Dark
Light
Today: October 11, 2024
August 13, 2024
1 min read

Surge in Crypto Venture Funding Despite Decrease in Transactions: Report



Article Summary

TLDR:

  • Crypto startups attracted $2.7 billion in VC in Q2 2024, a 2.5% increase from the previous quarter.
  • Deal activity fell by 12.5% from the first quarter.

Crypto startups attracted $2.7 billion in venture capital (VC) during the second quarter of 2024, representing a 2.5% increase from the previous quarter. However, deal activity fell by 12.5% from the first quarter. The digital asset market faced challenges after reaching highs driven by the launch of Bitcoin ETFs in the US. Investor inflows into these ETFs dropped by 80% in Q2. Despite these challenges, some analysts remain optimistic about future fundraising, citing potential improvements in token prices and institutional adoption. Investment continues to focus on infrastructure projects, with caution towards consumer applications. There was only one major funding round for a crypto application in Q2, signaling a shift towards application-based investments. Exit activity reached its peak since early 2022, with 26 exits reported, indicating ongoing consolidation in crypto exchanges and infrastructure providers.



Previous Story

Startup firm with $21M investment focusing on digital health

Next Story

Hamster Kombat Rebels Turn Down VC Funding

Latest from Blog

Go toTop