Since May 2014, over $100 billion has been raised for cryptocurrency startups, showcasing a rollercoaster ride of highs and lows amidst regulatory uncertainty and market volatility. Over the past four years, the industry has seen significant growth, with both the ceiling and floor being raised despite ongoing fluctuations.
According to data from TVL aggregator DefiLlama, as of June 16, 2024, the total funding for the cryptocurrency industry stands at $101.35 billion. In May 2014, just five years after the inception of Bitcoin and a year before Ethereum’s launch, the recorded funding for cryptocurrency startups was a modest $17.14 million.
Fast forward to May 2024, and the industry funding for the month reached $280.25 million, a substantial increase from a decade ago but still below the previous month’s figure of $777.11 million.
Cryptocurrency startup funding hit its peak in October 2021, with over $7 billion raised. The second-highest record was in February 2022, with $3.67 billion raised.
Recent research from 2023 indicates that nearly half of all cryptocurrency funding comes from investors in the United States. Other countries contributing to the funding include the United Kingdom (7.7%) and Singapore (5.7%), as per Q2 2023 data.
Notably, there have been several high-profile funding deals between late 2023 and the first half of 2024. Companies like Together.AI and cross-chain protocol Wormhole secured investments of $225 million each, while Totter and Eigenlayer raised $101 million and $100 million, respectively. Swan Bitcoin also raised $165 million, and Blockchain.com secured $110 million in funding.
In related news, Bloomberg analysts suggest that Spot Ethereum ETFs may begin trading by July 2, offering further opportunities for investment in the cryptocurrency market.