According to Morgan Stanley analysts, venture investments in crypto companies reached $30 billion last year. However, this year will be less successful, and capital investment in the industry will decline.
According to their estimates, the number of transactions in this sector of the economy reached a record level in December. However, this year the activity of venture capital in the crypto industry will decrease by at least 50%, just like happened in 2018-2019.
In that moment, a lot of investors expected developers focused on the cryptosphere would demonstrate stunning results in the next 2-3 years. For that reason, they decided to make investments in these startups. However, the attractiveness of the crypto business has been undermined by the prolonged bear market.
More than 1,800 transactions were concluded in 2021, which is 160% more than in previous years.