Top 6 Funding Tips for a Web3 Founder
The 2021 crypto bull market is long over. Back then, founders could raise millions with just a whitepaper. Now, both VCs and retail investors want to see real traction before they invest. Maximiliano Stochyk, Head of Sales at CoinTerminal, explains what actually works in today’s funding environment.
1. Get Your Team and Project Vetted
“Retail investors are looking for strong backers as social proof, while VCs want founders with a proven track record of execution,” said Maximiliano Stochyk, Head of Sales at CoinTerminal.
Anonymous teams and impressive whitepapers are no longer enough. Today’s investors want to see credible backing and evidence that your team can execute.
Launchpads like CoinTerminal conduct thorough due diligence that reviews both project viability and team capability, providing investors with legitimacy and security. This vetting process serves as the social proof retail investors seek while demonstrating to VCs that your project has been seriously evaluated.
2. Build in Public and Show Traction Early
“There are fewer private deals closing, but the ones that do attract larger checks for teams with solid fundamentals,” said Stochyk. “Public rounds are still showing strong participation.”
This is why founders have been able to raise major funding from the general public by building in the open and demonstrating progress. We saw this happen with the PUMP token public sale, which raised $500 million in less than 12 minutes.
Projects can prove demand with clear metrics and visible traction. Clearly explaining why the token or product matters helps capture the right attention, Stochyk said.
Platforms like CoinTerminal help founders execute these public rounds, providing the infrastructure to demonstrate traction to a wider investor base.
3. Attract Not Just Capital But Right Partners
Not every backer is the right fit for your project. “The best rounds are led by investors who bring more than capital. Distribution, market expertise, and ecosystems that reduce risk are what really move the needle,” said Stochyk.
“As a launchpad, we always take this approach, working closely with projects to align their go-to-market strategy,” he added.
4. Craft a Narrative That Resonates
Many founders assume that a good product with traction will automatically lead to a successful token launch.
“Narrative plays a huge role in raising successfully. VCs and launchpads want to see certain positioning on products to make sure retail will adopt it from a product perspective or from a token buying perspective. I find that a lot of founders think that if their product is good and has traction, their token will do well automatically. This is not the case,” stated Stochyk.
The story you tell about your project matters. Crypto narratives, the beliefs investors share about a product or sector, drive attention and adoption. Without clear positioning, even solid products struggle to raise capital.
5. Be Realistic on Your Valuation
Have realistic expectations when it comes to valuations. Unlike 2021, investors today are cautiously optimistic.
In fact, most top crypto VCs actually believe that funding levels won’t return to the last cycle highs and that those with strong product-market fit and user adoption are the ones best positioned to attract capital.
“Too many projects are still trying to raise at inflated valuations that simply do not work,” said Stochyk and noted that many VCs are still waiting for profits from the last bull run.
“My advice to founders right now is simple: get everything in order. Work on your personal brand, as people buy from people. Have clean legal structures, sustainable tokenomics, clear metrics, and visible proof of demand,” Stochyk said.
6. Adapt to the Evolving Funding Landscape
The current VC crypto funding landscape favors founders with proven track records, as that lowers execution risk. Investors are also seeking compliance readiness and real user traction.
But new founders still have pathways to funding.
“Private rounds with higher-end VCs are difficult for most projects today, which is why many rely on launchpads and public rounds like CoinTerminal for their go-to-market strategy. Some are even choosing to sell equity instead of tokens,” Stochyk said.
Launchpads and public rounds are increasingly becoming the go-to strategy for most founders.