Venture capital (VC) funding into the crypto industry has fallen 76% in 2023 compared to last year’s total of $33.3 billion funding.
While venture capitalists invested an amount of over $41.9 billion into the crypto space in 2022, the amount has now reached roughly $9.79 billion this year– according to data provided by CryptoRank.
While most of the funding took place in the first half of 2023, the second half was not exciting for venture investors except for November, which saw the year’s highest funding of $1.67 billion.
Throughout the year, Coinbase Ventures was the leading VC firm, providing the most investments in 42 funding rounds, followed by DWF Labs, HashKey Capital, and Polygon Ventures.
Despite a major decline of 76% in total investment amounts, 2023 is the third-largest year in the history of crypto funding. Last year (2022) was the biggest year for crypto investments, seeing total investments of $41.9 billion, followed by 2021, which saw a total investment of $29 billion in the crypto space.
The current year also saw a significant drop in the number of funding deals compared to last year. There were a total of 2,177 deals in 2022, compared to only 1272 this year.
