Qiming Venture Partners Executive Director Discusses Web3 Investment Strategies and Industry Outlook

Qiming Venture Partners is a globally leading venture capital firm with 17 years of experience in the VC field. The company began its foray into the cryptocurrency sector in 2019 and has since invested in 16-17 projects. Its investment strategy mainly focuses on supporting Chinese entrepreneurs and establishing a presence in the global cryptocurrency market.

The Executive Director of Qiming Venture Partners stated that the company is optimistic about the long-term potential of the cryptocurrency and Web3 industries. He believes that, from both a technological and talent perspective, this market is very attractive, with numerous excellent engineers and developers innovating across various fields. The original intention of cryptocurrency was to build a value network where users can own and quickly exchange digital assets, value, and identity.

Although Qiming Venture Partners traditionally makes 70% of its investments in Series A or B rounds, they have adopted a more flexible strategy in the Web3 space. Given the early nature of the industry, the firm has also engaged in some seed and pre-seed investments. At the same time, for projects that have entered the growth stage or have a higher valuation, Qiming Venture Partners is also capable of providing substantial funding support.

In terms of specific investment directions, Qiming Venture Partners has a wide coverage. From the user's perspective, they focus on projects in two directions: individual users and institutional users. In terms of infrastructure, the company has invested in several projects, including equity pledge service providers. At the application level, they have also made early layouts in areas such as DeFi, NFTs, and games.

Regarding the current market situation, the executive director expressed a cautiously optimistic attitude towards market improvement before the end of next year, but also emphasized that the market trend is difficult to predict accurately. He suggested that invested enterprises maintain sufficient capital reserves and ideally have sustainable income and value capture capabilities to cope with potential long-term market downturns.

In terms of investment strategy, Qiming Venture Partners hopes to maintain a stable investment pace, although adjustments will be made during bull and bear markets. During a bull market, the investment pace will be faster due to intense competition; in a bear market, more in-depth due diligence can be conducted, which in turn is more beneficial for the healthy development of the ecosystem.

When it comes to the large-scale adoption of Web3, the executive director believes there is still a significant gap compared to Web2. The main challenges include user acceptance of cryptocurrency payment experiences and the inadequacy of the underlying infrastructure. He anticipates that resolving these issues will take a considerable amount of time and may not be achievable in the short term.

Qiming Venture Partners holds a positive attitude towards Web2 entrepreneurs entering the Web3 space. They believe that these entrepreneurs possess strong technical skills, execution ability, and product awareness. As long as they take the time to understand the unique requirements of Web3, they can quickly adapt and achieve success.

Finally, regarding the phenomenon of some Web3 entrepreneurs turning to the AI field, the executive director expressed understanding. He pointed out that this reflects the challenges currently faced by the Web3 industry, such as the lack of new application scenarios and the slow progress of large-scale adoption, as well as the recent breakthroughs in the AI field. However, he also reminded entrepreneurs that regardless of whether they choose AI or Web3, they will face numerous challenges at the application level and will need to explore for a long time. He suggested that entrepreneurs should make choices based on their own interests and abilities, and be aware that there is uncertainty in both fields.