Blockchain technology, first conceptualized by an anonymous entity known as Satoshi Nakamoto in 2008, has revolutionized the way we think about digital transactions and data security. Initially associated primarily with Bitcoin, blockchain has since evolved into a versatile technology underpinning a wide array of cryptocurrencies and decentralized applications. Over the past decade, its usage has surged dramatically, capturing the curiosity and interest of millions worldwide. One region where this growth is particularly pronounced is Southeast Asia.

The origins of blockchain technology can be traced back to 1991 when researchers Stuart Haber and W. Scott Stornetta introduced a system for timestamping digital documents using cryptography to ensure they couldn’t be tampered with or misdated. However, it wasn’t until nearly two decades later that blockchain found its first real-world application with the launch of Bitcoin.

Today, the adoption of cryptocurrencies is skyrocketing globally, with Southeast Asia emerging as a global hotspot for cryptocurrency adoption. This region’s progressive stance towards cryptocurrency markets, burgeoning digital infrastructure, and the relative scarcity of established banking institutions have created a fertile ground for high-growth startups in the cryptocurrency space. Characterized by its diversity and rising incomes, Southeast Asia is attracting investors and entrepreneurs keen on tapping into the dynamic market opportunities.

According to a recent report by venture capital firm White Star Capital, Southeast Asia is home to over 600 cryptocurrency and blockchain companies. The report highlights that a significant portion of the recent surge in venture capital funding in the region has been directed towards web3, blockchain, and cryptocurrency startups. In 2022 alone, these companies collectively raised more than $1 billion in funding. This trend pinpoints the region’s pivotal role in the global cryptocurrency landscape and its potential as a hub for innovation and growth in the blockchain sector.

As global nomads build new businesses straight from their phones, the impact of blockchain technology continues to evolve, transforming not only finance but also sectors like insurance, supply chains, healthcare, and transportation.

Country-Specific Insights

Singapore stands out as a pioneer in establishing clear and forward-thinking blockchain regulations, including those for tokenized securities. This clarity enables businesses to operate without regulatory ambiguity. The country serves as a key hub for the Asian blockchain industry, hosting the headquarters or holding companies of numerous Asian blockchain startups. Alongside other blockchain-forward regions like Dubai, Abu Dhabi, and Luxembourg, Singapore is solidifying its position as a central player in the global blockchain landscape.

Thailand leads Southeast Asia in cryptocurrency trading and investing. The country has a well-established middle class that is making substantial investments in digital assets. This robust investment climate positions Thailand as a significant player in the regional cryptocurrency market.

The Philippines has a vibrant Web3 community, with 20–30% of players of Sky Mavis’s Axie Infinity, a pioneering Web3 game, hailing from the country. This high level of engagement makes the Philippines home to one of the largest proportions of Web3 users globally.

Vietnam is emerging as a developer powerhouse and a notable leader in the Web3 space. The country has produced significant blockchain gaming startups like Sky Mavis, and its youthful, talented developers are expected to play a crucial role in the global blockchain ecosystem.

Indonesia, considered Southeast Asia’s elder brother and giant, has the fourth-largest population in the world and a rapidly expanding economy. The country’s potential is enormous, and it is garnering increasing attention over time. Additionally, Bali is praised as a crypto oasis in Southeast Asia, further highlighting Indonesia’s growing significance in the blockchain industry.

Malaysia is a true treasure in the blockchain world, home to prominent blockchain infrastructure and analytics companies such as CoinGecko and EtherScan, which are recognized worldwide. Malaysia’s contributions make it an important player in the global blockchain ecosystem.

Investors and demographics

As of 2022, NBC News estimates that 21% of American adults owned cryptocurrency, highlighting a significant interest in digital assets. Globally, India topped Chainalysis’s worldwide crypto adoption index as of September 2023, with Nigeria and Vietnam rounding out the top three, demonstrating the widespread embrace of cryptocurrency in diverse regions. Developing markets such as the Philippines and Indonesia also show a high number of adopters. In the United States, high earners are disproportionately represented among cryptocurrency investors; 25% of all crypto owners make $100,000 or more a year, compared to 15% of the overall population. Furthermore, a Morning Consult survey reveals a gender disparity in cryptocurrency ownership, with men making up over 70% of bitcoin owners despite representing only 48% of the overall population, while women constitute 30% of cryptocurrency owners.

