Circle IPO Looms as $6B Pours Into Crypto Startups in Shrinking Deal Market
Investor interest in crypto startups is regaining strength—though not in volume.
In the first quarter of 2025, venture capitalists poured $6 billion into the digital asset space, more than doubling last year’s Q1 total, even as the number of deals tumbled.
New data from PitchBook shows that only 405 crypto-related investments were made in Q1, down nearly 40% from the 670 recorded a year ago. Despite the slowdown in deal activity, capital commitments surged, driven by large bets on exchanges, asset managers, and infrastructure projects.
According to PitchBook analyst Robert Le, the market’s appetite remains firmly rooted in practical crypto applications. Nearly $2.6 billion went into financial service firms alone,…
