Holder introduction — Jeff
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Jeff is the holder of CloneX #10223 and has extensive investment experience. He previously focused on traditional finance, including securities investment banking and investment advisory work, but shifted his attention to startups and the blockchain field in 2015. In 2017, he ventured into the WEB3 domain while working in private equity funds and serving as the Secretary-General of the Yangmingshan Futurist Society, actively participating in blockchain forums. It was only towards the end of 2021 and the beginning of 2022 that he truly engaged with NFT. Initially, he had only a limited understanding of NFT without making any purchases. However, later on, he bought Phanta Bear and gained valuable experience, despite the project’s associated risks.
Starting from the end of 2021, he began to pay attention to the NFT market and noticed the astounding price surges of many projects. It wasn’t until 2022 that Jeff devoted time to observe and make purchases in the NFT market. Through his involvement in the CloneX community, he got to know Tommy and The Remade. Although he had not delved deeply into Taiwanese projects, he mainly supported local initiatives and thus held a supportive attitude towards the E-DAMER project. Regarding the future redemption of RNFT, he believes The Remade brand primarily adopts a trendy approach, and in the future, it may offer more wearable products of a similar type. However, he would prefer to have the option to redeem RNFT for something like a club membership card or everyday use items, not necessarily limited to wearables.
Around 2017 to 2018, Jeff began to shift his focus towards emerging financial markets, albeit in a relatively limited proportion. However, with the second wave of the market starting in 2019, marked by Bitcoin’s soaring price to over $60,000, he experienced a more vibrant market sentiment. In 2021, he shifted some of his assets into the cryptocurrency market and saw it as a worthwhile opportunity for long-term cultivation. In terms of investment, he has been concurrently investing in both traditional finance and cryptocurrency finance, adjusting the proportions at different times. He points out that the cryptocurrency finance industry will face regulatory processes similar to traditional finance and anticipates a regulatory framework similar to Taiwan’s payment industry development, using regulations and licensing systems. While this will take some time, he believes that the crypto space may progress at a faster pace compared to traditional finance.
Jeff became a believer in CloneX primarily due to the project’s attractiveness. Firstly, CloneX’s design is highly appealing, and it has heavyweight partners like Nike and Takashi Murakami, which Jeff believes play crucial roles in the project and won’t easily give up. Secondly, CloneX possesses existing company resources that contribute to the project’s sustainable development in the market. The third reason lies in CloneX’s commercialization potential, as everyone may want to showcase their image in Web3, leading to significant opportunities in the business domain.
Jeff is not concerned about the NFT market bubble; he views it as a normal market phenomenon that wipes away the speculative part of prices. Different investors have distinct motivations and styles, some focusing on the technical fundamentals while others prioritize price speculation. He anticipates that new market cycles will emerge in the future, with new hotspots appearing, much like the current craze around AI. When investing, they pay more attention to the project’s fundamentals and long-term development rather than short-term price fluctuations. Therefore, they don’t overly worry about market fluctuations resulting from bubbles.
Regarding future market development, Jeff believes the next bull market cycle will be driven by the foundational financial infrastructure established through regulation. As regulatory laws align with financial products like stablecoins and cooperation between banks and cryptocurrencies for deposits and withdrawals, the market cycle will restart. He particularly emphasizes the importance of promoting infrastructure development, especially cooperation between banks and regulatory entities, to achieve seamless integration between Web3 and Web2. He is confident that as more people own cryptocurrencies, they will seek more applications, such as financial products or NFTs.
Jeff offers advice to E-DAMER. Understanding that the current market is influenced by the environment and projects face similar challenges, he suggests that E-DAMER can adopt different strategies to tackle these issues. He advises them to learn from blue-chip projects and maintain visibility continually. Even in situations of limited funding or resources, they can explore other avenues to maintain brand visibility. The key is to persist and produce value, as staying alive and maintaining influence is already a win against many competitors. During challenging times, it is essential to spend funds prudently and maintain sufficient visibility. He believes that in favorable circumstances, explosive growth will follow.
For more detailed interviews, please refer to the following
Please introduce yourself briefly
I am known as Jeff in the WEB3 community, and I am the holder of CloneX #10223. In the past, I primarily worked and consulted in investment-related roles in the WEB3 sector, but in the last two years, I have focused mainly on investments. This year, I established a new trading platform. Within the WEB3 community, I am actively involved in CloneX Taiwan. While I have participated in and purchased other NFT projects like BAYC and Azuki, my engagement has been relatively low.
