Crypto VC funding fell to $659m across April 63 deals, a 74% drop from March that drags monthly flows back to 2024 lows as DeFi and AI continue to attract capital.
Summary
- Cointelegraph data shows crypto venture funding fell to $659 million across 63 deals in April, down 74% from $2.6 billion and 84 rounds in March.
- Since reaching $3.84 billion in October 2025, monthly crypto VC flows have declined as 2026 funding is still around $5.64 billion.
- Sector activity led by DeFi with 12 deals, while blockchain services and AI-connected crypto projects each saw 8 rounds; The VC arm of market maker GSR was the most active investor, with Tether, Animoca Brands, and Coinbase Ventures close behind.
The crypto venture market entered a pocket of fresh air in April, when Cointelegraph reported that startups in this sector raised only $659 million in 63 rounds of funding.
April’s financial decline brings crypto VC back to 2024 levels
That marks a 74% month-over-month decline from March’s 2.6 billion contracts and 84 deals, returning monthly prices to their lowest level since 2024 and underscoring how quickly appetite has waned after a burst of optimism in early 2026.
According to Cointelegraph statistics, the total amount of crypto VC so far in 2026 is about $5.64 billion, still large but below the level mentioned in October 2025, when the funding reached about $3.84 billion in one month.
From October 2025 to a slow motion reset
Since that October 2025 high, monthly currency rates have been decreasing in line with token prices.
Industry trackers cited by Cointelegraph say the global crypto market capitalization has fallen nearly 37% over the same period, depressing valuations and leaving many late-stage investors with signs of nursing.
February has already provided a warning: Phemex saw roughly $866 million raised in 62 deals that month, down 46% from January, with DeFi and AI projects still attracting big money but with smaller ticket sizes.
April’s figure of $659 million suggests that the decline is now deep in a complete reset, with few major rounds of growth and a high bar for the launch of new tokens after data showed about 85% of 2025 issuances are trading below their price.
Where the money still goes—and who writes the checks
Even in a quiet month, some pockets of work stood out.
DeFi deals are led by 12 deals, followed by 8 in blockchain infrastructure and services and another 8 in crypto projects close to AI, showing continued interest in both the fundamentals of finance and tools for the emerging “agent” economy.
On the investor side, the breakdown of Cointelegraph highlights the arm of the market maker GSR as the most active supporter of April, participating in four different promotions that include trading infrastructure and financial instruments.
Heavyweights like Tether, Animoca, and Coinbase Ventures were also present, each joining three deals, often in small, early-stage rounds rather than exploring the nine-figure growth that defined the height of the last round.
For founders, the message is clear: the money is still there, but investors are more selective and more sensitive to price, with an emphasis on products that can survive soft market conditions and are connected to real consumption rather than purely narrative trading.
In the broader market, a slow VC tape often means new tokens hitting the mark—and more scrutiny on whether existing projects can deliver on their own without relying on another wave of easy money.
