The latter half of 2022 unveiled a strikingly different narrative for the crypto industry compared to its 2021 glory days, characterized by sky-high valuations and colossal deals. In June, the total market capitalization of all cryptocurrencies plummeted by a staggering two-thirds, nosediving from its zenith of $3 trillion in November 2021 to a level below $1 trillion.
Excessive leverage and a dearth of liquidity within the crypto and blockchain sectors brewed a perfect storm, resulting in an alarming accumulation of loans to speculators, reminiscent of the 2008 subprime mortgage crisis. Ultimately, this highly leveraged environment triggered the historic downfall of several prominent crypto firms, including FTX, Alameda Research, Terra, Celsius, Voyager Digital, and Three Arrows Capital. These failures translated into the loss of tens of billions of dollars, affecting both retail and institutional participants, and underscored the imperative need for more stringent regulatory frameworks within the industry.
Furthermore, the prevailing macroeconomic landscape has presented its own set of challenges for the crypto and blockchain sectors. In response to the tightening of monetary and fiscal policies, many investors have displayed a diminished appetite for high-risk investment strategies. As per PitchBook’s Q4 2022 Crypto Report, VC activity in crypto dwindled to $2.5 billion—the lowest level of capital investment recorded since Q4 2020.
However, notwithstanding these setbacks, dedicated crypto enthusiasts, founders, and investors persist, many of them committed to the long-term pursuit of their cherished ideologies and technologies. In the following sections, we delve into the profiles of some of the leading investors in the blockchain and crypto realm, along with a glimpse of their recent ventures in this evolving macroeconomic climate.
Top blockchain and cryptocurrency investors by deal count
Coinbase Ventures
- HQ: San Francisco, CA
- Blockchain and crypto deals: 340
- Last deal date in crypto and blockchain: February 2023
Coinbase Ventures, established in 2018 by the renowned Coinbase cryptocurrency exchange, specializes exclusively in early-stage VC investments within the dynamic realm of blockchain and cryptocurrency. Their recent strategic investments encompass notable platforms like crypto investment powerhouse Alongside and the innovative NFT platform, Anima.
NGC Ventures
- HQ: Singapore
- Blockchain and crypto deals: 258
- Last deal date: February 2023
Founded in 2017, NGC Ventures serves as both an investor and incubator for promising blockchain and cryptocurrency projects worldwide. With an impressive $400 million in assets under management, NGC’s portfolio includes pioneering companies such as Parami Protocol and ReSource Finance, committed to harnessing blockchain’s potential for decentralization across domains like decentralized finance and computing.
AU21 Capital
- HQ: San Francisco, CA
- Blockchain and crypto deals: 257
- Last deal date in crypto and blockchain: December 2022
AU21 Capital, a venture capital firm headquartered in San Francisco, specializes in investments spanning seed, early-stage, and later-stage companies that push the boundaries of blockchain technology. Recent investments of note encompass next-gen blockchain platform ChainPort and the DeFi powerhouse, Vegaswap.
Digital Currency Group
- HQ: New York, NY
- Blockchain and crypto deals: 253
- Last deal date in crypto and blockchain: December 2022
Established in 2015, Digital Currency Group operates as a versatile VC firm, focusing on cryptocurrency, fintech, and blockchain enterprises. Their median investment round is $5 million, and they actively engage in seed-stage, early-stage VC, and later-stage VC investments. Recent ventures within their expansive portfolio include the virtual currency trading platform Genesis Global Trading and decentralized crypto loan developer AlloyX.
Shima Capital
- HQ: San Francisco, California
- Blockchain and crypto deals: 229
- Last deal date: February 2023
Founded in 2021, Shima Capital is a forward-thinking venture capital firm with a keen interest in early-stage cryptocurrency and blockchain startups. Notably, they participated in the seed round for the blockchain interoperability platform, Orb Labs, in February 2023.
Pantera Capital
- HQ: Menlo Park, CA
- Blockchain and crypto deals: 200
- Last deal date: January 2023
Founded in 2013, Pantera Capital operates as a hedge fund with a keen focus on blockchain-based ventures and various forms of crypto and digital currency. They primarily target early-stage VC and seed round investments, with a median investment round of $10 million. Recent highlights from their portfolio include investments in Sender Wallet and Jumbo Exchange.
LD Capital
- HQ: Beijing, China
- Blockchain and crypto deals: 197
- Last deal date in crypto or blockchain: September 2022
LD Capital specializes in seed, early-stage, and later-stage investments, primarily within the realms of blockchain securities, equity investment, and trading companies. Their recent strategic investments include companies like Metaverse Magna, a gaming platform, and Defy Trends, a crypto intelligence platform.
Fenbushi Capital
- HQ: Shanghai, China
- Blockchain and crypto deals: 188
- Last deal date in crypto or blockchain: January 2023
Founded in 2015, Fenbushi Capital is a respected VC firm with a distinct focus on blockchain-based companies. Their portfolio spans innovative ventures such as Fold, which pioneers new applications for Bitcoin, and Multiverse Labs, leveraging blockchain to enhance resource sharing and app integration.
Binance Labs
- HQ: Hong Kong, China
- Blockchain and crypto deals: 167
- Last deal date in crypto or blockchain: December 2022
Binance Labs operates as an accelerator with a mission to identify, invest in, and empower blockchain and cryptocurrency entrepreneurs and communities. They provide crucial funding to projects that contribute to the growth of the broader blockchain ecosystem. Recent investments by Binance Labs include the blockchain security platform GoPlus Security and the crypto hardware wallet NGRAVE.
Andreessen Horowitz
- HQ: Menlo Park, CA
- Blockchain and crypto deals: 166
- Last deal date in crypto or blockchain: February 2023
Established in 2009, Andreessen Horowitz is a versatile venture capital investment firm that actively invests across all stages and a wide spectrum of sectors, including fintech, blockchain, SaaS, and cybersecurity. Recent ventures in the crypto and blockchain domain include Ripple, a blockchain platform designed to facilitate cross-border money transfers, and web3 content platform Shibuya.
Polychain Capital
- HQ: San Francisco, California
- Blockchain and crypto deals: 164
- Last deal date in crypto or blockchain: January 2023
Founded in 2016, Polychain Capital is a forward-thinking venture capital firm based in San Francisco, California, with a focus on investments in blockchain and crypto technologies. Their recent investments include the De-Fi platform Finterest and the crypto trading platform Kollider.
GBV Capital
- HQ: Cayman Islands
- Blockchain and crypto deals: 163
- Last deal date in crypto or blockchain: February 2023
Established in 2020, GBV Capital, based in the Cayman Islands, prefers to invest in seed-stage, early-stage, and later-stage companies operating in the blockchain and web3 sectors. Notable recent investments encompass web3 digital marketplace Collector and crypto gaming platform TimeShuffle.
Signum Capital
- HQ: Singapore
- Blockchain and crypto deals: 162
- Last deal date in crypto or blockchain: February 2023
Founded by a group of passionate crypto enthusiasts in 2017, Signum Capital focuses its investments on companies in the Web3, blockchain, and decentralized finance sectors. Notably, they led the seed round for Vinci, the developer of an NFT-backed De-Fi protocol designed to enhance liquidity and hedge against volatility, in November 2022.