Web3 venture capitalists (VCs) face a significant differentiation problem as many funds present similar pitches that emphasize their networks and relationships. This redundancy has rendered such claims ineffective, leading to a lack of capital flow to emerging managers who often outperform established funds. TBV, co-founded by Bauer, recognized this issue and pivoted towards building a unique value proposition centered on events as a means to create defensible relationships and data. Their approach resulted in a successful event series that attracted 43,000 attendees and over 100 partners in 2025, integrating these interactions into their AI-driven deal engine, TBX. Other firms, like Outlier Ventures and Paradigm, have adopted different strategies, focusing on support for early-stage founders and technical contributions, respectively. The common thread among successful models is the creation of funds that offer utility beyond mere capital. As the Web3 landscape evolves, those who build substantial infrastructure now will likely lead the market in the future, while traditional relationship-based pitches may fall by the wayside.