Crypto venture capitalists are becoming more cautious, moving away from narrative-based investments. Sylvia To of Bullish Capital Management emphasizes the importance of actual usage in the industry. In 2025, projects have raised funds at inflated valuations. 18 crypto projects collectively raised $312 million in one week. Crypto startup funding declined in Q2 2025.

Eva Oberholzer, from VC firm Ajna Capital, notes that VC firms are now more selective in their crypto investments due to market maturation. It’s about predictable revenue models and irreversible adoption. Galaxy Research’s report shows a 59% decline in funding for crypto and blockchain startups in Q2 2025. Strive Funds secured $750 million for Bitcoin-related strategies.

Read more at Cointelegraph: Crypto VCs Are Becoming More Conservative: Exec