Crypto infrastructure as a category has usurped NFT and gaming as the most popular destination for venture capital seeking out deals in the blockchain space, according to data from The Block Research.
The NFT/Gaming sector had been the most popular destination for VC deals in web3 since June of 2021, but that 23-month winning streak came to an end last month.
Ongoing bear market conditions are prompting investors to focus on foundational companies and projects, The Block Research notes in a forthcoming funding report.
"Infrastructure interest has maintained resilience despite funding for the overall sector decreasing from its heights," The Block research director John Dantoni said. "By the number of deals, its level of interest has been as high — and in some cases greater than peak bull market where funding was at its highest."
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