In the fast-paced world of crypto, where trends shift quicker than you can say "bull run," a recent tweet from Eugene Bulltime, Head of Analytics at ContributionCap, sheds light on why venture capital (VC) backing isn't always the villain some make it out to be. Specifically, he's breaking down the bullish case for Lighter, a decentralized trading platform that's pivoting hard into DeFi. If you're into meme tokens or just curious about how big money influences the space, this is worth a read. Check out the original tweet here.

Lighter's Rocky Road to Revolution

Lighter didn't start as the DeFi powerhouse it's becoming. Originally launched in 2017 as Lunchclub, a social networking app, it caught the eye of heavy hitters like a16z early on. The pandemic supercharged its growth to 100 million users, leading to a $24 million round from Coatue and Lightspeed. But post-boom, stagnation hit hard in 2021-2022. Metrics flatlined, and a co-founder jumped ship to start Cognition, now valued at a whopping $10.5 billion.

That's when founder Vladimir Novakovski made the bold call: pivot to decentralized trading. It's the kind of move that could sink a startup, but Lighter emerged stronger, thanks to a stellar team of programming elites who've won global competitions. This resilience attracted nearly $100 million in funding from top VCs like Founders Fund, Ribbit Capital, Dragonfly, and Haun Ventures between 2024 and 2025.

Web3 VC vs. Web2 VC: The Key Distinction

Eugene's thread dives into why this VC involvement is a positive signal, countering the "no VC" trend popularized by projects like Hyperliquid. He draws a clear line between Web3 and Web2 VCs.

Web3 VCs often use a "spray and pray" approach—investing in 50-100 projects hoping one hits big. This can lead to quick exits and selling pressure, as their focus is on rapid returns.

In contrast, Web2 VCs (Tier-1 players) play the long game with high-conviction bets. They target sector leaders, commit for 10+ years, and provide deep support like board seats, go-to-market strategies, and hiring help. Their due diligence is intense, aiming for $100 billion+ outcomes.

As the table shows, Web2 VCs like Founders Fund and Ribbit Capital invest in category-definers at high valuations, yet still reap massive returns. Their portfolios boast giants: OpenAI ($500B), SpaceX ($400B), Stripe ($106B), Coinbase ($71B), and more. For Lighter, this means no short-term sell pressure—instead, a path to building a sustainable DeFi ecosystem on Ethereum, potentially mirroring Robinhood's disruption in Web2 trading.

The Meme Token Angle: $TIBBIR and Ribbit Capital's Frog Vibes

What's got the meme crowd buzzing? Ribbit Capital's involvement. Known for its fintech focus, Ribbit (play on "ribbit" like a frog's sound) has inspired $TIBBIR, a stealth-launched meme token on the Base blockchain. Priced around $0.25-0.30 with a market cap hovering at $200-300 million, $TIBBIR blends meme culture with AI themes, riding the wave of frog memes in crypto.

Community replies to Eugene's tweet highlight this excitement: "Ribbit Capital is much more than a VC hehe... 🐸 $TIBBIR." It's seen as the "make it play of this decade," with holders comfy through market dips. The token's ties to Ribbit's real-world clout—backing fintech unicorns—add a layer of narrative that's pure meme gold. As Lighter grows with this funding, it could validate broader fintech-crypto fusions, indirectly boosting sentiment for related memes like $TIBBIR.

Why This Matters for Blockchain Practitioners

For anyone in the meme token or DeFi space, understanding VC dynamics is key. Not all funding is "profit extraction"—when it's from long-term players like these, it's about building empires. Lighter's $68 million round at a $1.5 billion valuation positions it as a verifiable DEX with Ethereum's security, potentially revolutionizing trading.

If you're farming airdrops or trading memes, keep an eye on projects with smart capital behind them. It could mean less rug pulls and more real utility. As Eugene puts it, these investors aren't in for speculation; they're betting on Lighter becoming a $100 billion behemoth.

Stay tuned—crypto's evolution is just getting started. If $TIBBIR's cult is any indication, the frogs might lead the next leap.