DystopiaLabs

Evolving into something new. 🥷 Our founder: @hsinju

[Hsin-Ju @hsinju]

privacy is hardly the reason. I believe it's bc @hack_vc does not want to commit themselves to a false story (again) early on, only to discover that I have written evidence to contradict their story.

[Hsin-Ju @hsinju]

1/ gm. gm. Name is Hsin-Ju.
I have a dark, kinda tragic personal announcement.

I've decided I'd rather take $0 than accept a settlement that requires me to stay silent about what happened to me. I have since fired my lawyers at @sanfordheisler & will be releasing all the evidence from my time @hack_vc on Wed 8/26.

INTRO: I've been in crypto for 9 years. Most recently I was a partner & head of platform @hack_vc which is a $600-700M crypto VC firm. Many of you may know me from my time as Head of Growth at @StellarOrg in 2017 (worked w/ the Mt. Gox founder), @Solana in 2018 (joined under ~10 ppl, but quit before my cliff), & @Fhenix in 2024. Or have attended one of my @DystopiaLabs ETH events (2019-now).

Last year, I was forced to work through a serious medical emergency while at @Hack_VC due to threats by @alpackaP @dbulaevsky, saying that they would blacklist me from the space if I quit before finishing the hacksummit conference & side events that I was helping with during @kbwofficial. I was working 13-14hr days, 6 days a week, sleeping 0-4 hrs a night, and had documented Graves' disease, hyperthyroidism, and severe insomnia. I repeatedly asked to quit. Hack VC refused. This + other threats and intimidation went on for almost a month.

The conditions got so bad I attempted suicide.

The fucked up part is that, even after the suicide attempt, I told everyone at Hack VC (in writing) that I had no plans to sue. I was scared & extremely sick. I just wanted to leave. I told them that as long as there was no retaliation or badmouthing - I had no plans to sue.

@Hack_VC chose to retaliate.

After just 1 month after my near suicide, Hack VC mishandled my COBRA health insurance, refused to fix things, kept shooing me to customer support (when it's legally Hack VC's responsibility to fix this), and my insurance had issues and was not fixed for almost 4 MONTHS. Hack VC did not fix everything until I hired lawyers and had them force Hack VC to adhere to the law & fix my COBRA insurance issues. The sheer cruelty of an employer harming someone's health insurance almost immediately after they nearly committed suicide is extremely fucked up.

And, even during the legal engagement, Hack VC continued to lie & attempt to harm me through their lawyers and other employees/partners (multi-million dollar carry & clawbacks can make even the nicest ppl willing to turn the other way or lie). @0xRodney @IsTheBaron @roshunpatel @Alex__Botte.

Now. Almost an entire year of engagement & my near suicide anniversary coming up, our lawyers (mine & Hack VC's) have reached the point of preparing for private mediation and settlement. And...I realized that I just can't do it. I don't want money in exchange for silence. I'd rather speak.

I fired my lawyers yesterday.

In case it needs to be said, I did a good job at Hack VC. I was only there full time for 7 months; been part-time since 2021. I got a $50k raise to $300k, $30k bonus, and promises of additional carry that would have been implemented about a week or so after my last day. I was also offered admission into the GP entity (but not sure if admission was actually completed bc it was during my medical emergency). This + my resume, should show that me suing is not a money grab; I was genuinely harmed.

I'm aware that I'm just one person (who is not rich) facing a $600-700M VC institution. I've been told by @alpackaP that he's known most of the managing partners at most VC firms for almost a decade and he could absolutely blacklist me.

I'm also painful aware that the conclusion of this will probably be extremely poor for me or death - but I've accepted it.

Sharing with other web2 & web3 VCs:
@paulg @ycombinator @500STARTUPS @a16zcrypto @PanteraCapital @dragonflyvc @RaceCapital @hosseeb @haunventures @hiFramework @ElectricCapital @blockchaincap @Delphi_Digital @variantfund @1kxnetwork @archetypevc @shimacapital @robotventures, etc.

TLDR; I’m done with continued threats, pressure, and intimidation. I'm not going to take a payout and allow Alex or Hack VC to walk away from harming me. As mentioned, I'll be dropping the evidence from my case on Wed 8/26 (or before) -- privacy be damned.

