In the fast-paced world of blockchain and emerging tech, staying ahead means diversifying smartly. That's exactly what José Maria Macedo, co-founder of Delphi Labs, is doing with his AI investment strategy. In a detailed tweet shared by The Rollup, Macedo breaks down why AI is poised to create multiple $100 billion companies—and how crypto investors can get in on the action without uprooting their lives.

The Rollup highlighted this with a video clip featuring Macedo, emphasizing the need for funds with real edge rather than just social clout in San Francisco. If you're in crypto and eyeing AI, this insight could be a game-changer.

The Golden Era of AI and Why Crypto Folks Should Care

Macedo is bullish on AI ushering in a new wave of venture capital success. He predicts it'll spawn massive companies in the next few years, driven by rapid technological advancements. For blockchain practitioners, this intersects perfectly with crypto, where AI applications like decentralized intelligence networks (think projects on chains like Bittensor) are already buzzing.

But jumping in isn't as simple as picking stocks. Macedo warns that direct investments can be tricky for those outside the AI epicenter.

Challenges in Direct AI Investing for Crypto Investors

Sure, many in crypto are quick learners and savvy investors. You might dive into AI whitepapers and spot promising startups. But as Macedo points out, picking winners is only about 50% of the equation. The real hurdle? Sourcing and securing those deals.

Without a solid network in SF, you're likely to encounter "adverse selection"—only seeing deals that top-tier investors have passed on. Building that network takes years of grinding, something not everyone can commit to. Even hiring someone in SF might not help, as the best talent is already snapped up or starting their own ventures.

The Fund of Funds Solution: Broad Exposure with Less Hassle

This is where the fund of funds (FoF) approach shines. Instead of going solo, invest in specialized funds that do the heavy lifting. Macedo and his team at Delphi Ventures have interviewed over 100 emerging managers and committed to four so far. Their goal? 5-10 funds with distinct focuses and little overlap, giving exposure to around 200 deals per year.

What sets these managers apart? They're not your average venture folks. Macedo highlights their impressive backgrounds, hunger, and unique edges—things you couldn't easily replicate or hire for. This strategy flips the script on traditional venture, which has often underperformed, by focusing on smaller, concentrated funds amid AI's tailwinds.

Plus, it opens doors for direct investments later. With access to pre-vetted deal flow, you can double down on standouts from a massive portfolio.

Lessons Learned and What's Next

Macedo says this process has sharpened his own investing skills. To share the wealth, he's launching a podcast series on Delphi Podcast, interviewing top managers to reveal their secrets. Look for the first episodes in October, many done in person for that authentic vibe.

The Rollup's video clip captures Macedo in action, discussing how to avoid funds that just chase the same hot deals. As one reply noted, too many are "chasing the same 10 shiny deals instead of finding actual edge."

For blockchain enthusiasts, this FoF strategy could bridge crypto and AI seamlessly, especially as meme tokens and DeFi evolve with AI integrations. Whether you're trading meme coins or building on-chain, understanding AI's venture landscape keeps you competitive.

Check out the full thread and video on X to dive deeper. What do you think—ready to explore AI through funds?