Cryptocurrency companies already raised more money in 2021 than in all of 2020

Key facts:

The blockchain industry has raised more than $ 2.6 billion in 2021, according to reports.

Several rounds of funding have taken place so far in 2021.

Companies in the blockchain and cryptocurrency industry have raised more than $ 2.6 billion during the first 3 months of 2021, surpassing the $ 2.3 billion that was raised in all of 2020, according to a new report from the firm CB Insights.

In a Bloomberg publication, where the report of the market analysis firm CB Insights is commented, not yet made public, it is specified that 129 emerging companies (startups) focused on blockchain and related technologies, have raised more money than in the entire last year.

As reported, the financing rounds of BlockFi, Dapper Labs Inc. and Blockchain.com, which have taken place during these last months of 2021, are the main responsible for this increase.

As we report in CriptoNoticias, BlockFi managed to raise USD 350 million in its most recent round of financing, with the aim of boosting the market for cryptocurrency loans and other services.

Likewise, Dapper Labs, the company that developed the CryptoKitties, as well as the collectible token platform NBA Top Shot, announced on March 30 having raised USD 305 million from various investors, among which is basketball legend Michael Jordan.

Also, the signature Blockchain.com announced that it completed a financing round for USD 300 million, which would have positioned this company at a value of USD 5.2 billion. A month earlier, they had raised $ 120 million, as reported by TechCrunch. The company also recently launched a cryptocurrency loan service from the portfolio they provide, CriptoNoticias reported.

In this way, 2021 could exceed 2018 in terms of the volume of collection by companies in the cryptocurrency industry, since during that year USD 3.3 billion were collected according to CB Insights.

Cryptocurrencies Turn Into DeFi Ecosystem, Bitcoin Adoption Increases

It should be noted that during 2018 there was a generalized increase in the price of cryptocurrencies, driven in large part by the fever of ICOs or Initial Coin Offering.

These fundraising rounds have been taking place since approximately 2014 to finance thousands of cryptocurrency projects. But many of these projects are no longer in operation. In fact, a study by Greyspark Partners, reported by CriptoNoticias at the time, indicates that by 2018, half of the ICOs had already failed.

While the Ethereum ecosystem, the platform where these ICOs were mainly carried out, took a turn in another direction towards Decentralized Finance (DeFi), investment in cryptocurrency projects during 2020 and 2021 would be being driven by institutions, according to CB Insights .

Companies such as MicroStrategy, Tesla, PayPal, have already backed their money with Bitcoin or are offering services to the public based on this cryptocurrency. Tesla already accepts bitcoin as a payment method, as reported by CriptoNoticias.

Meanwhile, PayPal had the purchase of BTC and other cryptocurrencies to its users, as well as already has a payment option in BTC both in online stores and authorized physical establishments in the United States.