Web3 Startups Pull in $9.6 Billion in Venture Capital Funding

Outlier Ventures published a report recently, stating that Web3 startups raked in as much as $9.6 billion in venture capital funding. This was for the second quarter of 2025, and it marked the second-highest quarterly total on record. It is quite significant considering that the number of deals saw a notable drop to a multi-year low.

Web3 Funding: Only 306 Deals For Q2 2025

According to the Outlier Ventures report, these startups disclosed only 306 deals during Q2. In the last two years, this is the fewest that the industry has recorded. Another notable scenario is the increase in median deal sizes across all stages, a move that signals a strategic pivot toward higher conviction, infrastructure-focused bets.

Based on the insight gathered from the report, the market is gradually coming into maturity. Market analysts and watchers have caught sight of a trend that involves investors favoring fewer, larger rounds for foundational projects. They are prioritizing them over broad exposure to early-stage speculation. 

Crypto Infrastructure Startups Pull in $112 Million 

On the other hand, there was a sharp rebound in Series A funding. For context, the median Series A round climbed to $17.6 million across 27 deals. 

This summed up to $420 million, which is the highest that has been recorded since early 2022. While seed rounds bounced back with a $6.6 million median, pre-seed held steady at $2.35 million. Then there were digital asset infrastructure startups with a median round of $112 million.

Mining and Validation followed closely at $83 million, and Compute Networks at $70 million. These performances show that the aforementioned sectors received concentrated interest from funds that prioritize long-term scalability and backbone technologies. 

This includes validator networks, rollup layers, and compute primitives for AI-aligned consensus models.

Crypto Market Sees A Decline; BTC Price Goes Below $110,000

Meanwhile, there have been some fluctuations in the broader crypto market as prices of assets plummet. 

From hitting an All-time High (ATH) of over $123,000, Bitcoin (BTC) price has now dropped below $110,000, underscoring the bearish outlook of the market. Per CoinMarketCap data, BTC price is currently at $108,414.74, corresponding with a 5.5% dip over the last 7 days.

It was hardly surprising when a Bitcoin whale pivoted to acquiring a large Ethereum (ETH) bag recently. Generally, this drop in value has sparked conversations about the coin’s long-term potential. However, it is worth noting that  BTC has broken multiple records in this year alone.