Before entering the WEB3 space, I worked in traditional finance in the Web2 era. Since 2003, I specialized in securities investment banking, including listings, late-stage financing, and investment advisory work. I also served as a manager in an investment trust. I worked in the traditional finance sector for 15 years until 2015 when I shifted my focus to investments in startups and the blockchain domain.
How did you first get involved in WEB3?
I entered the WEB3 sector towards the end of 2017. At that time, I was working at a private equity fund while simultaneously serving as the secretary-general of the Yang Ming Shan Future Studies Society. The society aimed to promote emerging frontier technologies, and in 2017, blockchain technology became one of the hottest topics. Consequently, we organized numerous blockchain forums, gathering companies, exchanges, economists, and others who were early adopters of blockchain in the Chinese-speaking region to discuss the technology. This led me to begin learning about this emerging field. At the time, the market primarily consisted of Bitcoin, Ether, and some smaller coins, and I mainly invested in Bitcoin and Ether.
How did you then come into contact with NFTs?
I truly delved into NFTs around late 2021 and early 2022, which could be considered relatively late in the game. Initially, I started to understand NFTs, but I had not made any purchases yet. My first NFT purchase was Phanta Bear. However, that was already in the later stages of the project, and it was about to face risks. When it first started to rise in price, I sold one, but later, one of them was stolen, and I didn’t make any profit as a result.
What prompted your shift from traditional finance to emerging financial markets?
I began redirecting some of my focus to emerging financial markets in 2017 and 2018, but the proportion was still limited. It was during the second wave, starting in 2019, that we really felt the vibrancy of the market. Especially with Bitcoin’s price surging from over $3,000 to over $60,000, the trend became very evident. So, in 2021, I started shifting most of my assets into the cryptocurrency market. I saw the market’s heat and spent a lot of time researching, believing it was an opportunity worth investing in long-term. As a result, I diverted more of my traditional finance investments into the cryptocurrency and blockchain sector.
Do you continue to invest in both traditional finance and cryptocurrency during bear markets, or do you solely focus on Web3?
I have always invested in both, but the allocation of assets varied. For instance, in 2020, when we just started exploring cryptocurrency finance, the market’s impact wasn’t as evident as it is now, so we primarily focused on equity investments. It wasn’t until 2021 that we started allocating more funds to tokens or NFTs. However, in 2022, this area was somewhat affected. In reality, most people in the market reacted similarly, raising funds when the market was highly heated. In the past two years, many things happened, including traditional finance professionals and new investors raising funds mostly in the second half of 2021 or the first half of 2022, but the market has been on a downward trend since May of last year. So, I estimate that very few traditional finance professionals who entered the market later actually made money, but most of them stayed in the market. That’s my observation.
How did you first learn about the E-DAMER project?
In fact, I started paying more attention to the NFT market around late 2021, by which time many projects had seen astounding price surges. It wasn’t until 2022 that I really spent more time observing and purchasing NFTs. Since I had invested in many CloneX projects and joined related communities, I had the opportunity to get to know Tommy and The Remade. I hadn’t delved into the Taiwan-based projects before, so my understanding of them was limited. At the time, my participation was mainly driven by a desire to support local projects.
Have you redeemed any shoes from The Remade? What was the experience like?
I have only redeemed a pair of basic RE:DREAMER shoes, but I haven’t worn them out yet. I did try them on when I received them, but as I hadn’t worn Nike Air Force 1 before, I couldn’t make a direct comparison with the original version. However, the only thing I noticed is that these shoes are relatively heavier and have a more robust build compared to other shoes. Perhaps these characteristics make them more suitable for collecting and showcasing their unique value.
In the future, when RNFT’s redemption model opens up to more brands, what kind of items would you hope to exchange for?
Actually, I don’t have any specific desires for particular items. As The Remade brand mainly follows a streetwear route, their future offerings will probably be similar types of wearable items. However, the market for wearable items is already quite saturated, so I’d rather see the possibility of exchanging for club memberships or everyday use items, not necessarily wearables. I already have around 50 hats piled up at home, and I don’t know when I’ll get the chance to wear them all. Both CloneX and exchanges love to give out hats, and there’s an abundance of clothes too. Personally, socks might be more practical since they have a higher replacement rate.
Why did you become a believer in CloneX? Or how do you view CloneX from a VC perspective?
