*This is a summary and not investment advice.*

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In 2017, during the ICO boom, public fundraising began to replace traditional venture capital (VC) and private equity (PE), making the 2017-2018 bull market dominated by early-stage platforms and proxy investments. At that time, anyone who secured a share in these projects could profit.

By 2021, the rise of DeFi diversified the market significantly, creating opportunities for those who moved quickly. Initial Exchange Offerings (IEOs) were also common, and projects would sometimes negotiate to release shares to users at low prices upon listing, making “buying new, not old” a trend during that period.

However, IEOs are now considered legally risky in many countries, leading to alternatives like airdrops and market-based pricing. When the opening price is low and the token supply is large, projects can often perform steadily, as seen with examples like BB and Lista. Yet, the market dynamic is different from 2021, lacking a sufficient correction phase.

The 2024 market surge has been driven by the introduction of Bitcoin ETFs, with prominent projects and Lumao Studio playing key roles. These players have worked together to generate impressive results. On one hand, this has allowed projects to secure more capital from VCs, with top firms managing funds in the billions, thereby driving up valuations. On the other hand, projects with strong financial backing and user bases are confident, with millions of users on the blockchain. Whether or not a project lists on a particular centralized exchange (CEX), there are still plenty of alternatives, including decentralized exchanges (DEX) or even their own chain’s DEX.

Today’s trading platforms no longer have the same pricing power. For projects with high valuations, it’s essential to focus on their fundamentals—market value and circulating supply—rather than just the price.