If you are still waiting for venture capital to completely exit the building before you buy the dip, stop now.
Watching the market slide while holding depreciating assets is painful, but what hurts more is missing the generational entry points because you were too scared to deploy capital. We get so blinded by short-term panic that we miss where the largest funds are actually positioning themselves.
With Paradigm raising a massive new fund, we are seeing a repeat of the late 2020 playbook but with a much soberer outlook. Back in the mania phase, VC billions pumped speculative consumer apps, but today the focus has shifted heavily toward core infrastructure. While retail is busy panic-selling
$BTC and wondering if layer-2 ecosystems like
$ARB will ever reclaim their all-time highs, the institutional giants are quietly reloading their war chests.
It is a classic cycle. They raise capital during the quiet, fearful periods when valuations are depressed, and then they deploy. Compare this to the massive, top-signal raises we saw from rival firms at the peak of 2021, which mostly funded overvalued vaporware. Today, the smart money is targeting high-utility sectors like
$FET and decentralized compute, preparing for the next wave of capital rotation.
Do you think these massive VC raises will actually help revive retail liquidity, or are they just preparing to dump new tokens on us in a couple of years?
#ParadigmRaises #FedMinutesShowSplitOnRateHikes