Crypto VC Funding Soars 40%, Driven by US Firms’ Institutional Confidence

The cryptocurrency industry saw a significant surge in venture capital funding during Q1 2025, with US-led investment reaching a remarkable $4.9 billion. This marked a 40% increase from the previous quarter and signals a shift towards more mature investment strategies by institutions. Key players like Paradigm and Dragonfly Capital are driving this trend, focusing on Layer 1 blockchain projects and DeFi protocols. Binance’s major investment of $2 billion was a notable highlight, reflecting growing institutional confidence in later-stage funding rounds.