Alliance DAO co-founder QwQiao has expressed skepticism about the investment potential of Layer 1 (L1) tokens, despite not shorting them. In a recent statement, QwQiao highlighted the vast array of available assets, indicating a preference for those with long-term competitive advantages and exponential growth potential. He previously noted that L1 tokens lack a strong moat, are prone to commoditization, and struggle to capture value, suggesting that investing in the application layer might be a more promising strategy.