What should a good project's "ecological niche" be like? After in-depth conversations with some bosses, I found that most projects haven't found their precise positioning: 1. High technical barriers, but must have deep application scenarios. For example, ZK zero-knowledge proof can do zkVM, cross-chain bridges, and verifiable computing, but considering comprehensive cost and efficiency, currently only zk-Rollup layer2 scaling has been successful. Other directions can't find deep application scenarios; no matter how advanced the technology is, it remains a castle in the air. Mind Network's FHE technology seems to have high barriers, but has always struggled to find application scenarios. Most projects developing ZK co-processors face the same issue; 2. Market demand must be practical, not driven by imagination. Some projects often assume that if 1% of users use their product, the commercial imagination space would be huge, but in reality, even this 1% demand might be fabricated. Huma's PayFi entry into accounts receivable and cross-border payments seems relatively reliable based on compliance background. But those projects claiming to create a "decentralized Stripe" - what's wrong with traditional payment methods?; 3. Business model must shuttle between B2B and B2C. Pure B2C enjoys FOMO dividends but can't survive the winter; pure B2B leaves retail investors feeling disconnected, with high marketing costs. The smartest approach is to cater to both - institutional and retail buyers - to cross market cycles. Backpack wallet + exchange + Non-Fungible Token community covers both institutions and retail. Particle's chain abstraction + application products also balance B2B and B2C. In contrast, pure infrastructure projects aiming to build full-chain DA layers can only survive on institutional blood transfusions; 4. Commercial vision only needs to be "unfalsifiable", not overly ambitious. What's "unfalsifiable"? Something that can't be proven wrong in the short term. Some layer2 projects always say "we just need one mass adoption wave to explode" - such grand visions that can't be verified short-term are equivalent to having no prospects. KaitoAI might not even be an AI company, but it has captured the business gap in KOL and project party attention economy, thus possessing unfalsifiability. Stop trying to "redefine XXX"; 5. Timing is crucial. The intersection of technology maturity, market education, and competitive landscape determines the time window. Why are AI Agents hot now? LLM is usable, TEE is mature, user acceptance has risen. Talking about AI disrupting everything three years ago was pure nonsense. During the Solana MEME wave, some projects are still doing GameFi, hoping for sector rotation. Understanding the MEME operational logic reveals why slow, long-cycle game projects can't reach the spotlight; 6. Ecosystem must have self-growth attributes, not forever driven by operations. Airdrops attract users, grants subsidize developers - these are just initial means. True network effect means more users create more value, more developers strengthen the ecosystem. Those layer2 projects maintaining heat through point wars - from zkSync to Scroll to Linea - where are their real users after losing airdrop hunters?