agnostic, they prefer founders capable of navigating multiple ecosystems and identifying the right product-market fit, rather than remaining tied to a single network with limited user bases.
The conversation then turned to how the venture landscape itself has evolved. In past years, the prevailing “gatekeeper” model meant that success often depended on a fund’s access to exclusive deal allocations rather than its ability to conduct in-depth due diligence. This has shifted toward a more level playing field, where VCs must now compete with retail investors and active platform users. As a result, it has become more challenging to succeed as a crypto-focused VC, as capital alone no longer guarantees access or returns. The next stage of the industry is expected to move beyond speculative “pumpanomics,” focusing instead on real value creation for users and sustainable token economics that reward both retail and institutional participants.
Panelists highlighted recent success stories from this cycle, such as Hyperliquid and Pump.fun, as examples of how this shift is playing out. These projects launched tokens through open, community-oriented processes rather than traditional VC-backed structures. Despite their high fully diluted valuations, their strong user bases and revenue generation created organic demand that placed investors and users on more equal footing.
While such examples remain relatively rare, they demonstrate how effective execution and genuine utility can drive success in the evolving cryptocurrency landscape. The discussion concluded with reflections on the strategic choices investors now face—whether to deploy capital through traditional venture structures, liquid funds, or a combination of both—to adapt to this increasingly competitive and decentralized investment environment.
Market Maturation And Regulatory Crossroads: How Crypto’s Middle Segment Is Shaping The Next Wave Of Founders
The panel noted that market sophistication is steadily increasing, with several strong players building real products, generating revenue, and growing user bases. However, when examining the broader landscape, many projects still lack clear direction or quality, yet their tokens continue to perform well. This dynamic, the panel observed, reflects a market bifurcation: while part of the industry is maturing—driven by institutional involvement, stablecoins, and payment solutions—another part remains dominated by speculative activity. As a result, the “middle” segment of the market appears to be hollowing out, leaving a divide between fundamentally strong projects and those sustained primarily by hype.
Participants agreed that capital rotation has contributed to this polarization, as not every project benefits equally from market cycles. In an increasingly competitive environment where attention is scarce, projects without a clear product-market fit face challenges in sustaining growth.
The conversation then turned to the growing intersection between traditional finance (TradFi) and cryptocurrencies. While regulatory progress has opened the door for institutional engagement, panelists acknowledged that fundamental misalignments between the two worlds remain. Some viewed regulation as essential to fostering trust and enabling broader participation, while others argued that the incentives driving traditional financial institutions conflict with the original ethos of cryptocurrencies. The balance between transparency and privacy, they noted, continues to evolve as regulators and industry participants work to define the middle ground.
Speakers also emphasized that regulatory clarity is a prerequisite for meaningful participation from major financial institutions. In leading global cities, governments are actively developing frameworks to support the industry’s growth. With clearer guidelines, firms such as JPMorgan and Goldman Sachs could engage more deeply in cryptocurrency markets, expanding liquidity and legitimacy in what remains a relatively small sector.
The discussion concluded with reflections on the traits that define successful founders in this new era. The panel highlighted that founder-led marketing and strong personal narratives may increasingly serve as key catalysts for project success, helping build trust, attract communities, and differentiate credible teams from the noise in a fast evolving market.
Disclaimer
In line with the Trust Project guidelines, please note that the information provided on this page is not intended to be and should not be interpreted as legal, tax, investment, financial, or any other form of advice. It is important to only invest what you can afford to lose and to seek independent financial advice if you have any doubts. For further information, we suggest referring to the terms and conditions as well as the help and support pages provided by the issuer or advertiser. MetaversePost is committed to accurate, unbiased reporting, but market conditions are subject to change without notice.
About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
