Crypto Startups Attract $2.7 Billion in Q2 Despite Decline in Deal Volume
Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...
In the second quarter of 2024, crypto startups managed to attract $2.7 billion in funding across 503 deals, marking a slight increase in capital raised despite a noticeable decline in deal volume.
According to a report by PitchBook, this represents a 2.5% rise in total investment compared to the previous quarter, although the number of deals decreased by 12.5%.
The report said that while fewer deals were made, the value of each deal was generally higher.
PitchBook analysts noted that as investor sentiment towards crypto continues to improve, and assuming no major market disruptions, the pace and volume of investments are likely to grow throughout the rest of the year.
This positive outlook reflects a cautious but optimistic return of confidence among investors in the crypto space.
Infrastructure startups led the funding race during Q2, with significant rounds raised by Monad, a parallelization Layer 1 platform, which secured $225 million in Series A funding.
DeFi-specific Layer 1 platform Berachain followed with a $100 million Series B round, and bitcoin restaking platform Babylon raised $70 million in an early-stage round.
These substantial investments underscore the growing importance of infrastructure development in the crypto industry.
Two other notable funding rounds included a $150 million Series A round for Farcaster, a platform that achieved a post-money valuation of $1 billion, and a $140 million early-stage round for the blockchain-based gaming platform Zentry.
The report also revealed that valuations have increased
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