Venture Capital Report: Q3 2022

October 2022 - Cointelegraph Research

Public Access
Keywords :
venture capital, blockchain, vc, cryptocurrency, vc report, cointelegraph research, venture capital report,

Report Highlights:

The first quarter of 2022 continued the tremendous run-up in the crypto market from 2021. The second quarter of 2022 saw a stable overall level of investment, but many signs pointed to a decrease in venture capital inflows were on the way. The third quarter’s results confirmed this, as there was a massive drop of over 66% in capital inflows, dropping from over $14 billion in Q2 to just under $5 billion in Q3. It should be no surprise, as cryptocurrency and the blockchain space do not exist in a vacuum and are still subject to the same market conditions as traditional finance.

It’s true that all markets are down. However, there are signs of life in the crypto industry. But there are positive signals from different indicators in the crypto industry, which may perhaps not mark the return of a bull run but may flash that a local bottom is in. For VC funding, this may be seen in the fact that September saw $1.64 billion of capital inflows from August’s potential local bottom of $1.36 billion. One month is not a trend, but a 20.6% increase is not insignificant, and as the rest of this report shows, there is still building going on in the bear market in many surprising ways.