The Layer 1 boom had all the hallmarks of a bubble—unsustainable valuations for blockchain protocols fueled by retail investors who lacked basic financial literacy. But that easy money didn't last long. Crypto teams, venture capitalists, and major exchanges systematically hunted down this pool of irrational capital, extracting profits until there was nothing left. It was less about innovation and more about liquidating unprofitable positions in a market correction that wiped out speculative excess.