Yuan Lianxian | Ba Jin: Investing in Web3.0 Is More Concrete Than the Metaverse, Focus on Storage and GameFi
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Yuan Lianxian | Ba Jin: Investing in Web3.0 Is More Concrete Than the Metaverse, Focus on Storage and GameFi
Compared to the metaverse, Web3.0 is a term with a clearer concept and defined boundaries, and Web3.0 itself is widely recognized as part of the metaverse.
Navigating Web3 tides with focused insightsInterview/Text: Fang Qinyu
Compared to the metaverse, Web3.0 is a term with clearer conceptual boundaries, and Web3.0 itself is widely recognized as part of the metaverse.
Ba Jin is a partner at 7Star Capital, having invested in projects such as Boson and Ocean, with Web3.0 being one of 7Star Capital’s key investment areas.
In an interview with MetaLink, Ba Jin said he is focusing this year on Web3.0 infrastructure, but remains cautious pending market clarity: “If it's Web3.0 infrastructure related to the metaverse, I pay particular attention to rendering-layer projects like RNDR or network service providers like Pocket Network. Personally, I’m more interested in infrastructure—things like network acceleration and optimization for scalability. But we also need to watch the external environment. The Fed rate hikes have significantly impacted the crypto space; institutions may be less active in the first half compared to before, unless they spot exceptionally promising projects.”
The following is the full interview:
1. Focus on New Solutions in Web3.0 Storage
MetaLink:When publicly announcing investments, do you prefer to frame them as Web3.0 or metaverse? Why?
Ba Jin:I think these two concepts should be discussed separately—they’re not equivalent.
Web3.0 has a relatively clear definition. All projects in the Web3.0 space aim to build a decentralized, permissionless computer network powered by cryptocurrency.
The concept of the metaverse, however, is much fuzzier—everyone can have their own interpretation.
My understanding is that the metaverse relates to virtual worlds where real-life experiences are transferred online. For now, we tend to emphasize our investments in Web3.0 because the metaverse lacks a clear direction.
MetaLink:In overseas discussions, some argue hardware isn't essential for the metaverse since users can choose between 2D and 3D environments, while blockchain enabling direct consumption within the metaverse is key. What’s your take?
Ba Jin:I believe hardware is both necessary and sufficient. Without hardware, you simply can’t experience it. Take Zuckerberg’s Quest 2—for example, without it, you can't even enter the small VR room inside. I can't exactly communicate via brainwaves yet.
MetaLink:You mentioned realizing the importance of storage after using Quest 2 and recommended AR. Are there other opportunities in the storage sector this year? Why?
Ba Jin:Currently, I wouldn’t recommend AR. At the time I endorsed AR, it was right after the May 19 market crash, when BTC rebounded from its lows back above $60,000—a period when Solana’s ecosystem was booming and NFT trading volume surged.
AR is partnered with Solana, so increased NFT activity on Solana benefited AR. That’s why I recommended it then. While AR’s ecosystem has done decently and various storage applications continue emerging, Solana’s current state is not optimistic, showing signs of ecosystem decline. Meanwhile, AR’s data storage growth has been slow, so I don’t recommend it now.
That said, I still see potential in the broader storage sector. If I were to look for opportunities today, I’d lean toward Filecoin—the price is near or below miners’ cost basis, making it attractive for secondary market investors. Additionally, Filecoin recently launched its virtual machine website with a multi-language EVM design, which makes it easier for developers to deploy apps. Its ecosystem is worth watching.
MetaLink:Are you still tracking new projects in storage? If so, what shortcomings do existing solutions have?
Ba Jin:Absolutely, we keep observing new projects.Filecoin is more traditional and practical—hard drive mining, using disk space for storage. AR’s advantage lies in one-time payment for permanent storage, eliminating recurring fees. Any project offering newer storage methods would catch my attention.
Our main concern is still low user adoption. With limited user testing, it's hard to pinpoint specific weaknesses among different solutions. Most projects offer similar functionality. A truly innovative project that solves existing pain points would stand out.
2. GameFi Graphics Could Reach Mobile Game Quality This Year
MetaLink:Beyond storage, what other areas combining blockchain and the metaverse should investors focus on this year? How should timing be approached?
Ba Jin:We’re paying attention to all Web3.0 infrastructure—public blockchains and essential underlying applications. Specifically for metaverse-related Web3.0 tools, I’m interested in rendering layers like RNDR and network services like Pocket Network.
Personally, I focus more on infrastructure—network acceleration and scalability improvements. But we must consider the macro environment. The Fed rate hikes have had a big impact on crypto. Institutions might stay on the sidelines in the first half unless they find standout projects.
We prefer to wait. If we enter a bear market, we’ll assess what new projects emerge before acting.
In a bull market, we’d increase positions. The period from March to September this year looks particularly uncertain.
MetaLink:GameFi is expected to deliver results this year. What’s your outlook?
