How the cryptocurrency industry can overcome the liquidity crisis in the market

These days, I’ve been immersed in a certain track, telling stories, and when I look up at the market—really, people are stunned. Still, I gotta vent.

Liquidity has been gone for a long time. Ever since a certain top politician took office, the market’s money has been sucked away as if by an invisible hand. Those fragmented rebounds afterward? All emotional fluctuations, the underlying logic of the bear market hasn’t changed.

Altcoins have been in debt since their launch. Who still holds firmly onto them now? Those who used to quietly contribute code are gone. Instead, airdrop hunters are everywhere—mining a bit and then running. VCs are pushing for listings behind the scenes; once listed on exchanges, they take a quick profit and leave. Project teams have waited for years hoping to recoup their investments in this wave. But who’s willing to be the last sucker to pick up the tab?

MEME once saved the market. Small investors used it to fight against VC coins with high FDV, and it worked for a while. But with zero threshold, fake fairness, and mass-produced copycats, it can’t create any long-term value. Without a core story of technological innovation, MEME is just a PvP stock war, ultimately draining the industry’s blood.

Exchanges have been amplifying on-chain innovation liquidity. But after tools like Pumpfun appeared, along with new gameplay like GMGN and Hyperliquid, exchanges started to panic—they felt the impact and began building their own internal markets. And what happened? The ones selling shovels started digging for gold themselves, making what’s left of the gold rush track meaningless.

Project teams and builders have entered the darkest hour. Why are so many projects rushing to issue tokens? Why is no one willing to spend time refining their products? Why has the entire market’s structural imbalance become a matter of projects and VCs? Hard to say. But one undeniable fact is right in front of us—the builders and VCs in crypto are all fleeing, bankruptcy stories are emerging one after another. More painful than liquidation and zeroing out is the mass exodus of talent and capital, and the industry has been hollowed out.

This is why I’ve always emphasized on-chain technological innovation. The industry is seriously ill now. Starting from zero, driven by real technology and creating new narratives is the only way to turn things around.