The Federal Reserve’s interest rate hikes in recent years impacted the venture capital market, but 2021 saw a rebound with several record-breaking funding rounds. The U.S. venture capital industry completed over 17,000 deals totaling nearly $330 billion in funding. However, five companies stood out for securing the largest Series A funding rounds in history:
- Transmit Security: $543 million
- MoonPay: $555 million
- Perch: $775 million
- Sierra Space: $1.4 billion
- Articulate Global: $1.5 billion
These companies, spanning sectors such as cybersecurity and online education, surpassed the industry averages for Series A funding and demonstrated innovative ideas that aligned with the evolving post-COVID landscape. For example, Transmit Security received funding to expand its password elimination mission, while MoonPay aimed to bring cryptocurrency to more people. Perch, a Boston-based e-commerce company, planned to increase its acquisition of direct-to-consumer brands, and Sierra Space focused on ambitious aerospace projects, including the development of the Dream Chaser spaceplane. Finally, Articulate Global aimed to enhance workplace training tools and e-learning authoring apps.
Overall, the record-breaking funding rounds in 2021 showcased the resilience and adaptability of the venture capital market, even in the face of economic challenges.
