Tom Dunleavy, CIO of Varys Capital, has highlighted a significant shift in the cryptocurrency venture capital landscape, noting that fewer than 20 firms are actively investing in seed rounds. Dunleavy observed that the fundraising environment has transformed over the past six months, with VCs no longer needing to aggressively network or promote themselves to access promising projects. Instead, having available capital is now sufficient to attract deals. Dunleavy categorized most VC firms into three groups: those out of capital, those focusing on later-stage investments, and those struggling to raise new funds. The time to close deals has extended from weeks to months, and projects lacking solid business models are finding it difficult to secure funding. This environment allows VCs to be more selective and conduct thorough due diligence, potentially leading to a "golden opportunity" in the upcoming investment cycle of 2025 and 2026.