The market has collapsed? Let's talk about the five major problems in the encryption industry.

These days I've been focused on researching new tracks, and when I looked up, I realized the world outside had changed. I had a lot to say, so I just let it out.

Liquidity has really bottomed out.

The market has already entered a bear market, so stop fooling yourself. After TRUMP's wave, the funds have basically been drained, and those small rebounds afterward? They are purely being supported by emotions. Real money has long stopped playing.

The Death Spiral of Altcoins

Currently, altcoins launch with debts — there are no loyal fans holding long-term, nor developers who genuinely contribute. Airdrop enthusiasts cash out frantically, VCs are eager to exit, and exchanges take their cut without hesitation. After years of hard work, project teams just want to make a profit and leave. Everyone wants to run, who will take over?

Is MEME a cure or a poison?

MEME coins were once seen as a savior—retail investors used them to fight against the overvalued VC coins. They were indeed effective for a while. However, the problem is that the zero-threshold, assembly-line style mass coin issuance, combined with the illusion of “fair launches,” cannot support long-term value.

Without the technological innovation support of VC coins that starts from scratch, MEME is just a game of existing stock, where players cut each other, ultimately dragging the entire ecosystem down.

Exchanges have also started to engage in internal competition for self-rescue

The positioning of exchanges was very clear in the past: to capture the overflow traffic from on-chain innovations and amplify liquidity. As a result, platforms like Pumpfun, GMGN, and Hyperliquid emerged, creating a massive wealth effect, leaving exchanges in a panic, leading them to start “internalizing”—to engage in market making themselves.

Selling shovels and starting to dig for gold, can those who are really panning for gold still survive?

The Darkest Hour for Builders

Why are so many projects queuing up for launch? Why is no one willing to slowly polish the product? Why is all the blame being placed on the project parties and VCs?

This problem is too complicated and has no standard answer. But the reality is: Builders and VCs in the crypto space have already gone bankrupt in large numbers. What is more terrifying than liquidation? It's the entire industry being undermined, leaving people gone and buildings empty.

Writing this feels a bit like venting. But this is why I've been shouting about “on-chain innovation” all along.

Crypto is no longer what it used to be. It is sick, old, and even in a critical condition.

Only by starting from scratch and driving a new on-chain narrative through technological innovation can we hope to regroup.