Unveiling the Reality: The Underwhelming Crypto Funding in August

Crypto funding in August appeared to improve with $819 million invested across 91 companies, a 51% increase from July. However, this boost was largely due to two large funding rounds, and when compared to the same time last year, funding has declined by 53%. Venture capital investors have been less enthusiastic about the digital asset industry since Q1 2022, and funding in the space has dropped for five consecutive quarters. Despite the positive numbers in August, web3 startups would need to raise an additional $960 million in September to surpass second-quarter funding levels, which seems unlikely based on recent trends.