Support here (or DM) please:
ETH: 0x68c10776C5c05Cbf5B4C2318bE02D61B9f06B875
SOL: B7S8TPcWWJXTsmgG8ShoTmy8sNPuJ3Dbmt7z5gLFAveq

[Simon Last @simonlast]

1/ Some things I've learned recently running coding agents on large-scale projects. Most of this contradicts advice from 6 months ago!

[Hsin-Ju @hsinju]

new @hsinju, same menace😋.
handle upgrade secured!

[Hsin-Ju @hsinju]

For those in their 20s:

- be fearless. fail often.
- be open to trying things. decide early if it's a hard yes or hard no. learn from your mistakes. be intentional with your time. learn who you are: your boundaries, your values, & what makes you happy.
- know that perfection & optics are overrated.
- travel the world. meet ppl from all walks of life.
- laugh, dance, drink and make amazing memories
- develop an abundance mindset. never be afraid to ask for what you think you deserve. never be afraid of walking away. there will always be other opportunities.
- help ppl who are aligned & find your crew
- figure out what financial / lifestyle framework makes sense for you. whether it's FIRE, die with 0, just budgeting, working till you die, etc. and start putting your money to work early & save / invest asap.
- never get complacent & stop growing.

onward 💫

[Hsin-Ju @hsinju]

genuine question: aside from community composition, what creates high-trust environments vs low-trust environments?

[Hsin-Ju @hsinju]

Brilliant 👇

[Hsin-Ju @hsinju]

Really good dive on x402 and privacy 🥷👇

[Hsin-Ju @hsinju]

If it’s not a fuck yes, it’s a no.
That's the new rule for my life.

[Hsin-Ju @hsinju]

my feed used to be all crypto takes. now, I've started following startup founders, web2 vcs, & AI researchers. it's wild how much smarter X feels overnight.

[Hsin-Ju @hsinju]

exactly. this is the way 👇

[Hsin-Ju @hsinju]

Part 4: I want to talk about how people think.

Some run on instinct — reacting to 1st-order effects in real time. Others run on systems and knowledge — modeling 2nd- and 3rd-order effects before making a move.

You can tell who’s who by one thing:
→ Whether they were a good student or not. To be clear, “good student” doesn’t just mean grades — it means whether they chose to obediently show up to class.

And no — that’s not about intelligence.
- It’s about trust.
- How much trust you put in existing systems.
- How much you’re willing to follow the path vs. carve your own.
- What you fear. What you desire. What you optimize for.

There are 4 main types of people:
1️⃣ Instinct-driven (majority) — fearful, limit risks.
2️⃣ Instinct-driven (outliers) — fearless, love risk.
3️⃣ Knowledge/systems-driven (majority) — take calculated risks.
4️⃣ Knowledge/systems-driven w/ strong instincts (rare) — love risk and think long-term.

Imagine you’re steering a boat into a storm.
- The instinct-driven will just go — adjusting sails as the waves hit.
- The systems-driven will sit on shore analyzing wind data, waiting for a better forecast before going.

The majority of people?
Too scared to even get on the boat.

1️⃣ The Instinct-Driven Majority
Most people live in the present or the past. They don’t have much discipline and aren’t great at predicting the future, so they focus on what’s right in front of them. They just want to earn money, stay safe, and provide a good life for themselves and their loved ones.

They rarely rock the boat because risk feels like danger, not opportunity. They’re usually poor or middle-class because they optimize for safety, not leverage (which is understandable).

2️⃣ The Instinct-Driven Outliers (probably me)
They trust their gut & their ability to read people. They can be brilliant or dumb, but one thing’s consistent - they’re odd, don’t fit the mold, and their accomplishments rarely look “normal.” That’s the giveaway that someone is an outlier in the system.

People in this category are usually confident they can survive & adapt to any situation, which is why they don’t obsess over the future or 2nd- and 3rd-order effects. Whatever happens, they’ll figure it out. They don’t follow the system or care where it’s headed — it doesn’t matter to them. They aren't dependent on existing paths; they can carve their own weird ones that make no sense to others...and yet sometimes works better.

These ppl love taking on risk because it’s the only way to grow. They can end up really poor or really rich - it just depends on what they’re chasing.

