Cryptocurrency Startups See Decline in February Venture Capital Funding

In February, cryptocurrency startups secured approximately $883 million in venture capital, marking a 13% decrease compared to over $1 billion in the same period last year. According to Odaily, DWF Labs Managing Partner Andrei Grachev noted that investors are now prioritizing revenue, user base, and the survival capabilities of projects during bear markets, leading to more cautious investment strategies. Grachev highlighted that by 2026, venture capital will focus on stablecoins, payment infrastructure, AI agents, and compliance and fund management tools for institutions. Significant funding rounds in February included Flying Tulip raising $206 million through token sales, digital goods platform Whop receiving a $200 million strategic investment from Tether, and U.S. digital asset bank Anchorage Digital obtaining a $100 million strategic equity investment from Tether.