Crypto VC Investments Continue to Take a Hit, Drop Another 10% MoM

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By BitcoinWiki News

Key Takeaways:

– October saw a 10% decrease in publicly disclosed investment projects by crypto venture capitalists (VCs) compared to September 2023.
– This marks a significant year-on-year decrease of 45% compared to October 2022.
– Infrastructure projects accounted for 24% of financing, followed by decentralized finance (DeFi) at 21%, centralized finance (CeFi) at 9%, and non-fungible tokens/GameFi at 13%.
– The total financing amount in October decreased by 20% compared to September 2023, and a staggering 63% compared to October 2022.
– Despite the decline, notable funding rounds exceeding $12 million included Blockaid, Blackbird, SynFutures, Membrane Labs, NEON Machine, Binance, and Untangled Finance.
– The decline in crypto VC investments may be driven by regulatory uncertainties and market volatility.
– However, there has been a recent increase in investor sentiment and digital asset fund inflows, potentially due to growing optimism surrounding the potential approval of a spot-based Bitcoin exchange-traded fund (ETF) by the US Securities and Exchange Commission (SEC).


In October, there was a significant decline in publicly disclosed investment projects by crypto venture capitalists (VCs), with a 10% decrease compared to September and a 45% decrease compared to October 2022. Infrastructure projects accounted for 24% of financing, followed by decentralized finance (DeFi) at 21%, centralized finance (CeFi) at 9%, and non-fungible tokens/GameFi at 13%. The total financing amount in October was $430 million, a 20% decrease from the previous month and a 63% decrease from October 2022. Despite the overall decline, there were still notable funding rounds exceeding $12 million, including Blockaid securing $33 million, Blackbird completing a $24 million Series A round, SynFutures raising $22 million in its Series B round, Membrane Labs securing $20 million, and NEON Machine completing a $20 million financing round. The decline in crypto VC investments reflects caution due to regulatory uncertainties and market volatility, but investor sentiment has improved recently with increasing digital asset fund inflows. There is growing optimism surrounding the potential approval of a Bitcoin exchange-traded fund (ETF) by the US Securities and Exchange Commission (SEC).

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