3️⃣ Knowledge-System Driven Folks
These are the Ivy League kids, the PhDs, the textbook high performers. To be fair, they’re usually brilliant - but their success comes from following established paths and knowing how to “win” by the system’s rules.

They care deeply about knowledge, case studies, and history. For them, knowledge is power - more data equals better decisions. They move slowly, gathering facts and details first - through research, observation, or endless discussion. They’re typically upper-middle-class to rich and focused on earning money because that’s the system’s definition of success.

They care most about 2nd- and 3rd-order effects because they already feel they’ve solved 1st-order problems. They’ll take calculated risks, but only after extensive planning.

4️⃣ Knowledge-System Driven Folks w/ Good Instincts
These people are rare but easy to spot. They always have insane stories, they’re unfiltered, brilliant, and just a little rebellious or eccentric. They hold strong opinions - but lightly - and are open to debate.

They have all the advantages of system-driven thinkers, plus the fearlessness to act on instinct. They’ll take calculated risks because they were trained to - but deep down, they love risk. They thrive on motion, on figuring things out mid-build, on growing while they move. They walk to the beat of their own drum, grounded in both intellect and intuition, with a strong belief in what the world should look like - and the conviction to make it real. These are the best founders. The ones who build and disrupt the future instead of reacting to it.

When you meet ppl in this category, you know they will 100% become rich sometime in their lifetime; it's just a question of which idea of theirs will take off.

IMO:
- #4s are the true disruptors. They’re rare, but they can see beyond the box and redesign the game instead of just optimizing the existing one.
- #3s are the most common founders. They build solid companies that fit inside the box that are usually just a few degrees better than the competition. They operate within the system they know, on the paths they’re comfortable with. They model and mimic what works. They’re too accustomed - or too pampered - by existing structures to carve their own way. And that’s okay. They’re in it for the money.
- #2s, like #3s, can also make a lot of money, but they often lack the depth of knowledge to truly disrupt. They wander unconventional paths outside the box but struggle to find big enough problems worth solving because they’re so anchored in the present. They’re not used to thinking far, far off into the future.

🔮 The AI Shift
Now that AI is changing everything - knowledge, memorization, history - all becoming commodities - #3s are about to lose their edge. The system they trust is shifting under their feet. When info stops being scarce, knowledge stops being power. The edge shifts to those who can move fast, trust their gut, and build mid-air.

When you can’t model the future anymore, you either cling to old rules — or trust yourself enough to survive the chaos.

#3s will adapt — they’re smart.
#1s will struggle — they fear change.

But the new world?
It belongs to #2s and #4s —
the ones who leap first, learn fast, and build mid-air.

Agree? Disagree? 🤠
👇 More “shift in worldview” musings below.

[DystopiaLabs @DystopiaLabs]

@SteaknShake 😆

[Hsin-Ju @hsinju]

Crazy how time flies — back in 2019, @DystopiaLabs and I hosted a @Zcash meetup featuring @zooko & @jswihart at the National University of Singapore with @Globalcoinrsrch, @cryptoecongames, & the NUS Fintech Society.

Wild to see the privacy meta coming back full circle 🥷

[Hsin-Ju @hsinju]

Part 3: Here’s a simple ethics framework that I use to evaluate people and projects in the space. It’s not perfect, but it’s a quick & dirty way to avoid getting rekt.

⏬ Start here ⏬

🤔 Thought experiment:
Lets say you come across someone unconscious. They have something you want — money, access, info, etc. If you were 100% guaranteed that you wouldn’t get caught or punished… what would you do?

IMO, there are 3 buckets of people.
7 archetypes in total:

Bucket A – “The Gimme Crowd”
1️⃣ Bad Actors: take what they want and may do additional harm for fun, profit, or lack of control.
2️⃣ Extractors: take what they want & move on.

Bucket B – “The Look-Away Crowd”
3️⃣ Indifferent but extract indirectly: fine working with bad actors. Not committing the act, just close enough to profit from it.
4️⃣ Indifferent, stay in their lane: look away and pretend it’s not happening.
5️⃣ Indifferent, but may help at times: will step up when it’s easy or feels right.

