It was a real honor to interview Brad Burnham co-founder of Union Square Ventures and partner Placeholder on the history of hype cycles in technology and the value they bring to capital and market formation. Brad has had tremendous success across decades investing at the frontier - when it was the frontier/ before it was obvious. Crypto is still the underdog and his views on the opportunity and its nuances are prescient. Specifically it is both a technical and financial innovation which can lead to excess volatility and a unique muscle as it relates to being a venture manager. But the returns are real. And the innovation is real despite some of the the common narratives. No one debates the breakthrough applications in AI at M13 we have been very active. It is also very clear that incumbents have massive data and distribution advantages which can make it challenging to find the right pockets to invest. AI is on its own hype cycle and as always the best teams (typically with contrarian takes) win. Very exciting times to be a venture investor.
Interviewing Brad Burnham on hype cycles
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What opportunities can hype cycles bring? Union Square Ventures co-founder Brad Burnham shared what he’s learned from decades of venture investing in conversation with M13 Partner Latif Peracha at this year's Future Perfect. A few highlights: 1. Hype cycles bring innovation opportunities: "Without that financial bubble, without that enthusiasm, you don't get the experiments that you need in order to put the infrastructure in place to build real systems,” Brad says. "[At USV] we made the argument that we were through the initial crash of the information technology hype cycle, and that we were going to be building now into what Carlota Perez called the deployment period. That’s when a lot of the technologies that were first introduced in the crash actually became important." 2. Adaptability is key: "It's our job to figure out how to live with these new problems. It's not the job of the technology or the market to make it easy for us,” says Brad. 3. Focus on implications: Both investors encouraged looking at the implications of a technology, not just the technology itself. Thinking beyond the infrastructure or core technical pieces brings a huge number of meaningful opportunities. Read more on #AI, #crypto, and riding hype cycle waves from Brad and Latif: https://lnkd.in/eJEyHj6m
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It's predicted that crypto x AI will drive generalist VC funding to the Web3 space in '25 A comms advantage of crypto x AI companies versus AI companies is that the barrier to entry for high-impact coverage is lower in crypto given great trades like Blockworks with reaches far beyond your average industry pub
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Building Toward 2025 This progress report showcases what we’ve accomplished together in 2024—significant achievements, strong partnerships, and a foundation built to last. As we look ahead, 2025 promises even greater milestones. We’re driven by a bold vision, and the best is yet to come. - Technology Launched LemonX and Lemon AI Beta V1 to provide cutting-edge insights and AI-driven data analysis, transforming how investors and startups collaborate. - Funding Secured $1M in equity funding and received grants from Google, Microsoft, and AWS, enhancing scalability and infrastructure. - Partnerships Formed strategic collaborations with Republic, Crypto Valley Association, and Zignaly to expand influence and build an interconnected investment ecosystem. - Media Recognition Featured by top-tier media outlets such as Forbes, TEDx, and The Economist, underscoring LemonRocks’ impact in the venture capital and blockchain sectors. - Traction Achieved significant milestones with over 15,000 beta registrants, 18 signed agreements, and presentations to 49 venture capital firms. - Team A strong team of 11 full-time employees and 3 experienced advisors drives LemonRocks’ growth and innovation. -Compliance Filed Form-C with the SEC and initiated the VASP license application, ensuring regulatory excellence as we expand our global presence. Starting Q1 2025, we’ll roll out revenue buybacks, new beta features, and advanced trade executions, pushing the boundaries of data analytics for investments. Excited for the journey ahead and what we’ll build in 2025!
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V.P., Engineering at Letterhead • Librarian • Award-winning Serial Hobbyist (Hoot Cowl Media, Design Thinking Games ...)
The startups that win are the one's that find the job-to-be-done - and then serve it, well. _How_ matters a lot less, as long as it's profitably. Value is in service provision. "On the other hand, startups have a much harder road. The natural advantages they normally have over giants, such as being small and nimble, can’t make up for the high cost of training models and offering AI-powered services. VC portfolios are sufficiently diversified that even their outsized bets on AI won’t sink most of them, just as making outsized bets on crypto didn’t sink most of them. But if AI remains on its current trajectory — and regulators don’t allow more acquisitions — I suspect VCs will be really disappointed."
