The end of the year has come again, a time for summarization. Although we all know VC is in a bad state, at least we should gain some experience if we can't make any money. After studying the drop to zero projects, I found that their paths to dropping to zero are roughly as follows:

There are reliable technological products, but without understanding promotion, they have no users.
The market promotion is well done, but the product fails to deliver, and the claims made cannot be realized.
There are good products and promotions, but the founding team had conflicts and split, leading to the dissolution of the team.
Some founders lack conviction and constantly change direction, leading to depleting funds.
Some founders are overly resolute and do not listen to any advice from investors, only to find out that the path they chose is not feasible.
Some founders treat the raised funds as their own income, misappropriating the raised funds to speculate on cryptocurrencies, buy houses, indulge in lavish spending, or invest in their other projects.
There are those who never take the initiative to report progress to investors, and by the time they are asked, they find out that they have quietly disbanded.
There are also allegations of fraudulent fundraising materials, with part-time team members represented as full-time, prospective partners described as already having cooperated, and previous project's investors claimed to be the current project's investors.
In the following situations, investors should not indulge and should protect their rights.
The above are all internal reasons of the team. If you are lucky enough to encounter a good product, a reliable team, and well-executed promotion, the project may still drop to zero because:
There are funds raised that were put into CEX for financial management, and the CEX crisis led to a break in the capital chain.
There was a bug in the code, and the smart contract was hacked, resulting in the loss of funds.
There have been airdrops of tokens that are too large for the community, or they have been targeted by wash trading studios, leading to a mindless sell-off that depletes the funds meant for price protection.
Some have paid high intermediary fees or listing fees, only to find that the small exchange has no natural buying power at all, or has been delayed in listing for so long that there are no funds left.
After being listed on the exchange, it was discovered that the repurchased tokens were more than the tokens in the exchange's on-chain wallet, resulting in a depletion of funds due to the CEX printing fake coins to crash the market.
There are also founders in the country being caught by distant ocean fishing, and the funds raised are all used to pay protection fees.
It really confirms that saying---starting a business is a matter of life and death. Therefore, it's only natural for VC to make money; if VC is not making money, it shows that the industry has no future.
PS. I won't name these drop to zero projects, you can identify them yourself. Another day I will name and praise the outstanding projects that are still alive, to let everyone know that the crypto industry still has hope.