Between April and June, venture investments in crypto startups amounted to $6.76 billion, down 31% compared to the first quarter of the year ($9.85 billion), Bloomberg has reported citing data from research firm PitchBook.
Robert Le, fintech analyst at PitchBook, has commented:
"Even though the crypto market started slowing down in November, December, those deals were already in discussion, so they closed in the first quarter."
According to the specialist, the second quarter statistics give a more accurate picture of the industry's situation. Now there is more hesitation to do deals, he has added.
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Bloomberg believes this is due to the collapse of the Terra ecosystem, serious problems at Celsius and Babel Finance, as well as waves of job cuts at exchanges Coinbase, Gemini and Crypto.com.
David Pakman, managing partner at CoinFund, has said many deals fell through in recent weeks, with investors often withdrawing buyout offers.