Key Takeaways
- Bitcoin startups raised nearly $1 billion between 2021 and 2023.
- Resilience shown in the Bitcoin industry with a 360% increase in Pre-Seed transactions.
- Bitcoin-native venture deals grew by 69.2% in 2023.
Bitcoin startups have experienced a significant influx of funding, with $301 million raised in the last year alone.
Trammell Venture Partners (TVP), based in Austin, Texas, conducted in-depth research into the Bitcoin-native startup ecosystem, revealing a large surge of funding, particularly at the Pre-Seed stage, with a 360% year-over-year increase in transaction count.
Resilience amidst a declining market
While the broader startup landscape saw a decline in activity, reaching a 10-year low in 2023, Bitcoin-native startups demonstrated growth, with a 69.2% increase year-over-year deals.
These early-stage startups collectively raised nearly $1 billion between 2021 and 2023, indicating significant interest and investment in the Bitcoin industry.
Venture capital trends and future outlook
Christopher Calicott, TVP’s managing director, emphasized the growing desire to build on Bitcoin, fueled by technical advancements and support infrastructure.
Despite a 35.3% decrease in broader crypto venture deal counts in 2023, Bitcoin-native venture deals grew by 69.2%.
Calicott highlighted the low allocation to Bitcoin-native venture capital relative to its market dominance but expressed optimism that this gap will narrow as more investors recognize the benefits of the expanding Bitcoin ecosystem.
