TLDR:
- First quarter of 2024 saw a significant rebound in venture capital investments for cryptocurrency-related companies.
- $2.8 billion was raised, marking a 255% increase from the previous quarter.
The first quarter of 2024 marked a resurgence in venture capital (VC) funding for cryptocurrency-related companies, with $2.8 billion invested across various funding rounds, according to data from AltIndex.com. This figure represents a substantial 255% increase from the previous quarter and is the highest amount since mid-2022. The recovery in funding comes after a challenging 2023 for the crypto market, which saw VC investments plummet in the wake of the so-called “crypto winter.” The latest data from Crunchbase indicates a renewed confidence among investors, coinciding with a broader market rally that has seen significant price gains for major digital currencies. The total number of investments also saw a notable rise, more than doubling from the last quarter of 2023 to reach 666 in the first quarter of this year. The United States continues to lead in terms of VC funding for crypto companies, accounting for 55% of the total investment value at $41.5 billion. Europe and Asia follow with $14.8 billion and $11.2 billion in VC investments, respectively. This influx of capital has pushed the cumulative funding amount in the crypto market to $74.8 billion, marking an increase of $7.1 billion from the same quarter a year ago.
