Galaxy Digital

Galaxy Digital: Investment in the crypto industry in Q3 was $2.4 billion, a 20% decrease from the previous quarter

ChainCatcher news, according to CoinDesk, Galaxy Digital's latest report shows that global cryptocurrency startup investments in the third quarter of 2024 amounted to $2.4 billion, a 20% decrease from the previous quarter, with the number of investment deals down by 17%. Alex Thorn, head of research at Galaxy Digital, stated that the high interest rate environment, the launch of spot crypto ETFs, and the shadow of the industry's collapse in 2022 are still affecting institutional investors' decisions.In the first three quarters of this year, the crypto industry has accumulated $8 billion in investments, and the total financing for the year is expected to be roughly on par with 2023, far below the levels of over $30 billion per year in 2021 and 2022. Nevertheless, Thorn pointed out that the ETF-driven market rally is intensifying competition among venture capital firms, benefiting entrepreneurs in obtaining better valuation conditions.The report indicates that 85% of the funds are directed towards early-stage projects, with the exchange, lending, and trading platform sectors attracting the most investment, approximately $460 million. The United States remains the primary source of investment, accounting for 56% of the total investment amount. Projects that combine crypto and artificial intelligence received about $270 million in investments, a fivefold increase from the previous quarter.
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