Crypto Adoption Rates in Southeast Asia

The cryptocurrency market in Southeast Asia is anticipated to reach 1.79 billion dollars in 2024, with an annual growth rate (CAGR 2024-2028) estimated at 8.75%. This growth trajectory is expected to result in a total market value of 2.499 billion dollars by 2028. Southeast Asia continues to lead the world in cryptocurrency adoption, with countries such as Vietnam, the Philippines, and Thailand ranking among the top 20 in the 2023 Global Crypto Adoption Index. Singapore remains a standout leader in the Southeast Asian crypto landscape. In 2024, it maintains its position as a hub for crypto enthusiasts, with nearly 10% of its population actively holding cryptocurrencies, highlighting its influential role in the regional market. Vietnam and Thailand have shown significant progress in embracing decentralized finance (DeFi) technology, closely following the United States in adoption rates. This rapid uptake indicates a growing interest in innovative financial solutions within these countries.

Several factors are driving the expansion of the cryptocurrency market in Southeast Asia. Many countries in the region have a significant percentage of unbanked individuals and low levels of financial inclusion, making cryptocurrencies an attractive alternative. Nations like Singapore and Hong Kong have implemented advantageous policies that encourage the growth of the cryptocurrency sector. Additionally, numerous emerging technology funds across the continent are actively supporting and funding various cryptocurrency startups. The region boasts high internet access and smartphone penetration rates, facilitating the use of digital currencies. There is also a general skepticism towards traditional financial systems and fiat money, leading to a greater openness to adopting cryptocurrencies.

In support of this burgeoning ecosystem, the Central Bank of Singapore pledged $112 million last year to assist regional fintech initiatives utilizing cutting-edge Web3 technology. Additionally, through Singapore’s Project Guardian effort, regulators from both countries collaborated to create additional crypto testing activities.

Web3 Startups, Consumer-Facing Services, Decentralized finance (DeFi) platforms and Blockchain games (GameFi)

While a large portion of the deep, basic research and infrastructure development in the blockchain space still occurs in the United States, Southeast Asia is excellent for web3 firms offering consumer-facing services. The demographics of Southeast Asia are very favorable for web3. The populace is young, has an innate understanding of technology, and is more open to trying new things. People are highly motivated to join by the financial side of cryptocurrency because it is primarily a market for developing economies.

Decentralized finance (DeFi) platforms encompass a collection of financial services and products developed on decentralized blockchain networks without the use of intermediaries like banks or other financial organizations. With DeFi, anyone with an internet connection can access a more transparent and open financial system. Examples of DeFi services and products include decentralized exchanges, asset management, insurance, lending and borrowing platforms, and other financial services that can be accessed and managed via decentralized applications on a blockchain network. In 2024, the DeFi market is expected to generate a billion dollars in revenue, with revenue predicted to increase at a 10.60% annual rate (CAGR 2024–2028).

The DeFi market is experiencing rapid innovation and growth. One trend gaining traction is decentralized exchanges (DEXs), which allow users to trade cryptocurrencies without a central authority. Additionally, the integration of non-fungible tokens (NFTs) in DeFi is becoming more common, opening up new avenues for asset collateralization. The need for more inclusive, transparent, and accessible financial services than traditional finance is a major factor propelling the DeFi industry’s expansion. The DeFi market is expected to continue expanding, driven by the creation of new use cases and applications, growing acceptance of cryptocurrencies by mainstream investors, and the introduction of new DeFi platforms and protocols.

A new area of bitcoin and blockchain technology that combines gaming is called “GameFi,” or blockchain gaming. Through the use of NFTs, GameFi seeks to disrupt established gaming business models by granting players genuine ownership of in-game assets. The swift uptake of GameFi in ASEAN can be attributed to the socio-economic obstacles faced by the region’s populace, in addition to their keen interest in gaming. Numerous ASEAN nations face challenges such as a substantial portion of the populace without access to banking services, about 71% in the Philippines alone. Under these conditions, play-to-earn blockchain games offered an alluring way for consumers to augment their income, fueling GameFi’s rapid uptake.

