Who gets the most now? By DailyCoin
Venture Capital Funding for Crypto: Who Benefits Most Now?
Over the past week, numerous Web 3.0 projects have attracted hundreds of millions of investments, fueling discussions that the sector is the top choice for venture capital (VC) firms in these crypto winter times. Classes.
Animoca Brands, one of Asia’s blockchain gaming giants, raised $100 million in funding from Singaporean state-owned company Temasek, just seven months after its $360 million funding round in January.
Former Galaxy Digital and Genesis executives are seeking to raise $500 million for crypto fund DBA Crypto, according to a Securities and Exchange Commission (SEC) filing.
Reddit co-founder Alexis Ohanian’s venture capital firm Seven Seven Six (776) is set to launch a $177.6 million crypto investment to fund in October.
A few days earlier, investment management giant Invesco announced the launch of its metaverse fund, which announced the launch of its metaverse fund, which will invest in small, mid and large cap Web 3.0 companies around the world entire.
Polygon (MATIC) co-founder Symbolic Capital has raised $50 million from venture capitalists for a new fund, focused on early-stage Web 3.0 startups in emerging markets. The announcement follows another $500 million in funding raised by crypto investment firm CoinFund and start-up Shima Capital, both focused on young Web 3.0 projects.
Web 3.0 industry leaders Number of funding agreements
Following the intense flow of funding, the sector seems to be booming, despite the general slowdown in venture capital investments. The entire crypto-related space has totaled nearly $16 billion year-to-date in venture capital funding. That’s nearly half of the historic $32.8 billion from last year, when investments grew more than 6x from 2020 figures.
According to the joint report by crypto market intelligence firm Messari and crypto fundraising database Dove Metrics, nearly 1,200 funding deals were closed in the first half of the year. .
According to their data, the Web 3.0 and NFT sectors made the highest number of 530 transactions in the first six months of 2022. This is twice as many as the other sectors of infrastructure (252 transactions), finance Centralized (222 transactions) and Decentralized Finance (195 transactions).
However, centralized finance (CeFi) and infrastructure emerged as the winning sectors in terms of the amount of capital raised. The two sectors attracted $10.2 billion and $9.7 billion in funding respectively.
Web 30 and NFT remained third with $8.6 billion, while DeFi with its $1.8 billion was completely left behind.
Respectively, CeFi attracted the largest investments compared to other sectors. According to the data, the average amount of CeFi funding was $45.9 million and the average investment in infrastructure projects held steady at $38.5 million.
The Web 3.0 and NFT sector attracted $16.2 million per transaction on average, although the sector dominated venture capital interest in the first half of the year. The lowest average investment or $9.2 million in transactions appeared in DeFi.
What is fueling investor optimism?
Web 3.0, also known as Decentralized Web, is the third generation of the Internet that includes decentralized ledger technology, artificial intelligence, and machine learning. It should ensure a more inclusive user experience, as well as increase transparency and bring data ownership back to users.
The evolution of digital technologies and growing concerns about data security along with the continued global adoption of cryptocurrencies and non-fungible tokens (NFTs) are also the factors that are attracting the attention of venture capitalists.
“We believe we are now entering the golden age of Web3. Programmable blockchains are advanced enough and a diverse range of applications have reached tens of millions of users. More importantly, a massive wave of world-class talent has entered Web3 over the past year,” says venture capital firm Andreessen Horowitz, which raised $4.5 billion for its Crypto Fund 4 in May. 2022.
on the reverse
- Despite the growing number of investments, Web 3.0 and the metaverse space are also subject to challenges such as an increasing number of cyberattacks, security issues, and lack of regulation.
Why You Should Care
The global Web 3.0 market is expected to grow by $81.5 billion in 2030 driven by growing demand for improved user experience and growing advancements in connectivity.
Learn more about the Web 3.0 projects that are making headlines right now:
Top 10 Metaverses to Watch in 2022
Learn more about venture capital crypto investment plans:
Former A16Z partner Katie Haun raises $1.5 billion for two new venture funds