Crypto VC Takes a Joyride: $8.5B Spent Like It’s Going Out of Style!

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In a stunning twist of cosmic fate that even the most clueless of intergalactic hitchhikers could not have predicted, the world of crypto and blockchain venture capital has decided to rebound spectacularly in Q4 2025. Yes, you heard that right! Like a catapulting space whale, it shot up thanks to an influx of massive late-stage deals. According to a report by the ever-reliable Galaxy Digital, penned by the illustrious Alex Thorn, who apparently has a PhD in number crunching, a whopping $8.5 billion was flung across 425 deals this quarter-an increase so significant it makes one wonder if they accidentally added a few extra zeroes.

This astonishing figure marks the return of investment vigor not seen since the wild days of Q2 2022, although let’s be honest, it’s still a far cry from the glory days of 2021-2022 when unicorns roamed free and money rained from the heavens.

The Great Crypto VC Surge

Thorn observed that those oh-so-lucky later-stage companies snagged a dazzling 56% of all capital invested, while earlier-stage startups were left to squabble over the remaining 44%. It’s like a cosmic game of musical chairs, but with more suits and fewer chairs.

In an utterly predictable turn of events, eleven deals this quarter raised over $100 million each, collectively hoarding $7.3 billion-roughly the same amount the average person spends on coffee in a lifetime (or so it feels). The biggest haul included Revolut pulling in $3 billion, because why not? Touareg Group bagged a cool $1 billion, and Kraken, presumably tired of being the big fish in the small pond, took home $800 million.

Other noteworthy transactions included Ripple and Tempo, both at $500 million, and Erebor (yes, named after the dwarven kingdom, we presume) at $350 million. MegaHoot, Rain, and others simply joined the party, bringing us to a grand total of $20 billion invested into crypto and blockchain startups throughout 2025, which is more than double what happened last year. Who knew financial investment could be so dramatic?

Interestingly, the Trading/Exchange/Investing/Lending category remains the behemoth of venture capital, gobbling up over $5 billion, led by none other than our favorites, Revolut and Kraken. Meanwhile, stablecoins, AI, and blockchain infrastructure decided to join the fun, proving that there’s always room for more chaos in the universe.

Pre-seed deal counts are still chugging along healthily at 23% of total deals, suggesting that the entrepreneurial spirit is alive and well, or at least mildly caffeinated. Median pre-money valuations have climbed to $70 million, and the median deal size reached $4 million, which is nothing short of miraculous given the state of the universe.

The Global Crypto VC Circus

Geographically speaking, 55% of capital flowed into US-based companies, followed by the UK, which managed a respectable 33%, and Singapore and Hong Kong, the cute little sidekicks, at 2% and 1.7%, respectively. Deal counts followed a similar pattern, serving as a reminder that the US still loves to play the game of ‘who can spend the most.’

Fundraising for crypto-focused venture funds hit an eye-popping $1.98 billion across 11 funds in Q4, contributing to a grand total of $8.75 billion for the year-the largest since the halcyon days of 2022. Average fund size ballooned to $167 million, while the median sat comfortably at $46 million, like a cozy blanket on a chilly evening.

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2026-02-09 02:12