The secrets of the distributed capital investment mindset: how to use the "impossible triangle" for blockchain investment?

Looking at blockchain projects, do investors focus on technology or business? Current price and future value, which is the real opportunity? To G, to B or to C, what is the industry trend in 2020?

On the evening of March 24th, the second issue of Babbitt Industry Class "Finance is a Trap or a Wealth Treasure? —— "Blockchain and Finance" Study Week continued wonderfully, and Huang Lingbo, a distributed capital partner, decrypted the "distributed" investment mentality online.

Huang Lingbo

Established in 2015, Distributed Capital is China's first venture capital company focused on investing in blockchain technology-related companies. Shen Bo is the founder of distributed capital, Xiao Feng, chairman and general manager of Wanxiang Blockchain, and Vitalik Buterin, the founder of Ethereum, are co-founders.

In the two-hour lecture, Huang Lingbo analyzed the overall investment logic of distributed capital, analyzed the characteristics of each type of project in detail from three categories, and cited a large number of investment examples to explain her understanding and judgment of various projects, Trainees see the investment market in the eyes of top blockchain investment institutions.

In addition, she also deconstructed the financial system from the two aspects of capital flow and cash flow, and explained in detail how the financial system was restructured. At the same time, she also introduced the application of blockchain in traditional scenarios with examples, and made research and judgment on the industry trend in 2020.

"Distributed" investment logic: Looking at blockchain projects, is the "impossible triangle" the key?

There are three main types of investment logic in the primary market: enterprise technology services, blockchain natives, and industry ecological services.

Enterprise service projects are similar to traditionally invested enterprise services. They need to be viewed from two levels of technology and scenarios. They mainly focus on BD capabilities and team product understanding and technical experience. The general business model is to collect project fees or regular service fees. Due to the recent domestic support for blockchain technology, the development of this track may be much faster than before, and more new companies will need blockchain technology services. In the application of enterprise service scenarios, blockchain is mainly an internal de-trust mechanism. Huang Lingbo suggested that enterprises should get involved in the alliance chain as soon as possible.

Blockchain native projects (public chain, protocol layer, etc.) have a special overall investment logic. Unlike traditional VC, they will pay more attention to the balance before decentralization, security, and efficiency, that is, the "impossible triangle" balance. Both the technical and economic models serve these three points. Detrust (that is, non-trusted institutions or individuals, but the trust algorithm itself) is the real dividend of this industry. Regardless of the previous BTC or ETH, it can actually land and be applied because it has achieved this. Native protocol projects should grow from the bottom up and grow savagely.

Industry ecological service projects (media, exchanges, wallets, mining pools) have relatively strong Internet attributes, and look more at traffic, that is, to C's product and operating capabilities. Overall, this track belongs to the concept of traffic entrance.

Vertical + horizontal, how to restructure the financial system?

The financial ecology is, in essence, composed of capital flows and data flows. Due to the relatively closed traditional financial ecology, isolation between institutions and regions has resulted in the impediment to data flow and capital flow in the financial system. Centralized trust mechanism is the foundation of traditional finance and strengthens this trust through financial supervision, but at the same time it also increases the friction cost of the entire system.

From the perspective of the vertical structure, the underlying public chain is responsible for clearing, supervision, and information storage. The basic protocol layer connects data flow and cash flow through on-chain functional carriers. The application component layer is reorganized by financial institutions and derived into entertainment consumption and other fields. To implement DeFi at the application layer, the core lies in the decentralization of the public chain and the basic protocol layer.

From the perspective of the horizontal architecture, various functions of the basic protocol layer appear in a modular form, and the application side can choose 1) the underlying public chain according to its own needs 2) choose the data or financial protocol, and then insert and remove the module combination Forming application components in a holistic manner, thus creating a new open financial ecology.

Inferring the development of blockchain, what are the industry trends in 2020?

The opportunities in 2020 are more in enterprise service projects. Enterprise services this year will drive the incremental development of industry data. With the support of policies and requirements, governments, financial institutions, and large enterprises have begun to upload data through alliance chains or private chains. These institutions themselves hold a large amount of applicable data, including various types of finance, identity, consumption, content, etc. The on-chain of these data has laid a solid foundation for the future development of the industry.

The toBtoG business will support the government and financial institutions to upload internal data to the chain; toBtoC services will cooperate with traditional online scenarios with traffic to make the blockchain reach ordinary consumers. The application of blockchain in traditional scenarios mainly includes the Internet of Things, financial industry, government affairs, business and people's livelihood.

The above is the highlight of about 30% of the live teaching content. If you want to see the distributed investment mindset, you can subscribe to watch the course and replay "" distributed "investment mindset" .

From March 23rd to March 27th, 7: 30-9: 30pm each night, five financial leaders from the blockchain industry and traditional capital markets, Zhang Li, vice president of Canaan Technology, and Huang Lingbo, partner of distributed capital Tao Rongqi, founder of X-Order, Cai Yan, managing director of NGC Ventures, and Song Shuangjie, founder of Tongtongtong Research Institute, will give lectures in person.

They will not let you memorize complex mathematical models of economics, but will discuss with you the symbiosis and games between blockchain and the financial industry, complex economy, and capital market, and teach you much-needed blockchain finance common sense. Let you fly in the concept, the chaotic blockchain world, always keep awake and correct judgment.

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