In the last 6 months of 2022, about 1120 announcements for Attracting capital in the field of crypto It was published that in total, the capital that was attracted was more than 28.8 billion! In this article, report Attracting digital currency capital We will review the first half of 2022 published by Coin98 and take a look at the trend of this market compared to last year. Stay with the country of blockchain.
A look at the digital currency fundraising market in 2022 (first half of the year)
In the first half of this year, 1,120 announcements were published to attract capital; That is, their number is 186 on average per month. This number increased to its highest value of 219 cases between January and April (December 1400 to April 1401) and gradually decreased in May and June (May to June 1401). The diagram below shows Total value of investment At The first three months of 2022 It increased from $5.3 billion in January to $6.8 billion in April; Then it gradually decreased and reached $3.6 billion in June.
Despite the increasing trend in the number of attracted cases, the amount of the total value of the attracted capital has been decreasing, which indicates its correlation with the price of Bitcoin and the total value of the crypto market. However, the number Fund raising announcements In the first half of last year, there were 615 cases, which has doubled compared to the first season of 2021. also The total value of investment in 2022 It has also been about 3 times (11 billion dollars).
The role of incentive programs in attracting capital
Various projects usually use incentive programs such as airdrops to motivate app creators and users. This year, the number of these programs was less than in the second half of last year; But again, the numbers are impressive. In the following, we compare the incentive programs of the first half of 2022 and the second half of 2021:
- In the first half of 2021, there were 16 incentive plans; While the number of these projects decreased to 14 this year.
- The capital spent on incentive plans in the second half of 2021 was $9.6 billion; While this amount was only 4.1 billion in the last 6 months.
- Among the biggest incentive plans, we can mention the Kava projects with a value of 750 million dollars and Flow with a value of 725 million dollars.
- Most notifications Fundraising And incentive schemes in March 2022 (March 1400 and April 1401) belong to Kava, IoTeX, Phantom, Akala and Avalanche projects. The plan announced by Avalanche in March is the network’s third incentive to bootstrap its ecosystem.
- Due to the bear market situation, the number as well as the total value of incentive plans have suddenly dropped after March; Therefore, it can be concluded that the use of incentive policies to create motivation among creators and users has not been efficient.
Considering the significant amount of capital spent on these activities, the system of encouraging investors was not as effective as before. It can be predicted that in the second half of 2022, the amount of these incentive plans will decrease; Because their impact has not been good enough.
Investigating the capital market based on different segments
The amount of capital attracted in different crypto sectors It is shown in the diagram below. In the following, we will examine each area.
Investing in Centralized Finance (Cefi)
A number of 164 investment cases were recorded in the Cefi field in the first half of 2022 The total value of these investments It is equal to 8.6 billion dollars. One of these investments was worth more than $1 billion, and 25 others were worth more than $100 billion.
The companies that allocated the largest amount of funds for investment to Cefi (concentrated finance) are as follows:
- Citadel Securities worth $1.15 billion.
- Robin Hood worth $600 million.
- FireBlock with a value of 550 million dollars.
- Circle worth 400 million dollars.
- FTX and FTX US with a value of 400 million dollars each.
All the mentioned cases were related to the last stages of investment or after the initial public offering (IPO).
The amount of capital attraction in the field of centralized finance It was also affected by this year’s bear market. Although the number of transactions was gradually increasing, their value in the last 5 months was much lower than in the first month.
To conclude, it should be said that the number and value of investment made in Cefi has been growing. Also, in recent months, the number of contracts with a value of more than 100 million dollars has increased. It can be said that this area has attracted a lot of attention from big investors; Because nearly 30% of the total crypto investment was related to Cefi.
Investing in DeFi
In the last 6 months, the capital attracted in the field of DeFi was 2.4 billion dollars, which is 9% of the total market. 20% of the total investment in the market, i.e. 229 cases, are also related to this field; So it can be concluded that DiFi has attracted less attention and capital and less than 10% of Total market value It belongs to this area.
Most of the contracts for Attracting capital in the field of DeFi They were not worth much; There were only four that were worth more than 100 million dollars. These contracts belonged to Unizen, Capricorn, Rain and Lithosphere Network companies. 46 out of 229 contracts had a value of more than 10 million dollars. Compared to the second half of 2021 Fundraising It is much less in this area.
While the number of contracts in the field of DeFi decreased slightly in the first 6 months of 2022, their value increased. How many, of course Big investment In May and June (May and June 1401) there was in this field, which caused the growth of the average monthly value.
