Decline in Crypto Funding
According to PitchBook, crypto funding saw a significant drop of over 60% in Q3 2023 compared to the same period in 2022. This decline is indicative of a more cautious investment sentiment within the crypto industry.
Crypto Exchange Investment Activity
Coinbase Ventures, the investment arm of cryptocurrency exchange Coinbase, decreased its funding deals by 64.5% in Q3 2023 compared to the previous year. Similarly, Kraken Ventures also reduced its support for startups, while Binance Labs increased its investment activity by 6% during the same period.
Shifting Investor Sentiment
PitchBook analyst Robert Le attributes the decline in funding to a more cautious approach among investors who are prioritizing their core business. Coinbase clarified that it has not halted support for crypto startups but is adopting a targeted approach to fund overseas projects.
Hot Take: Shifting Investment Landscape
The decrease in crypto funding reflects a more risk-averse attitude among investors, leading to changes in investment strategies for major crypto exchanges. As regulatory uncertainty persists, the shifting landscape may impact the development of the U.S. crypto market and drive tech experts towards overseas opportunities.
By
By
By
By
By