The main reason is that CloneX is highly attractive. Firstly, the project’s design is very appealing, and it has heavyweight partners like Nike and Takashi Murakami, which gives traditional investors greater confidence. I believe these two partners play crucial roles in the project, and I trust that they won’t easily abandon or run away from it. This was a significant factor in my decision to invest. Essentially, CloneX meets some of my criteria for investment projects. Secondly, CloneX has existing company resources, including artists and Nike, which leads me to believe that the project has great potential for future development. These resources will contribute to the project’s sustainable growth in the market. Thirdly, for holders, CloneX’s value lies in its commercializability. In the future, everyone may want to have their own Avatar or a representation of themselves in Web3, but not everyone has the ability to create such an NFT. CloneX’s design can be easily accepted, especially in the luxury goods sector, which makes it highly commercially viable. I believe this will be a future trend.
What are your expectations for the future development of CloneX?
Currently, the project’s roadmap has been quite clearly planned. However, personally, I’m not particularly interested in the gaming aspect, as the concept of gaming is relatively unfamiliar to me. But I am interested in collaborations with major brands, as it helps introduce high-end customers of big brands to the metaverse. Nevertheless, I think entering the metaverse will remain very challenging for most people and requires a lot of effort. This is where RTFKT’s existence becomes necessary and the reason why Nike wanted to narrow the gap between Web2 and Web3 through the acquisition of RTFKT. I have confidence in this project because the RTFKT team is composed of Web3 experts, while the parent company includes people from Web2. This allows them to integrate both aspects and is one of the few projects in the market that can achieve such integration. This is also why I have high expectations for this project; compared to purely Web3 projects, I favor this kind of combination. Additionally, most Web3 enthusiasts are focused on the gaming sector, and this project is one of the few that is not purely Web3. If the project were too purely Web3, it might not align well with my personal behavior and lifestyle.
Currently, the NFT market is experiencing a bubble. Are you worried that the NFT market may not return to its past state?
I’m not worried. This bubble is simply wiping away the speculative part of the prices and getting rid of those who only came for quick profits. It’s a normal phenomenon, as different investors have different motives and styles; some believe in the fundamental technology, while others focus more on speculative trading. These two types of people coexist, and this is a natural reaction of the market. The previous price surges might have been related to the concept of the metaverse, but now that everyone has seen the metaverse bubble, the prices will naturally decline. However, in the next market cycle, new hotspots may emerge, and the market heat will rise again. Just like how people are enthusiastic about AI now, there will likely be new hotspots in the future. The market cycle in Web3 is relatively fast, and when we entered the NFT market, it wasn’t for speculative trading but as VC (venture capital) investments. This means that we focus more on the fundamentals and long-term development of projects rather than short-term price fluctuations. Therefore, we are confident that we can thrive in this market for a long time.
Considering the current NFT bubble, would you consider adding more investments?
I belong to the more traditional VC (venture capital) style, so I don’t pay special attention to price fluctuations in the secondary market, nor do I spend time on short-term trading. For me, the price is not the most important focus. When we do VC investments, we usually use the products we invest in and become promoters or believers of the product. For projects like CloneX, we treat them as investments rather than just short-term VC investments. Hence, we become believers in the project and continuously promote it.
As a VC, how do you view the current market? Where will the next bull market or trend develop?
Since last year, I have believed that the cryptocurrency market is undergoing infrastructure development while also facing regulatory challenges. Before mass adoption can happen, a robust regulatory framework needs to be established, including regulations for stablecoins and other financial products. Only then will the next bull market cycle begin when banks start facilitating fiat-to-crypto transactions and the regulatory environment matures.
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The next cycle will be driven by the foundation of financial infrastructure established through regulation. This will lead people to start buying leading cryptocurrencies like Bitcoin and Ethereum, and then gradually expand to other Altcoins (such as Layer 2 or new Layer 1 coins) before entering the application phase. Therefore, I think the current infrastructure is more critical, not just limited to Bitcoin and Ethereum.
Currently, my focus is on promoting the development of infrastructure, particularly in terms of collaboration between banks and regulators to achieve seamless integration between Web3 and Web2. I have established a compliant cryptocurrency exchange platform and participated in building this infrastructure because I have confidence in this area and believe in its development prospects.
