tl;dr
Venture capital funding for crypto startups in Q2 totaled $4.5 billion, a 22% decline from Q1's nearly $6 billion but double the amount invested in the same quarter last year. Monthly funding fluctuated from $1.29 billion in April, down to $624 million in May, then rebounded to $2.5 billion in June,...
Venture capital funding directed toward crypto startups totaled $4.5 billion during the second quarter, marking a 22% decline compared to the previous three months. DefiLlama data reveals monthly funding flows of approximately $1.29 billion in April, $624 million in May, and a significant rebound to $2.5 billion in June. June’s funding was over four times larger than May’s and ranked as the second-largest monthly investment in 2025, just behind March’s $3.5 billion surge driven by Binance’s $2 billion MGX investment.
Despite this late-quarter recovery, the total for Q2 fell short of the nearly $6 billion invested between January and March. However, the $4.5 billion still represents double the venture capital invested in the same quarter last year. Large funding rounds remained selective, with Twenty One Capital securing $585 million, the largest round of the quarter. Eigen Labs also raised $70 million from Andreessen Horowitz’s a16z, which acquired additional EIGEN tokens. Other notable transactions included Hypernative’s $40 million round and Symbiotic’s $29 million.
The number of deals dipped to multi-year lows in May, with just 62 rounds completed; nonetheless, the median round size stayed above $10 million. This trend suggests that investors focused on supporting later-stage ventures and infrastructure projects. DeFi infrastructure, restaking, and AI-linked middleware attracted the largest investments, reflecting similar trends in public markets.
Geographically, North American companies dominated funding rounds, especially in larger Series B and later-stage deals. Meanwhile, seed-stage token-focused deals saw increased activity in Asia and the Middle East. Although funding slowed in Q2, the year-to-date total of roughly $10.3 billion already surpasses the entire $9.6 billion invested in crypto startups throughout 2024, underscoring growing investor interest despite market fluctuations.