Jason Choi, co-founder of Tangent, expressed concerns over the stagnation in the Web3 industry, despite recent advancements in Bitcoin and Ethereum acceptance and a favorable U.S. regulatory climate. Choi highlighted that the industry lacks the innovative spirit seen during the ICO era and DeFi summer, with current market trends favoring narratives over substantial product development. He criticized the valuation of AI-related cryptocurrencies as being driven by narrative rather than technological progress, leading to a proliferation of projects lacking depth. Choi warned that the crypto ecosystem is experiencing a form of "nihilism," where even income is perceived as a narrative rather than a necessity. He predicts that the industry will need to undergo significant adjustments and face more failures before Web3 can recover and thrive again. Choi also noted that Bitcoin is increasingly influenced by external factors like ETFs and macroeconomic conditions, cautioning against blindly following market sentiment.