Dragonfly Managing Partner Haseeb Qureshi Says Hyperliquid is More About Filling Gaps Than Capturing Market Share
Haseeb Qureshi, Managing Partner at Dragonfly, stated in a recent Space that Hyperliquid has limited overlap with centralized trading platform user bases. Many users who cannot complete compliance KYC or have difficulty accessing mainstream platforms in their countries use it as their primary trading entry, making it more of a gap-filling solution.
He pointed out that platforms like Binance have felt threatened and have taken action, but while Hyperliquid's market share is growing, the trading volume on centralized platforms has not decreased simultaneously; both are expanding, suggesting that the market boundaries are being widened rather than a one-way transfer of market share.
Qureshi believes there is significant demand for pre-IPO stocks that align with product market fit, and Trade.xyz is still in its early stages but making considerable progress. He has a positive outlook on the crypto market for the next 6 to 12 months, expecting good performance.
He discussed the shape of crypto funds by 2030, stating that "crypto VCs" will not disappear, but people may not refer to them as such anymore. Crypto has permeated fintech, digital banking, consumer products, and the backend of stablecoins, and crypto investment will become a category within ordinary investments, similar to internet investments in the past.
Funds, including Dragonfly, will increasingly invest in fintech, new technologies, and even AI companies that utilize crypto; various narratives are merging. The funds that will truly endure will rely not just on understanding crypto but on a deep understanding of the world, strong relationships, and the ability to genuinely help founders solve problems. The strategy of raising funds to double down on Bitcoin as seen in 2020 and 2021 is no longer sustainable.
Market Mechanism: On-chain perpetual platforms expand total trading volume by servicing users who cannot access CEX, reflecting incremental demand as centralized platforms and on-chain platforms expand simultaneously; crypto fund capital is shifting from purely crypto targets to the intersection of fintech and AI, with early investment strategies relying solely on crypto cycles under pressure, benefiting funds with cross-domain resources.
Source: Public Information
ABAB AI Insight
As a Managing Partner at Dragonfly, Haseeb Qureshi has long focused on decentralized derivatives and perpetual contracts, publicly discussing the competitive relationship between platforms like Hyperliquid and centralized exchanges. The company has completed multiple fund phases, investing across protocols, infrastructure, and applications, and is gradually focusing on the intersection of fintech and AI.
In terms of capital pathways, Dragonfly is expanding its funding allocation from purely crypto projects to fintech, digital banking, and AI-related companies that utilize crypto technology. The motivation is that as crypto technology permeates traditional finance and consumer scenarios, the boundaries of independent "crypto VCs" become blurred, necessitating a broader industry understanding and the ability to support founders to maintain competitiveness.
Similar cases include early internet VCs shifting towards application and infrastructure investments after platform maturity, and traditional VCs redefining their investment scope after the social and mobile internet waves; current crypto investment is transitioning from cycle-driven to technology embedded in finance and AI.
Essentially, this is about technological substitution and capital pathway reconstruction. On-chain trading platforms expand market boundaries by servicing restricted users, while crypto funds shift from single crypto targets to fintech and AI companies embedded with crypto; simple strategies relying solely on crypto cycles are failing, and fund competitiveness is shifting towards cross-domain resources and real problem-solving capabilities.
ABAB News · Cognitive Laws
New platforms first fill gaps for restricted users, then expand the overall market boundary.
After technological penetration, independent labels will gradually merge into ordinary investments.
The advantage of merely understanding the track will fade with maturity, leaving resources and execution.