Crypto Firms Raised $126M In Just One Week, Despite Price Drop

Crypto and blockchain startups are experiencing a resurgence in funding rates despite the general downturn in the digital asset market.

A tweet from independent initial coin offering (ICO) and token sale platform ICO Drops has revealed that crypto firms, including startups, raised more than $126 million in the last week alone, regardless of significant token slumps in the market.

$126M Raised in a Week

Among the top funding rounds in the past week is the $38 million raised by modular framework platform Movement Labs in a Series A round with participation from more than 25 investors. The funds will be used to develop and launch Movement L2 as a new layer-2 network on Ethereum and bring Facebook’s Move Virtual Machine to the second-largest crypto network.

Movement Labs is followed by Aligned Layer, an EigenLayer-powered chain designed to function as a proof verification protocol for validity and zero-knowledge proofs, which raised $20 million in a Series A round. The layer aims to support the scaling of decentralized applications on Ethereum and, eventually, other blockchain networks.

The private key and wallet infrastructure platform Turnkey also raised $15 million in a Series A round that saw participation from top industry dogs like Galaxy Ventures, Coinbase Ventures, Sequoia Capital, and Figment Capital. Turnkey, co-founded by a pair of former Coinbase employees, aims to aid application developers in building user-friendly crypto wallets.

Web3 Infrastructure Dominate Rounds

Cointab reported earlier this week that the Shiba Inu team raised $12 million by selling an unreleased token, TREAT, to develop a new privacy-focused layer-3 network. The funding round, which comprised pre-seed and seed rounds, saw participation from big names like Animoca Brands and Polygon Ventures.

Other firms, including modular gaming and artificial intelligence data layer Carv, blockchain games developer InfiniGods, and web3 gaming platform Tavaera, raised smaller amounts of $10 million, $8 million, and $5 million, respectively.

It is worth noting that web3 infrastructure firms received the most funding rounds and the highest amounts, indicating that investors see potential in the long-term use of blockchain technology.

Meanwhile, the crypto market, led by bitcoin (BTC), has registered minimal gains and more losses in the past week. This can be attributed to investors taking profits and tensions in the Middle East persisting.