The Solana project can topple if the VCs decide to withdraw their investment.
- Solana has tanked during the current bear market
- VCs withdrawals could collapse the coin
- Non-VCs backed projects like Bitgert are more resilient
The current crashing of Terra LUNA has attracted a lot of attention in the market, as the experts try to analyze what could have caused the problem. However, the issue of VCs-funded projects has been coming up. VCs withdrawing funds is the potential to crash a project.
There are many crypto projects that are VCs backed, and one of them is Solana. In fact, Solana has more than 30% of its supply backed by VCs. What does this mean for the Solana project? Is there something that Solana investors should be worried about? Well, probably not because Solana is a solid project with real use cases.
But the fact that +30% supply is under VCs still puts Solana in the category of the crypto projects that can be destabilized easily. The Solana project can topple if the VCs decide to withdraw their investment. This could explain why Solana has been one of the most affected coins by the current bear market.
The huge withdrawals, probably by some of the VCs have been causing the Solana price plunges. However, there are coins that have proven super resilient during the bearish market. Among the projects that have grown without VCs is Bitgert (BRISE).
Bitgert managed to reach a $700M marketcap without VCs. Unlike Solana, the Bitgert team has built the project from scratch with VCs. That’s why Bitgert maintained a stable price during the bearish market. Bitgert has attracted thousands of investors with the revolutionary blockchain project it is building.
Looking at the Bitgert ecosystem shows a crypto project that is becoming the next big thing in the industry. The Bitgert team has already launched the Bitgert BRC20 blockchain, which is the chain that all its products and projects are running. Note that the Bitgert blockchain is the first chain to overtake Solana blockchain speed.
But the most anticipated is the Bitgert roadmap V2, which the Bitgert team has just launched. Even without VCs, Bitgert has already delivered the roadmap V1. Bitgert is now taking the ecosystem growth further with the roadmap V2, which will make the Bitgert ecosystem even larger than the Solana ecosystem.
In conclusion, most VCs backed projects have wobbled during the bear market, with Solana being an example. But projects like Bitgert, which do not have VCs, have resilient to crashing markets. Solana investors may have nothing to worry about, but Solana will never be as stable as Bitgert, with VCs holding 30% supply.
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