Axie Infinity, a play-to-earn (P2E) game created by the Vietnamese startup Sky Mavis, is one of the most well-known use cases for GameFi. This game significantly impacted ASEAN society, particularly in the Philippines during its 2020–2021 peak. Even those with no prior gaming or cryptocurrency skills could earn cash through Axie Infinity. Players from across Southeast Asia could earn rewards and points in the game and exchange them for fiat money to meet basic necessities. As Axie Infinity’s popularity grew, the cost of in-game avatars, or Axies, skyrocketed, making it difficult for some to afford playing. However, P2E revenue was sufficient to sustain many people in ASEAN, acting as a helpful addition to their total income. Gaming guilds such as Yield Guild Games (YGG) stepped in to ensure that those with limited funds could still play the game by allowing them to rent gaming equipment at a discounted rate and return a portion of their profits to the guild.

The P2E industry has grown by an astounding 188% since 2021, attracting over 61,000 monthly searches. More developments and expansion are anticipated in the GameFi space in the coming times. A notable change in Southeast Asia’s GameFi scene is the growing interest of popular Web2 gaming businesses in Web3 and blockchain-based game creation. For example, Ampverse, a gaming and esports firm based in Thailand, recently created Ampverse Web3, a business division dedicated to the metaverse. With a significant presence in the local esports scene, Ampverse aims to develop a strong Web3 community by educating players about NFTs, P2E, and other GameFi-related topics.

Challenges and Opportunities

Asia is home to several of the world’s most important financial hubs, including China and India, as well as major economies like Singapore, Hong Kong, United Arab Emirates, and Japan. These distinct legal jurisdictions each have their own cryptocurrency laws. For example, trading and ownership of digital assets are permitted in Singapore, but retail cryptocurrency ads are not. Hong Kong has welcomed bitcoin businesses to maintain its status as a significant global financial center, while Dubai has been aggressively pursuing the adoption of digital assets. Japan has gradually relaxed token listing regulations and is becoming more accepting of cryptocurrencies. Conversely, China outlawed the mining and trading of cryptocurrencies in 2021, and while the government is striving to develop comprehensive crypto legislation, India has implemented strict crypto regulations.

Approximately 500 million individuals in Southeast Asia are anticipated to reach working age by 2030. The ten nations that make up the Association of Southeast Asian Nations (ASEAN)—Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam—already have economies that rank fifth in the world when taken as a whole. These economies are expected to grow at a rate of more than five percent annually over the next decade, which is significantly faster than the global average. A Google study predicts that 3.8 million new users will join the internet each month in Southeast Asia due to these favorable demographics. Based on approximately 50 billion dollars in investment, the internet economy in the region is expected to surpass 200 billion dollars in value by 2025.

While cryptocurrencies have made remarkable strides and holds a lot of promise in Southeast Asia, there are still certain obstacles to consider. Among them are cybersecurity and fraud. As cryptocurrency gains popularity, it attracts the interest of hackers, con artists, and other criminals. The region has seen multiple instances of ransomware attacks, phishing scams, hacking, and cryptocurrency theft. Users need to be more vigilant and cautious about their online security and privacy. Additionally, uncertainty surrounding regulations and compliance poses challenges. While some Southeast Asian nations have adopted a pro-crypto stance, others remain circumspect or antagonistic. The regulations and regulatory frameworks in the region are not uniformly clear or consistent, making it difficult for businesses and consumers of cryptocurrency to understand various requirements across different jurisdictions. Further, there is still a lot of misinformation, misconceptions, and mistrust surrounding cryptocurrency. Many people do not know how to use cryptocurrency properly or safely, or they do not understand its advantages and risks.

Despite these challenges, there are several benefits to cryptocurrency adoption. Protection against inflation is one of them. Many currencies lose value due to inflation, but many people believe that cryptocurrencies provide a buffer against this. For instance, the total quantity of Bitcoin is capped at 21 million coins. As the money supply expands faster than the amount of Bitcoin available, its price is expected to rise. This supply limitation mechanism also serves as a buffer against inflation. Another benefit is the speed of transactions. In the United States, for example, moving assets or funds between accounts or sending money to loved ones can take time but, cryptocurrency transactions can be completed in seconds. Moreover, cryptocurrency transactions can be economical, with negligible or even zero transaction costs for international money transfers, eliminating the need for third parties like VISA to validate transactions.

