CDS Crypto News Crypto VC Investments Surge 38% in First Quarter, Breaking Two-Year Trend
Crypto News

Crypto VC Investments Surge 38% in First Quarter, Breaking Two-Year Trend

Investments saw an uptick in Q1 2024 but have yet to reach the peak levels observed in late 2021.

172
Crypto Vc Investments Surge 38% In First Quarter, Breaking Two-Year Trend

Crypto News– According to a report released by Crypto Koryo on April 4th, crypto venture capital (VC) investments witnessed a substantial increase in the first quarter of 2024.

Crypto VC Investments Surge 38% in First Quarter, Breaking Two-Year Trend

The study highlighted growth across two key metrics. VC investments surged to nearly $2 billion in various crypto projects, reflecting a notable 38% uptick from Q4 2023. Additionally, VCs diversified their portfolio by investing in 250 crypto projects, indicating a robust 49% increase compared to the preceding quarter.

These results stand out as some of the strongest since investments skyrocketed to $14 billion in Q4 2021.

Crypto Koryo emphasized that this recent upsurge could signal the beginning of a new wave, especially considering the conclusion of a two-year downturn following the peak in investments.

Investment Preferences Diversify Across Sectors

The realm of cryptocurrency witnessed the prominence of several notable VC firms, with a16z, OKX Ventures, Multicoin Capital, and Protocol Labs securing the top positions as the leading investors based on investment volumes.

Certain projects garnered more attention and funding than others. Notably, the crypto exchange Hashkey amassed $100 million through a successful series A fundraising round. Similarly, the restaking platform EigenLayer achieved the same feat by securing $100 million through a private fundraiser. Additionally, Zama, a blockchain and encryption firm, raised $73 million via a series A fundraiser, while the EVM-compatible blockchain Berachain attracted $69 million in investments.

Among various blockchain platforms, Ethereum emerged as the frontrunner, hosting over 50 VC-funded projects, surpassing all others in this regard. Solana followed closely behind with 40 VC-funded projects, with Crypto Koryo attributing its growth to the rise of memecoin ICOs.

Crypto Vc Investments Surge 38% In First Quarter, Breaking Two-Year Trend

Related Articles

Sui Blockchain Faces First Major Outage: What Happened and What’s Next

Sui blockchain faces its first major outage—learn what happened, the impact on...

MicroStrategy Stock Reaches New High as Bitcoin Surges Above $98,000

MicroStrategy’s stock surged to a new all-time high as Bitcoin reached $98,000,...

Mysten Labs Resolves Sui Blockchain Outage, dApps Resume Functioning

Mysten Labs Resolves Sui Blockchain Outage, dApps Resume Functioning

Top 3 Cryptos on November 21: Qubetics Soars as Ethereum and Solana Face Resistance

Top 3 Cryptos on November 21: Qubetics Soars as Ethereum and Solana...