Crypto Venture Capital Fundraising Jumped Over 50% in March Amid Rally

Most capital went into infrastructure and decentralized finance (DeFi) projects, data by RootData shows.

AccessTimeIconApr 2, 2024 at 6:42 p.m. UTC
Updated Apr 2, 2024 at 6:45 p.m. UTC
  • Venture capitalists invested over 52% into crypto projects in March versus prior month.
  • Crypto projects, specifically in the United States, received more than $1.16 billion last month, the second-highest amount in the past 12 months.
  • The majority of capital went into projects related to crypto infrastructure and decentralized finance (DeFi).

Venture capitalists increased their investments into crypto projects by over 52% in March, spurred by a new all-time high for bitcoin and continued success from the spot bitcoin exchange-traded funds (ETFs).

Investors allocated more than $1.16 billion into the industry in March, the second-highest amount in the past 12 months, according to data released by RootData.

The majority of the capital went into projects working on crypto infrastructure and decentralized finance (DeFi) projects, especially those built on the Ethereum blockchain, the data shows. Other popular blockchains included Polygon and BNB Chain.

The surge in fundraising comes as bitcoin reached a new all-time high of $73,798 on March 14, which experts say was accelerated by the better-than-expected inflows into the newly launched spot bitcoin ETFs.

The ten ETFs, which include issuers like BlackRock and Fidelity, spurred renewed faith in the industry as TradFi leaders once again voiced their interest in digital assets.

More than half of the investments in March were between $1 million and $5 million and were used as seed capital, while allocations of over $20 million made up roughly 10% of all investments.

Roughly a third of the capital was allocated to projects located in the United States, according to RootData.

Edited by Aoyon Ashraf.


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Helene Braun

Helene is a New York-based reporter covering Wall Street, the rise of the spot bitcoin ETFs and crypto exchanges. She is also the co-host of CoinDesk's Markets Daily show. Helene is a graduate of New York University's business and economic reporting program and has appeared on CBS News, YahooFinance and Nasdaq TradeTalks. She holds BTC and ETH.