- Crypto business funding decreased from $8.8B in Q1 to $6.2B in Q2 and $3.4B in Q3.
- Yuga Labs, Polygon, and ConsenSys got $450 million in funding early this year.
- USDC issuer Circle, bankrupt FTX exchange, and its US subsidiary got $400 million.
The international entrepreneurial magazine Fortune recently counted the top crypto projects that received some of the highest funding in 2022. The report first captured how major investors gradually cut their bets on the Web3 businesses as the crypto winter set in.
According to the study, global financing for crypto businesses decreased from $8.8 billion in the first quarter of 2022 to $6.2 billion in the second quarter to about $3.4 billion in the third quarter. Below are some of the firms that received the topmost funding.
Polygon ($450 million): In February, Polygon raised about $450 million through a private sale of its native MATIC token in a funding round led by Sequoia Capital India with participation from SoftBank Vision Fund 2, Galaxy Digital, Galaxy Interactive, Tiger Global, Republic Capital, and prominent investors like Alan Howard (co-founder, Brevan Howard).
Polygon is a Layer-2 blockchain platform based on Ethereum to assist in the scaling of the ecosystem for applications ranging from gaming to DeFi.
Yuga Labs ($450 million): Yuga Labs is behind the famous Bored Ape Yacht Club. It raised $450 million in a funding round led by Andreessen Horowitz while it began a metaverse project. Other investors included Animoca Brands, The Sandbox subsidiary, and the now-defunct FTX crypto exchange.
ConsenSys ($450 million): ConsenSys reported in March that ParaFi Capital led a $450 million Series D fundraising round, valuing the firm at $7 billion. ConsenSys, led by Ethereum co-founder Joe Lubin, creates tools for the Ethereum ecosystem, such as the DeFi wallet MetaMask, which has over 30 million monthly active users.
Other notable Web3 firms on the list include the USDC issuer, Circle, the now-bankrupt FTX exchange, its US subsidiary, NEAR Protocol, and Mysten Labs.