A new study by Chainplay and Storible highlights a troubling trend in the crypto startup sector: nearly half of venture-capital backed projects have failed. This alarming statistic reflects the high failure rates among early stage ventures, with Polychain Capital and Yzi Labs, formerly Binance Labs, recording particularly high failure rates. The study reveals that smaller projects face even higher challenges, with a staggering 33% failure rate for those receiving funding under $5 million. Notably, significant initial capital appears to play a crucial role in project success; larger ventures are more likely to thrive. This suggests the need for greater focus on financial stability and growth strategies during the early stages of development.