Crypto Venture Capital: How The United States Crushed The Competition In 2024
According to a recent report from Galaxy Digital, 46% of venture capital funds in crypto were invested in U.S.-based startups in the fourth quarter of 2024. This trend has occurred despite a often hostile regulatory environment, highlighting the resilience and appeal of American companies in the crypto sector. What will happen in 2025?
Crypto: The United States Dominates Venture Capital in 2024!
The report published on January 15, 2025, reveals that the United States not only dominated in terms of capital invested but also in the number of transactions, accounting for 36% of all venture capital transactions in the crypto field. Hong Kong and Singapore follow with 16% and 9% of transactions, respectively. Despite regulatory challenges, American companies continued to dominate the cryptocurrency sector in the fourth quarter of 2024.
Ryan McMillin, co-founder and Chief Investment Officer at Merkle Tree Capital, explained that this dominance is primarily due to the strength of the American financial market and its innovation sector. Additionally, he noted that the impending Trump administration, perceived as pro-crypto, could further increase venture capital activity in the sector.
An Explosion of Venture Capitalists in 2025 with the Trump Administration
Trump’s inauguration, scheduled for January 20, is anticipated with optimism by actors in the cryptocurrency market. Many pro-crypto candidates also won seats in Congress, which could make the American administration the most crypto-friendly in history. McMillin predicts that venture capital activity in crypto could explode this year thanks to this potentially favorable administration.
Alex Thorn, head of research at Galaxy Digital, and Gabe Parker, research analyst, emphasized that the upcoming presidential administration and Congress should be the most pro-crypto in history, and they expect American dominance to increase.
In summary, the massive investment of venture capital funds in American cryptocurrency startups in the fourth quarter of 2024 demonstrates the robustness and ongoing appeal of the American market despite regulatory challenges. With the arrival of a potentially favorable administration for cryptos, the year 2025 could see a significant increase in investments and innovation in this dynamic sector.
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Le monde évolue et l'adaptation est la meilleure arme pour survivre dans cet univers ondoyant. Community manager crypto à la base, je m'intéresse à tout ce qui touche de près ou de loin à la blockchain et ses dérivés. Dans l'optique de partager mon expérience et de faire connaître un domaine qui me passionne, rien de mieux que de rédiger des articles informatifs et décontractés à la fois.
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