Cryptocurrencies represent a new decentralized money paradigm, helping to release money from governmental control and combat currency monopolies. This decentralization means no government agency can determine the value of a coin or its flow, making cryptocurrencies safe and secure. Additionally, cryptocurrency investments offer variety and can help diversify portfolios. Cryptocurrencies have shown significant growth over the last decade, and their market pricing activity appears unattached to conventional markets such as equities or bonds. This can result in more consistent returns when combined with assets that have lower price correlation. Cryptocurrencies are also accessible, requiring only an internet-connected computer or smartphone to open a bitcoin wallet, without the need for identity verification, credit checks, or background checks. This ease of use facilitates online transactions and money transfers.

End Note

Southeast Asian nations are making significant strides in adopting blockchain, AI, and cryptocurrency technology, quickly positioning the region as a hub for these advancements. According to Chainalysis’s 2023 global crypto adoption index, countries like Vietnam, the Philippines, and Thailand are poised for a transformative shift in the cryptocurrency industry. Thailand leads the region in applying blockchain technology across various sectors, while Singapore, known for its Web3 leadership, proactively supports financial solutions. In 2023, Singapore’s central bank allocated $112 million to support regional fintech projects leveraging advanced Web3 technologies. Prominent cryptocurrency platforms such as Coinbase, Blockchain.com, Circle, and Crypto.com have applied for licenses to operate in Singapore. As we embrace the Fourth Industrial Revolution, the ASEAN economies are brimming with potential. To fully capitalize on these opportunities, businesses must adopt digital technologies and become more agile, making digital transformation essential to harness the region’s economic power. Preparing for Industry 5.0, ASEAN is poised for a bright future where embracing digital changes will be key to success.

Malaysia has announced ambitious plans to establish Southeast Asia’s largest integrated circuit design park in Kuala Lumpur, with the goal of positioning the country as a regional digital hub by 2030. Prime Minister Anwar Ibrahim’s announcement highlight Malaysia’s commitment to diversifying its economy and embracing high-value industries to drive sustainable growth.

Vision for the Future: Beyond economic diversification, Malaysia aims to rank among the top 20 countries in the global startup ecosystem index by 2030. Focusing on front-end design work in the semiconductor sector, Malaysia seeks to attract global tech giants and investors. The integrated circuit design park is envisioned as a hub for innovation and collaboration, driving Malaysia’s digital transformation and economic prosperity.

Key Initiatives: The integrated circuit design park is central to Malaysia’s tech sector growth strategy. Through partnerships with global companies like Arm Holdings, Malaysia aims to create an ideal environment for research and development. Khazanah Nasional’s fund for high-growth Malaysian companies is an example of support for local talent and entrepreneurship.

Incentives for Investment: To attract foreign investors, Malaysia offers tax breaks, subsidized office spaces, employment pass exemptions, and relocation services. These incentives aim to position Malaysia as a preferred destination for global tech innovators and investors.

Collaboration and Innovation Ecosystem: Malaysia emphasizes collaboration between industry players, research institutions, and startups within the integrated circuit design park. Collaborative initiatives and co-working spaces will foster technological innovation and address global challenges.

Sustainable Growth and Environmental Impact: The park prioritizes sustainable practices such as energy efficiency and waste management. Eco-friendly design principles and renewable energy solutions will minimize Malaysia’s carbon footprint, showcasing leadership in sustainable development.

Conclusion: Malaysia’s vision for the integrated circuit design park represents a significant step in its economic development. By embracing innovation and sustainability, Malaysia aims to become a regional tech leader, driving long-term prosperity through technology and entrepreneurship. The park highlight Malaysia’s commitment to shaping a brighter future while prioritizing environmental stewardship. With strategic initiatives, Malaysia is poised to realize its ambition of becoming a global hub for technology and innovation.

The year 2023 has been described as a “mass extinction event” for startups, with US company bankruptcy filings reaching their highest level since 2010. According to Erin Griffith of The New York Times, a staggering $27.2 billion in venture capital money was put into 3200 venture-backed firms that failed within the first 11 months of 2023. However, this statistic may merely scrape the surface, as many firms went out of business without making any major announcements. Notably, the $27.2 billion figure includes big startup failures such as WeWork, which went public, or others that were bought at far lower prices.

According to Pitch Book, nearly 3,000 private venture-backed firms have suspended operations in the last year alone. A considerable proportion of firms soliciting finance obtained lower values than in earlier investment rounds. Also, venture capitalist engagement in the startup ecosystem decreased significantly, with 38% of VCs withdrawing from dealmaking. This tendency coincides with a large number of layoffs in the IT industry.