Once most people hold cryptocurrencies, they will start looking for more applications, such as financial products or NFTs. From this perspective, I think it will take some time to return to an NFT bull market since we need to go through the stages of infrastructure and application before the explosion of the metaverse. Therefore, the development of NFTs and the application field may take a considerable amount of time.
With many cryptocurrency businesses operating in a gray area, there will likely be a long period of resistance before the entry of crypto finance into regulation, right?
Indeed, there will be a considerably long period of resistance. Currently, many cryptocurrency businesses exist in a gray area, but they may continue to exist in regions with less developed financial infrastructure. However, in places with a well-established financial foundation, these businesses may face closure because the general public will no longer need services similar to banking functions. For instance, cryptocurrency exchange services are scarce in Taiwan, but they are relatively common in Southeast Asia where financial infrastructure is less developed.
The cryptocurrency finance industry will go through a process similar to traditional finance, and cryptocurrency exchanges and wallet providers may undergo a development process similar to Taiwan’s payment industry in the past. Initially, there may be a lack of order, but subsequent regulation and licensing systems will help with standardization. Although the communication and regulation process may take time, the cryptocurrency market may evolve at a faster pace compared to traditional finance. Overall, the cryptocurrency finance market will gradually mature under the influence of regulatory measures, and investors should pay attention to investment risks and opportunities.
If a well-known Web2 company enters the space, would the situation be different?
The situation would indeed be different. Although they can redirect Web2 traffic to Web3, they would still face a learning curve. Redirecting users comes with challenging tasks and costs. For instance, a company like Nike trying to redirect its massive Web2 traffic to RTFKT is a rather difficult undertaking, similar to the challenges faced by Meta.
Integrating user experiences between Web2 and Web3 is an essential task that requires considerations from multiple aspects such as technology and timing. Currently, the redirection is not as smooth as expected, so we need more time and effort to achieve a successful transition.
Perhaps in the future, when AI technology advances and becomes widely used in the metaverse, the situation may change. With the progress of AI, the production speed of content will significantly increase, thereby enhancing the quality of metaverse content. Perhaps at that time, the metaverse will show its potential. Currently, the metaverse might still be in its early stages, requiring further improvement in technology and user experiences to realize a more authentic and complete metaverse development.
What Web3 projects have you invested in the past?
I have invested in a company called CYBAVO, which, although not purely a Web3 project, is related to this field with a focus on technology. However, when it comes to impressive Web3 projects, the overall development situation has not been ideal. The projects we have invested in are still operational, but they haven’t achieved astounding achievements yet.
The development of Web3 projects is closely related to the performance of the cryptocurrency market. These Web3 applications thrive when cryptocurrency prices are continuously rising because users would then have a greater need for the protection and services offered by these projects. Therefore, the performance of the crypto market is crucial for the growth of Web3 projects.
Lastly, any advice for E-DAMER holders?
Currently, in the community, there have been some criticisms, which, of course, are influenced by the overall market environment. Everyone is facing similar challenges. My advice is that even in times of limited funding or resources, there are different strategies to cope with the situation. You can look at what blue-chip projects are doing, continuously maintaining volume. Even if you can’t produce shoes, you can explore other ways, such as making socks or related products, to keep the brand’s presence. The important thing is to keep on existing and producing outputs, and as long as you can survive and maintain influence, you have already surpassed many competitors.
In times of adversity, be cautious with spending and maintain sufficient volume. In times of prosperity, you may experience explosive growth, which can often be unexpected. In the cryptocurrency market, the worst time has already passed (referring to November of last year), but the NFT sector has not yet seen an explosion. The NFT market has to wait for major cryptocurrencies to return to an upward trend before NFT can experience new developments.
Dabao:
What we are bringing to you now is the RNFT ecosystem, in simple terms, a virtual-to-physical integrated ecosystem. In this ecosystem, all projects that integrate the virtual and physical worlds can become our discussion topics. As Tommy is now a member of the RTFKT team, which is also a remarkable virtual-to-physical integrated project, our future interviews may turn into virtual-to-physical integrated programs, and RTFKT holders may also participate in discussions.
Tommy has shifted many resources from the Web2 domain of making shoes to the Web3 space. Since E-DAMER is his stepping stone, in my opinion, even though he has joined RTFKT, it is unlikely that he would abandon the E-DAMER project.
For example, if I were running C-Cubed and suddenly disappeared while collaborating with others, what would everyone think? It’s the same principle. People may worry if he would abandon E-DAMER after joining RTFKT. But I think that’s a misconception.
