Cryptocurrency and blockchain venture capital rebounded sharply in Q4 2025, driven primarily by late-stage large deals. Venture capitalists invested $8.5 billion in 425 deals during the quarter, representing an 84% increase in invested capital and a 2.6% increase in the number of deals compared to Q3 2025, according to a Galaxy Digital report written by Alex Thorne, head of enterprise-wide research.
This would be the strongest quarterly investment in the sector since Q2 2022, although the number of deals remains well below 2021-2022 levels.
Cryptocurrency VC surge in the fourth quarter
Thorne reported that late-stage companies accounted for 56% of total invested capital, while early-stage startups accounted for the remaining 44%, a proportion unchanged from the previous quarter.
Eleven deals in the fourth quarter each raised more than $100 million, totaling $7.3 billion, or about 85% of the quarter’s total. The largest raises include $3 billion for Revolut, $1 billion for Touareg Group, and $800 million for Kraken.
Other notable deals included Ripple and Tempo for $500 million each, Erebor for $350 million, MegaHoot for $300 million, Rain for $250 million, EXUGlobal and TradeAlgo for $120 million each, and RedotPay for $107 million. Throughout 2025, venture capitalists invested a total of $20 billion in cryptocurrency and blockchain startups through 1,660 deals, the largest annual investment since 2022 and more than double the 2023 total.
The trading/exchange/investment/lending category remained the largest source of venture capital, with over $5 billion led by Revolut and Kraken, while sectors such as stablecoins, AI and blockchain infrastructure also attracted notable investments.
Pre-seed deal volume remains healthy at 23% of total deals, meaning entrepreneurial activity continues, while the share of late-stage deals is steadily increasing as the sector matures. The median pre-money valuation rose to $70 million during the quarter, and the median deal size reached $4 million. Valuation data exists for only 10% of deals and is skewed toward larger, later-stage companies.
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Global Cryptocurrency VC
Geographically, 55% of capital went to companies headquartered in the US, followed by the UK at 33%, Singapore at 2% and Hong Kong at 1.7%. A similar pattern was seen across deal counts, with 43% completed in US companies, 6% in the UK and 4% in Hong Kong.
Cryptocurrency-focused venture fund fundraising in the fourth quarter reached $1.98 billion across 11 funds, bringing the total for the year to $8.75 billion, the largest since 2022. The average fund size increased to $167 million, with a median value of $46 million.
