According to a new report, crypto startups in the United States occupied the top position in attracting venture capital in the second quarter of 2023.
Galaxy Digital, a crypto investment firm, has recently published a report on the venture capital (VC) funding scenario in the global crypto space. The report has revealed that crypto startups in the United States have cracked the maximum number of VC deals. US crypto thus received the highest funding from VCs in the second quarter of 2023.
The United Kingdom and Singapore followed the US in the rankings. According to the data, US-based startups were involved in 43% of the VC deals, receiving 45% of the total invested capital.
“While capital invested has not yet found a clear bottom, deal activity increased slightly in Q2, with 456 deals completed vs. 439 deals in Q1 2023. The slight gains were driven by an increase in Series A deals to 174 vs. 154 in Q1,” said Galaxy Digital’s report.
The report mentioned how VC funding had decreased in Q2 of 2023, and the slowdown still hadn’t bottomed out. It noted that companies building various based products had more deals. On the other hand, ‘trading category’ companies received more capital.
In its conclusion, the report noted how VC funding had become more resilient than the previous crypto bear market of 2017-2020. It indicated a growth in the crypto startup ecosystem, it said. The United States has been facing an uncertain regulatory regime for crypto currently. But its crypto ecosystem continues to grow vibrantly, as the report suggests.