Key Points:
- Crypto VC funding dropped sharply to $10.7 billion from the previous year’s $33.3 billion, marking a challenging year for the industry.
- First-half dominance of pre-seed, seed, and Series A investments overshadowed declines in mid- and late-stage deals.
- Despite economic challenges, 2023 showcased robust investment in NFTs, gaming, infrastructure, and Web3, indicating a diversified sectoral interest.
According to The Block data, crypto VC funding witnessed a substantial 68% drop, dwindling to $10.7 billion in 2023, a sharp contrast to the $33.3 billion invested the previous year.
Read more: VCs Steps Back, Crypto Funding Amount In June Hits Lowest In 2 Years: Report
Crypto VC Funding Landscape: 68% Plunge in 2023
Although the figures dipped, the total investment for 2023 managed to outshine the bear market of 2019–2020, which saw a total of $6.4 billion in investments.
The crypto VC funding landscape was characterized by a front-loaded first half of the year, experiencing a subsequent decline in the latter part. Notably, November saw a resurgence in investment activity. Intriguingly, the distribution of deals favored pre-seed, seed, and Series A startups in 2023, marking a shift from mid- and late-stage deals prevalent in the prior year.
While the economic slowdown impacted overall investment, the annual figures still surpassed those of the preceding bear market. A total of 1,819 crypto VC funding deals took place in 2023, marking a 32% reduction from the previous year’s 2,671 transactions.
In terms of sectoral distribution, 2023 witnessed a diversification of funds. NFTs and gaming sustained robust investment, joined by significant attention towards infrastructure and Web3. This departure from previous years indicates a dynamic investment landscape. Despite the challenges posed by the economic climate, the crypto space remains resilient, emphasizing a nuanced pattern of investment in emerging technologies and startups.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Author
Market
Crypto VC Funding Drops Sharply In 2023
Key Points:
- Crypto VC funding dropped sharply to $10.7 billion from the previous year’s $33.3 billion, marking a challenging year for the industry.
- First-half dominance of pre-seed, seed, and Series A investments overshadowed declines in mid- and late-stage deals.
- Despite economic challenges, 2023 showcased robust investment in NFTs, gaming, infrastructure, and Web3, indicating a diversified sectoral interest.
According to The Block data, crypto VC funding witnessed a substantial 68% drop, dwindling to $10.7 billion in 2023, a sharp contrast to the $33.3 billion invested the previous year.
Read more: VCs Steps Back, Crypto Funding Amount In June Hits Lowest In 2 Years: Report
Crypto VC Funding Landscape: 68% Plunge in 2023
Although the figures dipped, the total investment for 2023 managed to outshine the bear market of 2019–2020, which saw a total of $6.4 billion in investments.
The crypto VC funding landscape was characterized by a front-loaded first half of the year, experiencing a subsequent decline in the latter part. Notably, November saw a resurgence in investment activity. Intriguingly, the distribution of deals favored pre-seed, seed, and Series A startups in 2023, marking a shift from mid- and late-stage deals prevalent in the prior year.
While the economic slowdown impacted overall investment, the annual figures still surpassed those of the preceding bear market. A total of 1,819 crypto VC funding deals took place in 2023, marking a 32% reduction from the previous year’s 2,671 transactions.
In terms of sectoral distribution, 2023 witnessed a diversification of funds. NFTs and gaming sustained robust investment, joined by significant attention towards infrastructure and Web3. This departure from previous years indicates a dynamic investment landscape. Despite the challenges posed by the economic climate, the crypto space remains resilient, emphasizing a nuanced pattern of investment in emerging technologies and startups.
DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Other Posts
Related Posts
Latest
Why Qubetics, NEAR Protocol, and IMX Are Dominating Crypto: The Best Altcoins to Join Today for Game-Changing ReturnsÂ
Bonk’s ICO Was Just the Start: Why BTFD Coin’s Stage 7 Price Rollback Is Your Second Shot at Crypto Glory
Decoding BDAG’s AMA: A Blueprint for Scalable Blockchain and Enhanced Community Ties
Press Release
Why Qubetics, NEAR Protocol, and IMX Are Dominating Crypto: The Best Altcoins to Join Today for Game-Changing ReturnsÂ
Bonk’s ICO Was Just the Start: Why BTFD Coin’s Stage 7 Price Rollback Is Your Second Shot at Crypto Glory