The distress isn’t confined to the United States alone. S&P Global reports a surge in corporate bankruptcy filings, hitting levels not seen since the aftermath of the 2008 global financial crisis. In England and Wales, corporate insolvencies soared to their highest levels in over a decade as businesses grappled with soaring borrowing costs and tepid demand.

In this video, we embark on a journey to unravel the reasons why startups are shutting down, drawing insights from real-life case studies to decipher the intricate dynamics at play in the startup ecosystem.

Lack of Market Demand

One of the primary reasons for startup failures is the lack of market demand. Despite promising ideas and innovative solutions, startups often struggle to resonate with their target audience. This lack of market demand can be like chasing after a mythical unicorn: you pour your energy into something that ultimately doesn’t exist.

Misaligned Product-Market Fit

 That is what happens when a good or service isn’t in line with what the market requires. It is possible for this mismatched product-market fit to result from a failure to comprehend or an incorrect interpretation of your client’s preferences.

If a startup’s product or service doesn’t match the real demands of the market, it might fail. This may result from a misreading of consumer preferences or insufficient market research.

Many were dazzled by Hyperloop One’s bold desire to change transportation through a high-speed tube system. Be that as it may, despite huge speculation, the thought didn’t get on, and there wasn’t sufficient interest in it, which ultimately resulted in business closure. Utilizing a hyperloop innovation to reexamine transportation was not generally welcomed by shoppers.

Bird, the electric scooter’s rent startup, saw a similar outcome. Even though the company extended rapidly in the beginning, in the end, it sought financial protection due to issues saving up a consistent interest for its administration. It was additionally featured by the way that bikes were now and again left in streams, which proposes that the degree of care offered and the requirements of the clients are not adjusted.

Niche Market

A niche market is a more specific region of the bigger market that serves a specific client base with specific requests or inclinations. Various elements, for example, lacking business sector interest, trouble separating the firm from adversaries, and challenges growing the business beyond the particular area, can make new companies bomb in specialty markets. Also, on the off chance that the target market is minuscule, organizations might experience difficulty making money in that niche.

While offering a helpful and complete wholesome arrangement, Soylent took care of a moderately small niche of health-conscious people looking for feast substitutions. This restricted market size made it hard to accomplish critical development, particularly with contenders offering comparable items.

While the web-based bedding market was developing, Casper confronted rivalry from laid-out brands like Tempur-Pedic and Serta. Furthermore, the sleeping cushion market itself is moderately small and rare concerning individual buys, restricting Casper’s development potential.

Competition

For startups attempting to break into the market, established firms with a greater market share, financial resources, and name recognition can provide serious obstacles.

HealthIQ was an app that provided reduced insurance prices for healthy people. However, the firm found it challenging to compete against more established insurance providers like Cigna and UnitedHealth Group, which offered comparable plans and more resources. Moreover, regulatory obstacles made their expansion much more difficult.

Quibi was made for broadcasting short videos to draw in portable clients. In any case, it needed to battle with extreme rivalry from notable platforms such as Netflix, TikTok, and YouTube, all of which had a greater variety of content offered and greater client bases. Their breakdown was a consequence of exorbitant production costs and an absence of uniqueness.

While the housing market is enormous, Opendoor, the web-based trading space, was at that point swarmed with laid-out players like Zillow and Redfin. Opendoor attempted to separate itself but confronted numerous difficulties with productivity, prompting cutbacks and a likely deal to bail out.

Regardless of being a key player, Grubhub confronted furious contests from Uber Eats, DoorDash, and Postmates. This competition prompted price wars and trouble procuring new clients, finishing in a consolidation with Just Eat Takeaway.

Execution Issues

Startups often fail due to poor execution, even with a promising idea. Flaws in execution can affect marketing, product development, and overall management.

Ineffective Marketing and Sales

Insufficient sales strategies or weak marketing plans can hinder attracting new customers and generating revenue.

Take Gobble, a meal kit delivery service, for example. It struggled to differentiate itself from established competitors like HelloFresh and Blue Apron. Their marketing failed to effectively target a specific audience and communicate their unique value proposition, leading to difficulties in acquiring new customers. Similarly, Vero aimed to provide a more ad-free and private social media experience, but their limited marketing efforts failed to attract a substantial user base to compete with platforms like Instagram and Facebook.