Ba Jin:I’m bullish on GameFi—I see it as more fundamentally needed than DeFi.
DeFi has a high barrier to entry, but anyone can play games. Messari wrote a great piece noting that current development is still early-stage—this generation features simple, card-based NFT games where characters and items are essentially cards, with weak interactivity and limited freedom. It’s similar to Pokémon battles. Pokémon was popular years ago—we shouldn’t be regressing in gaming quality.
I expect a significant improvement in GameFi game quality this year, with better gameplay. Also, base-layer chains will improve. Previous GameFi booms exposed issues like node failures, high transaction fees, and long processing times. Resolving these will help us replicate top-tier PC or console games on-chain.
MetaLink:I know you’ve invested in several GameFi projects and follow them closely. Some claim they’re building AAA titles—do you think we’ll see any this year?
Ba Jin:Projects may promise launches this year, but delays are possible—likely tied to market conditions. If the overall market loses users, a shrinking ecosystem won’t support GameFi well. I noticed Pantera and Framework invested in a project called Rangers, which developed a cross-chain solution enabling frictionless interaction between dApps and assets across chains, optimizing asset transfers at Layer 1 and greatly improving in-game interaction speed.
More professionals from traditional gaming companies—like Ubisoft and Blizzard—are entering the space. I believe we can expect higher-quality games soon.
Reaching the visual quality of mainstream mobile games should be achievable. However, performance optimization still needs work, especially handling lag during peak usage.
MetaLink:I heard you were researching Social Fi but found it hard to get started. Why?
Ba Jin:I see potential because DeFi → GameFi → Social Fi feels like a natural progression. Chinese teams might excel at Social Fi since domestic developers have historically had an edge in social apps, making them more user-friendly and intuitive. I believe the Social Fi era will bring many strong projects—some already exist, like RSS3. I’d keep watching this space, though truly outstanding projects aren’t obvious yet. Most current examples still feel very Web2.0.
3. Chasing Trends Is My Biggest Challenge
MetaLink:When did you first start investing, and what sparked your interest?
Ba Jin:I began investing in 2021, previously working in research since 2018—that’s when I entered the industry. Before that, I worked in e-commerce, which was my first job.
Under the influence of a former manager, I got into crypto and eventually moved into investment research.
MetaLink:Coming from another field, what was your biggest takeaway after joining the space? Was there an adjustment period?
Ba Jin:At first, I knew nothing and stayed humble, constantly learning and accumulating knowledge.
Initially, I had some luck-driven expectations, but my mentor helped me make money. It’s hard to believe when you lose, but earning profits made me more confident and curious, pushing me to verify the logic behind investments.
After gaining a holistic view, I believe this industry remains a blue ocean, gradually converging with traditional finance.
MetaLink:Who are your professional role models or respected figures/institutions in blockchain investing?
Ba Jin:Cathie Wood from ARK. Their philosophy centers on long-term holding—investors in their LP funds are told to expect returns over five years. That aligns well with value investing.
In China, I admire 7X and YBB. Seven X backed several early-stage, high-quality innovative projects in recent years. Overseas, I respect Outlier Ventures and LongHash.
MetaLink:Can you share your most memorable failed and successful investments, and how they influenced you? Any reflections?
Ba Jin:Success is hard to define, so I won’t go into that. But failure—I’ll share. When algorithmic stablecoins emerged, I didn’t fully understand the concept but jumped in at the peak due to market hype. Then it crashed badly.
As Xiao Dao says, “Love is restraint.” No matter how appealing a project seems, blind enthusiasm is dangerous. You must research thoroughly and manage risk.
MetaLink:Your Twitter bio reads: “I don’t expect life to be smooth, but I hope to be a match for life’s challenges when they come.” Looking ahead 2–3 years, what concrete “challenges” do you foresee needing to overcome?
Ba Jin:The industry is inherently stressful—endless knowledge gaps, constant shifts in trends.
Chasing trends is currently my biggest challenge. I struggle to seamlessly pivot from one trend to the next. I might catch one wave but miss the next.
I really admire elite performers like Eileen Gu—people who excel across multiple domains are impressive.
For myself, I’m considering focusing deeply on one sector—infrastructure. Sticking to one area could yield higher win rates. Spreading efforts might bring 30% gains everywhere, but going all-in could deliver 100%.
MetaLink:What book are you reading lately?
Ba Jin:I'm currently reading *The Age of Deng Xiaoping*.
I really enjoy biographies, especially those written by foreigners about Chinese figures, or by Chinese authors about Western icons. One insight from *The Age of Deng Xiaoping* is the importance of seizing opportunities and doing the right thing at the right time.
Column Introduction: *MetaLink*, a featured interview series by the metaverse-focused media brand "Metaverse Elite Circle," highlights leading entrepreneurs in the metaverse space. Hosted by financial journalist Fang Qinyu.
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