Multicoin Capital's achievements have attracted attention from both inside and outside the market, and The Generalist has written three articles about Muliticoin for this purpose, please check the reference end of the artical, However, I have some doubts about the mainstream articles ,If Multicoin has three secret weapons, and I think that these articles only introduce one of them at most. But I'm more interested in knowing what the other two secrets are. That's why I wrote this article and explore this question with interested people ,because I'd like to know it too, so the following article contains a lot of doubts, as well as what I think are the secret weapons 。
As advocates and participants in the crypto market, we all believe crypto can revolutionize the world. Samani has presented a session on the importance of "composability" to the web3 world. Simply it is a product or network open enough to be used as a module for other products, adding value to other products, and combining products is like building Lego.
To get this magic key unlock Multicoin's secret. I have collected a lot of information ,The Generalist‘s artical is in my reference and including reading articles on their website, the history of other projects with their investing list, and their podcast which I have listened to almost every episode. I'm glad they like to write articles, it brings a lot of useful thinking to others. I have tried to summarize my thinking into three areas, and I think three factors drives their success.
Thematic investment oriented thinking framework
It's a well known secret that a thematic investment oriented thinking framework is throughout multicoin capital's investment history, as show on their website , they focus on topics such as Open Finance, Web3, Composability, Proof of physical work, Data Dao and so on.The Generalist profile shows that the team invests strictly by theme and then identifies projects that fit the theme. The reports also highlight three investment elements - team, product and market , multicoin capital is more market oriented and spends a lot of time polishing their thinking framework. They spend very little time focusing on product and team, these giving investors the impression that this is the secret of multicoin capital's success. I think this is seriously misleading and they are not reporting the truth. When we give a conclusion, it should definitely contain several constraints.
The ability to tap into genius
Their ability to tap into genius teams is probably unique, something they may have overlooked. Samani once said in an article that he spent an average of about 200 days a year on the road, attending hackathon and meeting difference kinds of project teams. This ability may answer the question above, why they chose to buck the trend of acquiring Solana's token and quit EOS, I guess a possible reason is that Solana team's unique ability deeply attracted them. I think Multicoin has a special ability to find the best team in the crowd, and this special perception can also support them to trust Solana and buy Solana from other investors at the critical moment, and also let them knew that the core team of EOS lacks the ability to move forward, leading to the exit of EOS. we know a product is successful not because it has a unique technology, but because it has a unique team and community. I wonder what Multicoin capital thinks about this?
Other secrets
Just as I think the generalist article doesn't fully reveal the key to Multicoin Capital's success, there must be something wrong with my summary as well. What else is unique about them that we can learn from?
Criticisms and corrections from all are welcome! @ImBlockBB
Update again 22/4/7: Got the answer why they allin solana not EOS and others in bear market.the answer is Solana team work much much much harder than other teams. Quit EOS as this team was not doing anything anymore.
Update again 22/4/24: Today I read an IOSG Venture‘s article discussing PMF, which talks about Mark Anderson's The only thing that matters, so I wanted to limit the discussion to the first time I wrote this article, and discuss the importance of teams in the context of a defined market. To borrow a quote from Tim Shephard: "A great team is a team that will always beat a mediocre team, given the same market and product. So the issue I discussed above should be a subset of the article "The only thing that matters". In a way, multicoin's "theme" is the "market" mentioned by Mark Anderson, and both follow the future needs of people and the pain points to be solved. Finally, I'd like to borrow Andy Rachleff's words to explain the relationship between the market and the team.Andy puts it this way:
[1] [Multicoin Capital: The Outsiders]
[2] [Multicoin Capital: How to be a Contrarian]
[3] [Multicoin Capital: In Search of Outliers]
[4] [Read their articles]
[5] [Mable Jiang's podcast]