Global Venture Capital Plunged By 68% In Q2 2023
Since Its Peak In 2021
According to an analysis from BitcoinCasinos.com, the total amount of venture capital invested globally fell from $216 billion in 2021 to $70 billion in Q2 2023.
BitcoinCasino’s financial analyst, Edith Reads, commented on the findings, “The decline can be attributed to several factors, including the economic uncertainty caused by the pandemic and the resulting disruption to business operations.
Additionally, investors are becoming more cautious about investing in startups due to their increased risk profile. As a result, many investors have shifted their focus away from early-stage companies and towards later-stage companies that have already proven their ability to generate returns.”
Despite a $10 billion investment into OpenAI and a $6.5 billion round for payments giant Stripe, venture capital funding in each stage was still down 44%-54% year over year compared to the same quarter last year. This indicates that VCs were scaling back while evaluating new investment opportunities and supporting existing portfolio companies. The full story and statistics can be found here: Global Venture Capital Plunged By 68% In Q2 2023 Since Its Peak In 2021