**Key Takeaways from Market Trends: Not Investment Advice**

2017 marked the era of ICOs, where public fundraising replaced traditional VC and PE investments, fueling the 2017-2018 bull market. At that time, simply securing a share meant profitability.

By 2021, DeFi emerged, diversifying and fragmenting the market. Quick movers capitalized on this trend, making substantial gains. IEOs allowed for negotiation with project teams to allocate shares to users, typically resulting in low initial pricing and a preference for new investments.

Currently, IEOs face legal scrutiny in many countries, leading to airdrops and market-priced offerings. High circulation and low opening prices contribute to steady project performance, although they lack the thorough cleansing process seen in 2021.

The 2024 market surge was driven by BTC ETFs. Top-tier projects and Lumao Studio led this wave, generating impressive data. Projects with significant VC backing saw inflated valuations, and confidence surged among projects with substantial user bases. With numerous CEXs and DEXs available, the absence of a specific platform was less concerning.

Trading platforms have lost pricing power, emphasizing the importance of fundamentals over market value and circulation for high-valuation projects.

The dynamic between Lumao Studio and L2 projects has evolved into a farce, signaling the possible end of the Lumao era. Today's market features more professional players with advanced risk-hedging tools, expanding market size. Strategies from 2017, 2021, or even 2023 may not suit the current landscape.

A market with less VC investment and fewer project parties may be healthier. Each cycle witnesses a few projects that survive bull and bear markets, while many high-potential projects falter. Success is rare in both web2 and web3, with very few startups crossing the gap and enduring cycles.

Investment is inherently risky; exercise caution when entering the market.

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