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I guess Web3 startups have a failure rate around 97-99%. Yes, web2 startups failure rate is also brutal, but Web3 has unique challenges: - dumb builders - thinking community = users - token is a burden not a feature 1. Dumb builders Yes, we all heard about “no PMF”, but here are my two cents: - In Web2 you can quickly validate demand → build an MVP and run paid ads. - Roughly, LTV:CAC > 3x + scalability and you're fine. in Web3 too many builders are “building” something that never had any demand. And they don’t even hire marketers who could find it out. The first moment they realize it is TGE. 2. Community ≠ users In web3 acquisition is easier than retention. But: - Followers are not users - Engagement is not adoption - Airdrops and points bring temporary users who leave after TGE Why? See #1 And let's not blame people. We all use Phantom, Rabby, Hyperliquid, Uniswap etc. Build something real. 3. 90% projects don't need a token Let's be real. Most of the project launch token because it’s the only way they can raise. Investors would never ever invest if it were equity-only deal. Even strong startups with revenue struggle. They come up with buyback programs and burn their revenue instead of scaling their biz. Yes, sometimes zero utility + strong narrative can pump. But for that you have to be in the narrative and play on emotions and expectations. Usually if the chart becomes the product, you're gone. Final thoughts You can build well and still fail because: • MMs dump on you to make revenue • CEX demands are insane • poor tokenomics • no revenue streams • narratives rotate and leave you behind etc. Web3 does not reward "just" effort. You need to: - find product-market fit - work on retention - choose the right timing - be lucky

Spent the last few days editing the most inspiring conversation I’ve had in a while: my interview with @NeoAlmanak, founder of @almanak We covered everything: → how they hit $170M TVL before TGE → everything about AI Kitchen and future vaults → TGE and long-term strategy Full episode coming soon on @FoundersShow