venturecapital

Over the last 3 months, crypto-focused VC money has started flowing into very specific verticals instead of broad L1 chains. According to recent market analyses, VCs now prefer projects tied to real users, real cash flow, or real-world integration.

🔥 Where VC Money Is Going Now

✔ Prediction markets, payments, and banking-rail infrastructure are getting increased attention

✔ RWA (Real World Assets) continues to climb as one of the hottest sectors

✔ DeFi infrastructure shows renewed funding interest

✔ Only a handful of AI-crypto projects secured major rounds recently

🧊 Where Funding Has Cooled Down

✖ Traditional Layer-1 blockchains (except a few strong L1 candidates)

✖ Early-stage “idea-only” projects

💰 Actual Funding Data (Latest Available)

Crypto VC funding reached ~$4.6B in Q3 2025, with the majority flowing into late-stage deals involving major firms like Revolut, Kraken, and Erebor.

Small early-stage rounds have slowed significantly.

Bitcoin-focused VC Ego Death Capital recently closed a $100M second fund, proving niche sectors like $BTC infra still attract serious checks.

🧭 The Big Picture

Venture funds aren’t exiting crypto — they’re simply demanding clearer business models, regulatory readiness, and real adoption.

The era of speculative chain launches is fading, and “real value + real usage” is now the primary filter.

#venturecapital #RWA #DeFiInfrastructure #BTCVSGOLD #USJobsData

Even seasoned crypto investors aren't immune to the bear market blues. Fenbushi Capital, one of the industry's oldest and most respected venture capital firms, recently disclosed a $5.14 million loss from selling off a portion of its crypto holdings.
Portfolio Purge:
According to a recent financial report, Fenbushi offloaded assets in two tranches:
January 2023: The firm sold an undisclosed amount of crypto, resulting in a $1.4 million loss.March 2023: A larger sale followed, leading to a more substantial $3.74 million loss.
Strategic Move or Distress Signal?
While the exact reasons behind the sale remain under wraps, several factors could be at play:
Bear Market Pressures: The prolonged crypto winter has put a dent in portfolio valuations across the board, and Fenbushi may be feeling the heat.Liquidity Concerns: Venture capital firms need cash on hand to fund new investments and cover operational expenses. Selling crypto holdings could be a way to shore up liquidity during lean times.Portfolio Rebalancing: Fenbushi may be strategically adjusting its holdings, taking profits on some assets while doubling down on others they believe in for the long term.
Industry Impact:
Fenbushi's losses serve as a stark reminder that even the savviest investors are navigating a challenging market. The news could further dampen sentiment in an already skittish market, potentially leading to further sell-offs.
The Bigger Picture:
Despite the recent losses, Fenbushi remains a major player in the crypto VC space. The firm has a long track record of successful investments and continues to deploy capital into promising blockchain startups.
Key Takeaway:
Fenbushi's experience underscores the inherent volatility of the crypto market. Even seasoned investors can experience losses, highlighting the importance of risk management, diversification, and a long-term perspective.
#venturecapital #cryptowinter #PortfolioManagement #TheMute