Crypto Venture Capital Market Rebound Extends Into Second Quarter: Galaxy

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Will Canny is CoinDesk's finance reporter.

The crypto venture capital market rebound seen in the first quarter appears to be continuing, the report said.

Galaxy said allocators may be getting ready to return to the market, which could lead to an increase in venture capital activity in the second half. Still, “data still seems slightly less robust than the prevailing sentiment,” analysts Alex Thorn and Gabe Parker wrote in a Tuesday report. The median deal size rose slightly to $3.2 million, but “median pre-money valuation surged dramatically to near all-time highs” of $37 million, the note observed, suggesting that the resurgence of the cryptocurrency market in recent quarters is leading to “significant competition and fear of missing out among investors.

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Galaxy Digital says crypto venture capital sentiment continues to improve despite market lullWeb3, Layer 1s and Bitcoin Layer 2s were the most notable investment categories for the quarter, according to Galaxy’s analysts.
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