1confirmation founder: Among the top ten tokens by market capitalization, 4 follow the "crypto VC" playbook

ChainCatcher news, 1confirmation founder Nick Tomaino posted on the X platform that over the past decade, crypto teams have raised a significant amount of venture capital, followed by large-scale token locking, small floating, and aggressive marketing to manipulate prices and FDV to attract retail investors. Undoubtedly, there are other insider games, such as paying market makers to create liquidity or simply intentionally conducting insider bidding for tokens, but the most basic "crypto VC" script is:

• Raise over $100 million in funding and hype the deal with a compelling narrative;

• Launch the blockchain;

• Allocate 50%+ of tokens to insiders;

• Create a total supply of over 100 million tokens;

• Unlock 20% or less of the total supply when the token goes live;

• Execute large-scale paid marketing campaigns.

No matter how one evaluates this script, the fact is that it works very well, with 4 of the top 10 tokens by market capitalization having executed this script, creating over $250 billion in value. Looking ahead, the biggest question is whether this model will continue to be effective. However, based on the recent hype and sell-off of Memecoins, it seems there is still a long way to go.