Crypto VC Deals Shift From DeFi to NFTsDec 9, 2021
VC activity has surged as crypto went mainstream this year. Crypto project investments saw a major uptick in March 2021, dipped in summer months, and rebounded up to about 140 deals per month, according to Footprint Analytics.
Over the course of 2021, the makeup of projects getting funding has also transformed. In Q1’21, DeFi was the largest category for investment. More recently, NFT-related projects are the largest slice of deals. (Note: NFTs and Web3 have similar sub-categories like Gaming and Music).
This comes as the dawn of the Metaverse takes the world by storm. Axie Infinity also made strides in 2021, acting as a pioneer for play-to-earn gaming. It comes as no surprise that others are trying to replicate its success and that investors are hungry to capitalize on these opportunities.