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Meet AI16z DAO: An AI-Based Investment Project That Aims to Upend Silicon Valley. AI16z DAO claims to be changing how crypto communities invest, govern, and operate, leveraging AI for data-driven financial decisions. https://lnkd.in/ePRHuYbx
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Fueling a Web3 utility revolution 🤝 | Real use cases for applied blockchain technology | Serial emerging tech entrepreneur I Passionate golfer
Where are you, 🤔 value driven Angels & early stage VCs who build the next internet? 💡 Over the last years, we’ve delved deep into the intricacies of RWA Tokenization, DePin, AI & NFT projects, uncovering key factors that drive their long-term success! We are experiencing a true utility revolution in Decentralized Finance and Web3 in general! 🌱 Observing numerous teams and companies in these specific sectors within our network evolve.... has truly highlighted the critical need for organic community building AND strategic venture partnerships! These are sectors where innovation intersects with real-world application, and the right investor makes all the difference. Why do I share this with you? ⬇ These unique insights into RWA, DePin, AI and NFTs have naturally positioned us to facilitate connections between these cutting-edge projects and venture capitalists who are keen to champion sustainable innovation. If you’re a VC who is passionate about transformative technologies and looking for ventures that are set for substantial impact, let’s explore these opportunities together. Hit me or Piero Cusmano up in dms - would love to learn more about your investment thesis and the values that drive it! #RWATokenization #DePin #AI #NFTs #VentureCapital #SustainableGrowth #BusinessModel #Innovation
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🌐 Exciting News Alert! 🚀 Web3 investment surges by 55% in Q1 as crypto VC interest rebounds! 📈💼 "Artificial intelligence (AI) and gaming-related Web3 protocols took the lion’s share of the investment. According to the report:." Dive into the details and stay ahead of the game with this article from @Cointelegraph: https://lnkd.in/ePDnD-CT #VCInterest #StayInformed 🌟🔥
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What will top VCs prioritize in 2025? 🤔 In 2024, crypto investments reached $13.7B, up 28% from 2023 but far below 2021-2022 levels. With VC activity now at a "normal" pace, what sectors will they bet on in 2025? Dragonfly Capital 🐉: Focuses on CeFi, DeFi, and stablecoins, while exploring new areas like DePIN and Crypto-AI. Pantera Capital 🐾: Excited about Crypto-AI, DePINs, and new Layer 1 projects. Multicoin Capital 🌀: Bullish on Solana's ecosystem, especially DeFi, and optimistic about stablecoins. Coinbase Ventures 🌐: Focuses on payments, stablecoins, DeFi, Crypto-AI, gaming, social, and creator apps, alongside infrastructure. Binance Labs 🛠️: Long-term investments in real-world products with Web3, AI, and biotech potential. Galaxy Ventures 🌟: Betting big on stablecoins and tokenized RWAs, seeing massive growth potential. Hashed 📊: Prioritizes data infrastructure, institutional DeFi, regulated stablecoin systems, and Crypto-AI infrastructure. Scaling back on generic L1/L2s, short-term GameFi, and utility-less NFTs. Hack VC 🚀: Invests in Crypto-AI (including GPU-based DePIN), scalable infrastructure, and stablecoins as a "once-in-a-lifetime" opportunity. Portal Ventures 🏗️: Focuses on infrastructure and user experience apps, noting funding won’t match 2021-2022 levels due to the economic climate. Blockchain Capital 💡: Targets infrastructure for stablecoins and DeFi. Key takeaway: Stablecoins, DeFi, and AI dominate VC interest. Gaming is less prioritized, and NFT/Metaverse projects are losing favor—except for select blue-chip NFTs. What’s your perspective? Share below! 👇
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🌐 Exciting News Alert! 🚀 Web3 investment surges by 55% in Q1 as crypto VC interest rebounds! 📈💼 "Artificial intelligence (AI) and gaming-related Web3 protocols took the lion’s share of the investment. According to the report:." Dive into the details and stay ahead of the game with this article from @Cointelegraph: https://lnkd.in/eNN-rNAk #VCInterest #StayInformed 🌟🔥