There has been a phenomenon worth paying attention to in the past few days: BYD successfully tops the global electric vehicle sales chart, surpassing Tesla. On the surface, this is automotive industry news, but if viewed through the analytical framework of the crypto space, it is full of insights about ecosystem competition, technological moats, and market share.

Let's start with the fundamentals. Last week, I was on a business trip in Shanghai and intentionally paid attention to the distribution of vehicle models on the streets while taking a taxi. Out of ten streets, at least five could see BYD vehicles, ranging from entry-level models costing tens of thousands to high-end product lines costing hundreds of thousands, covering all levels from the sinking markets to first- and second-tier cities. This strategic layout is akin to multiple public chains and various ecosystem applications in crypto projects—"full-position deployment." No dimension is lacking, meaning market education and channel control are well in place.

Where is BYD's core competitive advantage? Simply put, it’s two words: vertical integration. From batteries, chips, raw materials to vehicle manufacturing, everything is self-developed and self-produced. Does this system resemble a complete closed loop of an L1 public chain—from underlying virtual machines and consensus mechanisms to application layers? Autonomous control means lower costs, increased efficiency, risk isolation, and, most importantly, no dependence on supply chains being chokepoints.

Let’s also look at the killer feature: Blade Battery. Its innovation isn’t in the materials themselves but in structural design—using an array arrangement to enhance the pressure-bearing capacity of individual cells, solving the biggest trust issue in electric vehicles: safety. It’s like a crypto project achieving top-tier security audits, giving users confidence to hold. Once trust is established, market share naturally follows.

How about Tesla? Tesla’s advantages are brand premium and a vertical software ecosystem, but in the most critical components like batteries and chips, it has long relied on supply chain partnerships. This creates an opportunity for BYD. When a latecomer manages to surpass in core technology and is supported by a vast sales network, turning the tide becomes just a matter of time.

Returning to the crypto industry for insights. We often discuss what constitutes a project’s "moat." Technical stacks, ecosystem development, user base, network effects—how many times have we said these words? BYD’s case is a perfect illustration of these elements. It’s not about hype narratives but about using hardcore capabilities to gradually eat away at the market. From a marginal brand to a global sales champion, this process is worth pondering for anyone studying project fundamentals.

Finally, a detail: BYD’s success is backed by China’s complete manufacturing industry chain in the new energy sector. In crypto, this is similar to a public chain integrating the best developers, the most active ecosystem projects, and the strongest capital support, forming a highly difficult-to-duplicate competitive landscape. That’s the true moat.