CB Insights Report: Crypto Market Records New High with Over $3 billion in VC Fundings
The $2.6 trillion crypto market is going down in history for its exceptional performance in 2021, being record-breaking for blockchain/crypto financing, experiencing 384% growth as compared to 2020. According to CB Insights, by September of 2021, crypto startups had raised over $15 billion in venture funding, which is 5 times more than last year’s data.
These Crypto Companies made their mark in November 2021
The month of November alone exceeded $3 billion in venture capital funding, with the largest crypto venture fund ever, worth $2.5 billion by the crypto-dominated investment firm, Paradigm. Furthermore, the Bitcoin mining infrastructure company, GRIID acquired the massive amount of $525 million from Blockchain.com, along with Gemini’s funding round raising $400 million, making the company’s valuation over $7 billion. The world’s largest crypto exchange’s sister company which is independently run on paper, Binance.US may also close a multi-million dollar funding round in the next couple of months. Binance CEO, Changpeng Zhao (CZ) confirmed market speculations in an interview with Bloomberg.
“Early-stage rounds (seed/Series A) dominate the dealmaking, capturing almost 80% of deals in 2021 YTD…Investors like Coinbase Ventures are also bursting onto the scene — the VC arm was by far the most active blockchain crypto investor with 24 deals in the quarter”, according to Anand Sanwal, CEO and co-founder of CB Insights.
Crypto Adoption is Now a Reality
Multi-Million Dollar funding rounds have become the new normal in crypto now. Last month, the FTX crypto exchange raised more than $400 million in a funding round with investments from 69 investors, making the meme-number lucky for the platform. This was followed by FTX’s former funding round in the month of July, closing at the extraordinary $900 million in Series B.
Crypto has made its mark in the financial markets, along with institutional adoption, governments across the globe are also realizing the growth potential of the decentralized industry and have begun incorporating it in the countries’ economies. El Salvador has continued to stay in the news, becoming one of the most popular countries after implementing the world’s first Bitcoin Legal Tender, despite the considerable backlash. However, it is now enjoying the fruit of its labor with exceptional financial success.Source