Odaily News Haseeb Qureshi, managing partner of Dragonfly, published an article on the X platform titled "Why are all these low float / high FDV coins down bad?", which is about the poor performance of the "low circulation / high FDV" tokens recently launched on Binance, which triggered discussions on whether the market structure is broken, whether VCs are too greedy, and whether retail investors are targeted. Haseeb believes that the current market decline is mainly due to the market's reduced risk appetite for new tokens, rather than the above reasons. Theories such as "VCs and KOLs are dumping the market", "retail investors are turning to Meme coin trading", and "insufficient circulation" do not hold up in data. Haseeb suggested that market participants better adjust their expectations and strategies. He believes that the free market will adjust the price problem by itself. If the price of a token falls, other tokens will be repriced at a lower price, exchanges will push project teams to launch tokens at a lower FDV, and traders who are stuck will only buy at a lower price, and VCs will pass this information to founders. The pricing of the B round will be lowered due to the decline in public market expectations, and investors in the A round will begin to be alert, which will eventually affect seed investors. Price signals are always transmitted continuously. When there is a true market failure, some clever market intervention may be needed. But the free market knows how to fix pricing errors - just change the price. Those who lost money have learned their lesson and are willing to buy these tokens at a lower price. This is why all of these tokens are trading at a lower FDV, and future token transactions will be priced accordingly. Haseeb believes that the main reason for the decline in token prices was the overall decline in market sentiment caused by geopolitical tensions in the Middle East in mid-April. The market's risk appetite for new tokens has decreased, and such tokens have been categorized as "high-risk new tokens" and sold off.