China’s changing regulatory environment doesn’t stop a venture capital frenzy – TechCrunch



China Securities regarding its technological market have not been lenient in recent months. Not that they were unfair.

China’s tech market has been rocked by a wave of regulatory action in recent quarters that has changed the business landscape amid the country’s government crackdowns on other areas of domestic activity. Tech titans have been hit with fines and business model overhauls – business model terminations, in the case of many edtech companies – while certain cultural elements like the culture of celebrity fans and the media were also attacked.

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You can imagine that a broad push from a central government to better control both its national economy and its mind would not be conducive to fundraising and overall startup activity. And even.

When The Exchange recently took a look at China’s venture capital market following some of its national government’s regulatory moves, things looked surprisingly stable. Since then, CB Insights data spanning the entire third quarter period has been even more compelling: With the exception of a single oversized 2018 cycle, the third quarter of 2021 was the best three-month period for startups. Chinese.

And not just in the value of the towers they lifted – they also lifted more towers.

We were surprised. But that’s what makes data useful: No matter what you’re waiting for, what actually happened will give you pause for thought.

This morning we analyze the data, take a look at the early rounds to better understand where the money is going, and, with the help of tech analyst and Chinese angel investor from TechBuzzChina, Rui Ma – try to understand what is going on.

Let’s talk about China!

Chinese monster Q3

Of course, Alibaba’s stock value fell from a 52-week high of $ 319.32 per share to just $ 166.82. Didi went from a recent local maxim of $ 18.01 to $ 8.24. And Tencent Music’s value slumped from $ 32.25 – its last 52-week high – to just $ 7.72 per share (all data via Yahoo Finance).

But the drop in stock prices of major tech companies has apparently done nothing to dampen interest in Chinese tech startups.


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