Over the past three months, the interest of market participants in projects from different categories has been changing.
Crypto and blockchain startups earned almost $ 900 million in venture capital investments in the third quarter of 2020. This conclusion was made by The Block analysts.
In total, 212 startups managed to attract investments in the third quarter of this year. The total amount of their financing amounted to $ 897.7 million. Analysts drew attention to the fact that most of the transactions were carried out by market participants in the early stages of startups’ development. For example, 60 projects received funding as part of the seed investment collection phase. The category took 12% of all funds attracted by crypto and blockchain startups for the indicated period of time.
In 59 cases, startup teams raised assets in the early stages of launch. The category took 30% of the total investment that crypto and blockchain projects received in the third quarter of 2020. At the same time, the average amount of funding for the direction was $ 7 million.
Market participants’ interest in the categories of crypto and blockchain startups varied during the last three months. For example, in July, more than other investments were attracted to projects that deal with the provision of custody of assets and brokerage.
The category of investments became the absolute leader in August. Also, analysts noted an increase in investor interest in the decentralized finance (DeFi) market in the last month of the summer.
In September, the volume of financing for projects focused on the development of instruments for the storage of assets, and the implementation of brokerage increased again. Investor interest in DeFi – on the contrary, showed negative dynamics.
Also, in the first month of autumn, the demand for funding for startups that are engaged in the creation of technical solutions for the security sector and projects focused on work in the field of banking and payments increased.