Product Development Challenges

Delays, quality issues, or a failure to adapt based on feedback can result in a subpar product that struggles to gain market traction.

Consider JUUL Labs, an e-cigarette company that faced numerous product development challenges related to addiction and health concerns. Additionally, they encountered regulatory changes in 2023, including stricter marketing regulations and flavor bans, further impacting their market share and leading to product withdrawals. Similarly, SpoonRocket experienced quality issues and delays in its meal delivery service, resulting in negative customer feedback regarding inconsistent quality and long wait times.

Management Problems

Internal conflicts, leadership issues, or a lack of a cohesive vision can impede decision-making and overall company performance.

WeWork, for instance, grappled with internal disputes between the founder and management group, resulting in questionable business decisions and unsustainable growth. Their failure to articulate a clear vision and leadership problems ultimately led to their downfall. Similarly, FTX’s CEO faced accusations of fraud and mismanagement, resulting in significant financial losses and insolvency. Lack of transparency and leadership failures eroded trust and led to a complete collapse.

Financial Mismanagement

Financial mismanagement is a common pitfall for startups, often resulting in the depletion of resources and eventual failure.

Cash Burn Rate

Startups often struggle with managing their finances, leading to rapid depletion of funds before achieving profitability.

Although achieving success, DoorDash struggled with profitability due to high customer acquisition costs and operational expenses. They consistently burned through cash, requiring multiple funding rounds despite significant revenue generation.

Despite rapid initial growth, Bird faced high operating costs, particularly with scooter vandalism and maintenance. Their rapid cash burn rate outpaced their revenue growth, ultimately leading to bankruptcy.

Over-reliance on Funding

Some startups may focus too heavily on raising capital rather than building a sustainable business model, leading to dependency on external funding rounds.

Connected H, a health-tech startup, secured millions in funding but failed to achieve significant market traction. Their reliance on investor capital without a clear path to profitability ultimately led to their shutdown.

Ineffective Allocation of Resources

Inadequate financial planning and excessive expenditure on non-essential costs can exhaust resources without producing equivalent benefits.

WeWork was accused of overspending on unneeded amenities and botched acquisitions. Their failure was influenced by their improper resource allocation, which resulted in unsustainable financial practices.

SmileDirectClub raised money for marketing and promotion despite reservations regarding the caliber of its goods and the contentment of its clients. Their collapse was eventually caused by this misallocation of resources, which took money away from important areas like enhancing their product and customer service.

Changes in Regulation

Regulation changes may have a big effect on companies, changing how they operate and how far they can go.

In 2023, there were calls for tougher regulation and taxation of the cryptocurrency sector, which led to heightened governmental monitoring. Although Coinbase adjusted to some degree, investor trust in the cryptocurrency market as a whole was affected by the shifting regulatory environment.

Brexit-related rules and practical difficulties in the aftermath of Brexit Britain limited Oya’s capacity to import and distribute specific goods that hampered their business operations and prospects for expansion in the UK market.

Shifting Investor Sentiment

The attitude of investors is a major factor in determining how successful businesses are. Investor perception of startups saw a dramatic shift in 2023, highlighted by a departure from the decade-long “growth at all costs” mindset and an increased emphasis on profitability and long-term business plans.

The significant losses that SoftBank has incurred on its startup investments—including WeWork—highlight the significance of investor opinion. Startups have increasing difficulties in obtaining finance as investors grow more hesitant to support untested business strategies.

Unsustainable Business Models

Perhaps the most critical factor contributing to startup failures is the sustainability of their business models. Real-life examples illustrate the consequences of unsustainable growth strategies:

WeWork’s gigantic business model prioritized rapid expansion over profitability, ultimately leading to its downfall. The company’s failure to achieve sustainable growth highlights the importance of a sound business model.

Bird’s business model of renting scooters faced challenges in achieving profitability, emphasizing the need for sustainable revenue streams and long-term viability.

Conclusion

To sum it up, there are many reasons why startups shut down. These range from market changes and problems with how the business is run to money issues, competition, dealing with regulations, changes in how investors feel, and having a business model that can’t last. By looking at examples from real startups and getting a grip on the difficulties they face, entrepreneurs can handle the ups and downs of the startup world better and improve their odds of making it.