Navigating the development landscape within the Web3 industry’s bear market presents a significant challenge.
During cryptocurrency market downturns, the process of building and launching products becomes a complex endeavor that demands strategic resilience and innovation.
To assist teams in building and launching successful products during the crypto winter, Vijay Michalik, the Head of Product at Superfluid, presented strategies to overcome this challenge at ETHCC Paris.
He began by acknowledging a common sentiment among those in the industry: the desire to build practical Web3 applications that have real utility.
Balance infrastructure and application
Vijay went further, addressing the misconception surrounding protocol teams prioritizing infrastructure refinement over application development. He emphasized that adhering to this myth might result in excessive investment in infrastructure.
“Before you can have a killer app, you really have to nail all the infrastructure, and that’s why we’re over-invested in infrastructure.”
Instead of following the “focus on infrastructure alone” myth, he contended that it’s the breakthrough use cases that steer the growth of infrastructure.
“It’s when the followers kind of step into that space that these new providers have created that the infrastructure actually starts leveling up.”
New business models
During his discussion, he explored the possibilities inherent in trying new business models in Web3 because of its dynamic nature.
He cited examples from the evolution of fundraising methods in the cryptocurrency sphere.
“The early crypto era started with this idea of mining as a distribution mechanism and a fundraising mechanism and that really kind of powered a lot of early adoption.”
He believes that there are still numerous opportunities to be explored and discovered in this regard.
Additionally, he highlighted the significance of collaboration and a cooperative spirit within the Web3 community. He suggested that collaborative endeavors hold the potential to significantly drive the advancement of pragmatic and effective applications within the Web3 ecosystem.
Vijay delved deeper into the notion of open source, proposing an expansion beyond mere code sharing.
He stressed the importance of sharing research discoveries, design perspectives, and product concepts as valuable artifacts.
By making these resources accessible to the public, teams can foster collaboration and draw a wider array of contributors.
Vijay stressed the time-sensitive nature of product building, especially in the context of funding cycles. He mentioned that for most teams he has seen, they had up to two years to prepare for their funding process before starting it.
His advice is that Web3 teams should be conscious of the timing in the industry before launching any product.
The Superfluid Executive acknowledged the difficulty of achieving it but emphasized the importance of crafting killer use cases that deeply connect with users.
He motivated the audience to strive for killer applications that tackle tangible real-world issues. To illustrate his point, he drew a parallel to Michelin’s guidebook, which propelled the automotive industry by prioritizing users’ requirements.
Vijay concluded by highlighting the potential outcomes of implementing these strategies: a deeper understanding of user needs, a more inclusive builder community, and a larger market for Web3 applications.
He encouraged everyone to “find places that you can collaborate instead of compete” and embrace a culture of open sharing, driving the industry forward even in challenging times.
“The best place to get started is to just put your product in front of people and ask some questions about it.”