In general, DeFi receives less attention and capital from venture capitalists. On average, about 10 million dollars of capital was attracted in the Defi sector, which is much less than the general market (about 25 million dollars) and the Cefi sector (about 50 million dollars).
Investing in layer one, layer two and other infrastructure blockchains
In the first 6 months of last year, The total amount of investment In this area, it was 11 billion dollars, which is about 40% of the total market value. The infrastructure sector was able to attract the most attention and capital from investors with 276 contracts (25% of all contracts). 33 out of 276 cases have a value of more than 50 million dollars and 131 cases have a value of more than 10 million dollars.
Some familiar names in this field that total more than 100 million dollars Fundraising have had, is as follows:
The amount of investment in the first half of 2022 Also, in the months of February (February 1400), March and April (March 1400 to May 1401), there was an increasing trend and the largest amount of capital inflow belongs to the field of layer one blockchains.
A huge part of the investment in digital currencies is made up of first-tier, second-tier and other infrastructure projects, which attract many investors. In fact, more attention should be paid to this section; Because 40% of the total value of investment in the first 6 months is related to this area.
Investing in NFT, Blockchain Games and Metaverse
The number of contracts that were formed in the first half of 2022 in this field was 309 (27% of all contracts). The total value of investment in this sector was 5.4 billion dollars (20% of the total market value). This amount is more compared to the field of DeFi and less compared to the field of blockchains. Of course, the field of GameFi is very new and has attracted a lot of attention, especially through the Axie Infinity game.
The number of contracts that take place in the field of Gamefi is high; But only a few of them are of great value. For example, 8 contracts are for Opensea, Immutable, Sky Marvis, Rario, Punk Comics and Pixel Vault. 77 out of 309 contracts have a value of more than 10 million dollars, 185 cases are in initial investment and 32 cases are in stage A investments.
The number of contracts fluctuated in the first 6 months of the year. The highest amount of investment It was in the month of April (May 1401). Of course, Epic Game alone invested $2 billion in this area, which could explain the sudden increase in this amount in April.
All in all, the emerging field of monetization games has gained a lot of attention in less than a year. Of course, despite the fact that most of the contracts were of small value or were in early investment or stage A, the investment in this area increased and reached its peak in April. After that, it gradually decreased due to unfavorable market conditions.
Investment funds attraction in the first half of 2022
Investment and financing funds also increased their capital in order to expand their investment and banking opportunities. In the first half of 2022, investment funds attracted a lot. In the first half of 2022, there were only 27 fundraising deals for financial funds, but their total value was more than $14 billion; That is, the average capital increase in investment funds was 500 million dollars.
Some of the companies that attracted the most capital were a16z, Haun ventures, J◎e McCann, Pantera Capital and Electric Capital, which together have a value of more than one billion. Another point is that most of this increase was in March and April (with 20 out of 27 transactions).
Some of the mid-sized deals that were valued between $500 million and $1 billion were for Sequoia Capital, Hack VC, Dragonfly Capital, and Binance Labs. Fundraising contracts with a value between 100 and 500 million dollars also belonged to Castle Island, Amber Group, KuCoin Ventures, Amber Group, AngelList, Spartan Group, Fabric Ventures, Framework Ventures, Windvane and others.
In general, the increase in fund capital had a direct impact on the market entry and increased capital attraction.
Prediction of crypto investment in the second half of 2022
According to the points we reviewed, it can be said that in the first half of this year, the amount of investment has gradually decreased compared to the second half of last year.
Comparing the data, there were only 842 fundraising deals with a total value of $22.6 billion in the second half of 2021. In this half of the year, most investment funds have focused on blockchain, infrastructure and finance projects. Also they are Capital Increase They are in the emerging projects of GameFi and NFT. The average investment of financial funds It was 500 million dollars, which is much more than the second half of 2021.
A few predictions assuming the continuation of the current market conditions:
- The amount of investment and the total value of the contract will decrease in the next 6 months.
- Centralized finance and blockchain and infrastructure projects will continue to attract investors’ attention.
- Fundraising in the DeFi sector is declining, and the GimFi sector and peerless tokens can still be attractive for investors.
- Due to the fact that the use of incentive plans to motivate users did not have much effect, ecosystems will use it less.
Absorption market Fund It is one of the great sources of information to find trends and projects that big investors are getting into. In this article, a general report of Attracting digital currency capital in 2022 We examined and compared the attraction of capital in different areas. By following this market, you can find good opportunities for investment. Have you ever invested in any of the mentioned areas? Share your opinion with us.