Bucket C – “The Helpful Souls”
6️⃣ Helpers: strong moral compass, will generally do good because it’s right.
7️⃣ Mission-Driven Leaders: inspire others to do good & follow.

Be honest — who are you when no one is looking?
I’m #5: indifferent, but may help at times.

To find your real ethical range, add the group below your pick — most people overestimate themselves and their ability to resist temptation.

So my range is #5 (indifferent, but may help) to #4 (indifferent, will stay in my lane). The reason’s simple — I’m practical:
- I can’t save everyone.
- I help some who cross my path or catch my attention.
- I don’t go searching for people to save — and I don’t help everyone.
- I’m just a normal person who helps when it’s within reach.

The uncomfortable reality is that the people who make the most money in crypto usually fall into three archetypes: #1 (Bad Actors), #2 (Extractors), or #7 (Mission-Driven Revolutionaries). After that, it’s #3 — indifferent, but fine profiting indirectly from extractors.

To be clear, I’m not judging anyone for chasing money. We live in uncertain times. It’s understandable that people are desperate and want a way out of the rat race. I get it.

But here’s the thing.
Crypto constantly tests moral thresholds.

Almost every top performer I’ve met knows how to operate right up to the edge of what’s legal / illegal — without crossing over. They know the law. That’s what lets them play close to the line without falling over it. But that edge comes with constant temptation. The higher the stakes, the blurrier the line gets. And when it feels like no one’s watching, some start convincing themselves that crossing it might be worth it. Everyone thinks they’re the exception until the line blurs.

IMO, this is what separates a scam from a legit project long term: Are the high performers — the founders, department leads, senior hires — ethical and disciplined enough to resist temptation?

I’ve noticed that people who fit the #2 (Extractors) archetype don’t always break the law — but they’ll gamble if the reward is high enough. People who fit #1 (Bad Actors) will almost always gamble.

Now, apply this to projects.
People in groups are still individuals — just louder. Put them together, and they amplify each other. They normalize behavior and push boundaries further than they ever would alone.

To predict if a project will survive or implode:
- Look at the founders and senior hires.
- Figure out where they sit on the ethical spectrum.
- If you don’t know them well, look at their junior hires.
- Like hires like. Most founders recruit people who mirror their ethics — or slightly below them.

If most of the people in a company or community are archetypes #1–#3, it’s doomed. Doesn’t matter how good the tech, the marketing, or the funding — it’ll implode eventually.

Crypto is full of temptation.
If you’re surrounded by people who are easily tempted & have shaky ethics...odds are that someone (or many) will cross legal lines (and the project will implode). The early signal to watch for: when the good people start leaving in droves.

TL;DR: Temptation is the real stress test. It exposes who people REALLY are when they think no one’s watching.

Still, this industry keeps worshiping the same archetypes — the ones with killer tech, sharp narratives, or obscene wealth. Don't get me wrong. Those things do matter...but every cycle, people forget: behind every billion-dollar idea or polished brand are humans — flawed, predictable, and driven by the exact same incentives as everyone else.

At the core, crypto isn’t about tech or money. It’s about people — and people are the one variable that never really changes.

👇 More “shift in worldview” musings below.

[Hsin-Ju @hsinju]

Recovering on a ~20 acre ranch with some friends, dogs, and good food. Now down to 3-4 panic attacks per day 😔

[Hsin-Ju @hsinju]

1/ Hey all, want to announce that after 7 months as a Partner & Head of Platform at @hack_vc, I've decided to give my 2 week notice.

Want to thank @ed_roman for bringing me on board & giving me the opportunity to explore/learn venture. For those unfamiliar with me, here's my background 👇

[Hsin-Ju @hsinju]

Our @hack_vc x @krakenfx founder dinner during @Permissionless is underway. Even tho it's burning hot 🔥🥵, the vibes & food are immaculate. So excited to see everyone!

[Hsin-Ju @hsinju]

frens 🐸, if you'll be in NY for @Permissionless, DM me to get an invite to our VIP founders dinner on June 25th w/ @hack_vc & @krakenfx 👉 https://t.co/ijKTg9L8g3.

[Fhenix @fhenix]

Another epic Encryption Day is in the books. The calibre of content and conversations had was 🤌🤌🤌

Thank you to everyone who attended!