Global Venture Funding for Blockchain and Crypto Companies Hit Record $26.8B in 2022, But Declined in Later Quarters
According to CBinsights, blockchain and crypto companies experienced an all-time high in global venture funding of $26.8 billion in 2022, with a strong first half driving the increase. However, the latter half of the year faced three consecutive quarters of declining funding and deals due to the crypto winter and macroeconomic pressures. Nevertheless, blockchain venture funding grew 4% YoY. The average deal size for blockchain startups decreased by 24% YoY to $16.2 million, mainly due to a significant drop in mega-rounds of over $100 million. The number of blockchain unicorns stalled at 79, with only two new unicorns added in Q4’22. Web3 startups captured 56% of blockchain venture funding, up from 39% in the previous year. Furthermore, blockchain infrastructure and development funding had a record year, signaling investor confidence in blockchain’s future despite cryptocurrency volatility. However, venture funding for crypto exchanges and wallets decreased by 48% YoY, highlighting a shift in investor sentiment away from centralized exchanges.