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Vugar Usi Zade warns that markets are unlikely to continue awarding premium valuations to repetitive infrastructure projects, such as launching the 100th similar chain or protocol that lacks genuine user demand.
He adds that a higher interest rate environment will distinguish real innovation from projects that primarily consume liquidity.
Usi Zade has previously highlighted $1 billion outflows from Bitcoin ETFs as capital moved into emerging crypto narratives, according to a recent post (link). He has also described how his interest in investing began with his father's purchase of his first U.S. stock following a childhood affinity for McDonald's (link). These earlier experiences inform his current skepticism toward repetitive projects in the sector.