Market

VC poured $ 30 billion into the crypto market in 2021

VC poured $ 30 billion into the crypto market in 2021. If investment were to serve as a gauge of whether cryptocurrencies were going mainstream, it could be argued that 2021 will be the year of adoption by investors, investments, and the public.

Investors are pouring $ 30 billion into crypto space

According to PitchBook, venture capitalists (VCs) had poured around $ 30 billion into the crypto industry by December 15 this year alone, more than any other year.

The data showed the metric hit an all-time high (ATH) of $ 8 billion in 2018, meaning that investment has quadrupled from the previous ATH.

According to Bloomberg, the increased mutual funds could be linked to some of the new innovations that can now be found in the crypto space. The growth of NFT, DeFi, Web 3.0 among others has made this space a very attractive option for investors.

That view is shared by PitchBook analyst Rob Le, who said that “investors fund everything”. Spencer Bogart, General Partner at Blockchain Capital LLC, also recognized niche growth in the crypto market, adding that investors currently think they “haven’t had enough exposure to the industry.”

While the growth and investment in crypto this year has been laudable, there is a general consensus among industry experts that we are only in the infancy as it has already started and is expected to have up to 1 billion users in the next 5 years.

Who is investing? Where are you investing?

Data from PicthBook shows that Coinbase Ventures, which closed around 68 deals this year, Digital Currency Group with 58 deals and Polychain Capital with 44 deals are among the top VCs in the crypto market. Other VCs that made it into the top 5 are Pantera Capital and Andreessen Horowitz with 43 and 40 deals respectively.

These VCs have participated in a number of notable funding rounds, including FTX, a crypto derivatives exchange that raised $ 1 billion in a Series B funding round in July, and the New York Digital Investment Group, which recently raised $ 1 billion has applied. Other notable rounds of crypto funding include Robinhood, Dapper Labs, and MoonPay.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Italy Considers Reducing Proposed Italy Crypto Tax to 28%

Italy considers lowering its proposed Italy crypto tax increase to 28% from an initial 42%,…

1 hour ago

Bitcoin Spot ETF Inflows Reach $818M Amid 5-Day Positive Streak

Bitcoin Spot ETF Inflows Hit $818M as Net Inflow Streak Extends to 5 Days, with…

2 hours ago

Elon Musk Invests $200M in Trump, Treats Government Like X (Twitter)

Elon Musk applies his X (Twitter) management style to politics. His political strategies, including voter…

3 hours ago

PayPal Stablecoin PYUSD Now Available for Cross-Chain Trading via LayerZero

PayPal stablecoin PYUSD can now transfer seamlessly between Ethereum and Solana via LayerZero.

4 hours ago

New Department of Government Efficiency Will Be Led by Musk

President-elect Trump plans to establish the Department of Government Efficiency, led by Elon Musk and…

4 hours ago

Best Crypto to Join in November 2024 – Why Now’s the Time to Invest

Imagine you’re navigating the unpredictable seas of cryptocurrency, where market waves can knock the unprepared…

5 hours ago

This website uses cookies.