DWF Labs: 16 months investing in 470 projects of encryption newcomers

Since its establishment in September 2022, the trading company DWF Labs has rapidly risen to become a focal point in the encryption industry. In just 16 months, the company claims to have invested in 470 projects and established partnerships with about 35% of the top 1000 tokens by market capitalization.

DWF Labs' investment approach has attracted attention in the industry. According to investigations, most of these transactions are OTC trades rather than traditional financing rounds. The company mainly focuses on three types of transactions: liquidity token investments, locked token investments, and market-making services, which are usually executed in bundles.

In liquid token investments, DWF Labs typically uses stablecoins to purchase tokens at a discount of 5-15% below market price, with the buying process lasting from one to several months. This allows the project parties to effectively cash out while also promoting the acquisition of large investments.

For market-making services, DWF Labs typically receives project tokens as loans and obtains subscription options. It is noteworthy that DWF Labs sets a higher exercise price, meaning that if the token price surges, the company will achieve higher returns.

During discussions with potential clients, DWF Labs has repeatedly mentioned the ability to influence cryptocurrency prices. An earlier promotional material mentioned a "price management" service, claiming it could adjust algorithms to drive prices up before significant events. However, such wording has not appeared in recent documents.

Despite ongoing controversies, DWF Labs is still rapidly developing. Multiple partners have expressed satisfaction with the results of the collaboration. The company also plans to launch an encryption company incubation program and create a compliant encryption over-the-counter trading market.

The rise of DWF Labs reflects the current state of the encryption market. In an increasingly tight financing environment, many projects choose to collaborate with DWF Labs to gain financial support and market attention. However, this model has also raised concerns about market manipulation and price management.

As the encryption industry matures and regulation tightens, the future development path of DWF Labs is worth关注. Whether the company can achieve a balance between compliance and innovation will be key to its continued expansion.