CandleFocus

Crypto funding rounds broke $2B in October, led by Animoca Brands

Author: Content Editor
In October, funding for VC-backed crypto projects increased by 263%, with $2 billion raised in total. This comes after a slowdown in September, which saw only $672 million in deals. The funding level in October was the highest since September 2022, but still far from the peak in April 2022. VC funding for crypto projects is cyclical and often depends on ETH-denominated treasuries. In the year to date, over $11 billion has been raised in funding, showcasing a recovery after a dry period in 2023. The focus of VC investments has shifted to utility projects and infrastructure, rather than meme tokens. Animoca Brands was a major participant in the October deals, and the majority of funding went to seed rounds and undisclosed rounds for established companies. Overall, crypto VC funding has slowed down in the face of a global decline in VC projects. Large-scale projects are becoming rarer, and market leaders are testing smaller rounds for up and coming projects. The L2 hype was prominent in funding discussions, but not all chains have been successful in attracting traffic and liquidity. Successful projects often have a strong presence on Telegram and social media.

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