Founders should consider VC firms their allies as they build in the bear market
This year’s bear market trajectory should be looked upon as a favorable opportunity for Web3 founders to raise capital and build cutting-edge products. Some of the most robust businesses today were built during market downturns, and founders now have a real opportunity to ensure they’re building products and services that meet genuine, real-world needs and look beyond oversized checks to find the most suitable business partnership.
Determining the best methods to fund your product and company is of paramount importance and not a decision to be rushed into. It is an action that requires due diligence and an acute understanding of how the partnership will function and, more importantly, flourish in the face of adverse markets. Before a founder embarks on the journey of attracting investment, however, it is important they can communicate the efficacy of their product in current and future markets.
Only 0.05% of startups manage to secure venture capital (VC), and as such, one of the fundamental requirements when attracting investment is that your project is able to demonstrate a product-market fit built for success. While it doesn’t apply to every investment scenario, demonstrating that your product is useful to your target audience is crucial in the process of securing capital. So, what exactly does a strong product-market fit look like?
As decentralized finance (DeFi) solidified its place as one of blockchain’s strongest value propositions, many innovative DeFi solutions moved to the foreground.
Having worked relentlessly to build the best product possible for the market, you may now be ready to explore the different avenues of raising capital at your disposal. Owing to the decentralized nature of Web3, startups can raise
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