Original title: " I Analyzed 680 Crypto Funding Rounds to Learn Where Investors Put Their Money "
Author: Ren & Heinrich
Original compilation: ChinaDeFi
This post describes the results of my analysis of 680 crypto rounds. The research findings show current trends and can provide a basis for making predictions about future developments.
Source: https://defillama.com/raises
data set
All data comes from DefiLlama. Their full dataset covers the past 5 years of data. To reduce the workload, I only analyzed the data available for 2022.
An Overview of All Cryptocurrency Funding Rounds in 2022
The chart below shows funding across all cryptocurrencies this year.
The yellow histogram shows the project funding amount, while the blue line shows the total amount raised each month. As the chart shows, crypto projects raised more funds in the first half of 2022.
The table below shows the phases in which each project was funded.
It turns out that a large percentage of projects raise funds at an early stage (Pre-Seed, Seed). In contrast, relatively few people have received funding at later stages (Series A and B).
Next, let's look at the various categories and use cases.
From a full-year perspective, the following three categories are the most popular among investors:
DeFi
Infrastructure (for Web3)
NFT and related projects
Now take a look at the amount invested in each sector (in dollars).
The following areas will see the highest investment in 2022:
infrastructure
DeFi
CeFi
Crypto Financing: Category Analysis
The analysis of the individual categories leads to the following conclusions:
The sheer number of infrastructure projects being launched and the inflow of capital into the sector means the industry still needs to lay the groundwork. A number of projects aim to improve the integration of cryptographic applications with existing solutions and processes. In my opinion, this is a sign of healthy growth for the industry as a whole.
The success of DeFi will continue. Decentralized financial solutions have become one of the main uses of cryptocurrencies. Investors still seem to be able to see great potential.
Despite LUNA, FTX, and other disasters, centralized solutions will remain a vital part of cryptocurrencies for the foreseeable future. At least, the high financing figures of CeFi and CEX show this.
In the second half of 2022, in terms of the number of crypto projects raising funds, games, NFT and related fields, and security fields, these three will grow the most significantly. The total amount of funds raised in these areas is also relatively high.
Next, we take a look at the top investors leading cryptocurrency funding rounds in 2022.
The graph above shows the number of projects (turquoise dots) and the amount invested by top investors in crypto projects (yellow bars).
Let me explain two points first:
The investor mentioned now is the lead investor, and usually a group of investors will participate in the financing round. Funding amount refers to the total amount invested by a group of investors including the lead investor. For projects that did not specify a lead investor, funding rounds are not included in the chart.
Funding data for Binance Labs is incomplete. The actual total is much higher. This is also because some projects do not state the total amount raised.
The most frequently invested categories by top investors:
DeFi ( 31)
Infrastructure ( 24)
NFT and related fields( 13)
wallet( 9)
security( 7)
DEX ( 7)
The Final Word on This Crypto Funding Round Analysis
In 2022, there will be significantly less money flowing into the cryptocurrency space compared to the previous year. This is mainly due to the ongoing bear market, as well as the impact of the general economic downturn.
Even though the golden age of crypto financing is temporarily over, analysis shows that the industry as a whole is still growing strongly.
prospect
In 2023 and beyond, we will see:
Better Web3 infrastructure, including scaling solutions, friendlier development environment, improved user experience and increased efficiency of dApps;
More cross-chain, security and privacy solutions;
a more diverse ecosystem;
More integration of existing technologies and everyday life for Web3;
More agencies are joining.
