Investors invested $3,67 billion in crypto startups in June

This figure is 60% more than for the same period in 2021

04.07.2022 - 17:00

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What’s new? In June, investors contributed $3,67 billion to cryptocurrency and Web 3.0 projects. According to a report by analyst Colin Wu, this figure is 60% more than the same period in 2021 ($2,3 billion). However, compared to May 2022 ($4,45 billion), the volume of investments decreased by 18% — in June, venture capitalists invested in 191 crypto projects, in May, there were 225.

Colin Wu's report

More on the report. DeFi, CeFi and NFT/GameFi were the most frequently invested in — each accounting for about 20% of all investments.

Investment distribution chart

It is noted that the sector of centralized finance (CeFi) attracted the most investments. The analyst attributed this to the growing number of companies that raised debt to avoid liquidation. Thus, on June 21, the exchange FTX gave the platform BlockFi $250 million. The companies later reached an agreement under which FTX would lend another $400 million to the platform with an option to buy it back at a price of up to $240 million.

In decentralized finance (DeFi), Colin Wu singled out the companies that have raised the most money from funding rounds. Leaders were Capricorn, an automated market maker (AMM), and Unizen, an ecosystem for trading between exchanges, both of which raised $200 million.

Top 10 funding rounds in June 2022

Morgan Stanley analysts previously said that venture capital investment in cryptocurrency and Web 3.0 startups could decline by 50 percent by the end of 2022. The prediction is based on the assumption that the digital asset market is entering a prolonged bear cycle that could last until at least 2023. Morgan Stanley added that “the era of easy money is over.”

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