Just recently communicated with the GP of a Web3 fund I invested in a few years ago, because there haven't been any returns yet. I was originally not very optimistic, but after the conversation, I felt it was pretty good.

In summary, projects that have already issued tokens on CEXs mostly died out before institutional unlocks. But a small portion that transitioned in time to focus on revenue and broke even now have more confidence whether they issue tokens or go public in the future. Especially some with AI concepts, which completely abandoned the plan to issue tokens, because as pure AI projects, their valuation can increase dozens of times.
This is a typical industry microcosm.
Web3 has passed the phase of bad money driving out good money for two or three years, reaching its peak during the most explosive pump-up period. Then, after one or two years of bad money self-elimination, such as most second-tier and below CEXs shutting down. Only after that can valuable projects be rediscovered and revalued by the market.
Until then, just play with AI or hold BTC and relax.