A recent survey by Crypto Koryo published on April 4 revealed that crypto venture capital (VC) investments saw a significant increase in the first quarter of 2024.

According to the analysis, VCs injected close to $2 billion into crypto projects, marking a substantial 38% rise from the previous quarter in 2023. Additionally, investments were made in 250 different crypto projects, reflecting a 49% increase from the last quarter.

These positive results mark a turning point following a two-year downward trend that followed a peak of $14 billion in investments back in Q4 of 2021.

Crypto Koryo indicated that the recent surge in investments could signal the beginning of a new wave in the crypto market.

Several major VC firms, including a16z, OKX Ventures, Multicoin Capital, and Protocol Labs, were among the top 50 investors, each contributing significantly to the sector.

Various crypto projects were able to secure substantial funding, with companies like Hashkey, EigenLayer, Zama, and Berachain raising significant amounts through fundraisers.

In terms of blockchain platforms hosting VC-funded projects, Ethereum led the way with over 50 projects, followed by Solana with 40 projects. Polygon and Bitcoin also welcomed more than 10 VC-funded projects each, with Crypto Koryo pointing out the impact of memecoin ICOs on Solana's growth.

While VC funding had shown gradual signs of recovery earlier in the fourth quarter of 2023, past events like the crypto liquidity crisis in 2022 and FTX's collapse were contributing factors to the low venture capital in previous quarters.