Crypto Fundraising of 2022 Already Outperforming All of 2021
According to new research, despite the prolonged bear market, the cryptocurrency industry has already raised $30.3 billion in funding, which is more than what would be raised in a full year of fundraising in 2021.
According to a report published on August 2 by the crypto analytics firm Messari and Dove Metrics, the data reveals that the $30.3 billion raised in centralized finance (CeFi), decentralized finance (DeFi), nonfungible tokens (NFTs), and infrastructure was accomplished through the completion of 1199 funding rounds in the first half of 2022.
The total amount of funds raised within six months has already surpassed the $30.2 billion raised in 1313 rounds throughout the entire year of 2021.
More than one-third of the total funds obtained were invested in the CeFi industry, which received capital of $10.2 billion. The infrastructure and non-financial technology sectors both attracted a significant amount of investment; however, the decentralized finance sector received only $1.8 billion in funding during the period. DeFi projects appear to have lagged.
“CeFI–> exchanges led the way here as well. CeFi brought in in $10.3B in the first six months of the year, with almost half of all funding rounds totaling more than $10M”
― Dunleavy, as quoted on Twitter by “dunleavy89,” on August 2, 2022
CeFI–> exchanges led the way here as well. CeFi brought in in $10.3B in the first six months of the year, with almost half of all funding rounds totaling more than $10M pic.twitter.com/i5nIENyMdD
— Dunleavy (@dunleavy89) August 2, 2022
Where Did Most of the Fundings Go?
CeFi directed most of its investments on cryptocurrency exchanges, resulting in a total funding amount of $3.2 billion. The businesses dealing in payment services, market makers, and savings and banking accounts were all quite close to being tied for the second position.
Gaming-related NFTs raised more than four times as much as any other NFT vertical, capturing the lion’s share of investment during the first half of the year in the Web3 and NFT sector, which brought in a total of $8.6 billion in capital during that period.
PWC’s most recent study on hedge funds, released in June, found that the percentage of hedge funds investing in digital assets has increased to 38 percent, from 21 percent in 2021.
According to John Garvey, chief of PWC’s global financial services practice, crypto is rapidly being used by hedge fund managers to gain an advantage over other investors.
“We are on the lookout for alpha. Everyone is always seeking for a way in… so how are you going to get ahead of the benchmarks? You are going to have to do something that is not only unique but also unconventional.