Venture capital (VC) is back in crypto, bringing liquidity for alternative funding methods for startups, such as grants and node sales. For example, Base-based lending platform Seamless has announced a co-sponsored initiative with Tier 3 node chain Degen Chain and semi-functional token protocol Pandora, which will distribute almost $600,000 in grants to creators and developers building on Base.
Grants for new projects and developers
Grants can be a valuable resource for new projects and developers, and a more welcoming funding environment is also emerging for crypto startups. Investments in crypto companies rose by 38% in the first quarter of 2024, and the number of projects that received funding increased by 49%, the highest since the fourth quarter of 2021.
AI-blockchain platform Sapien raises $5 million in seed funding round
AI-blockchain platform Sapien has raised $5 million in a seed funding round to create a programmable and scalable layer for Bitcoin, which supports various on-chain financial applications, including payments, lending and stable tokens. The Sapien team includes veterans from Blockstream Research, Nethermind, Aleo and Palantir, and will build an ecosystem that enables applications to settle transactions via Bitcoin.
Node sales generate $8 million for Ethereum node network HYCHAIN
Node sales generated $8 million for the Ethereum node network HYCHAIN, which launched its core network on March 30, 2024. This injection of funds enables HYCHAIN to strengthen its infrastructure and extend its reach to attract more users and developers to its growing ecosystem.
Conclusion
Venture capitalists are returning to the crypto space, injecting cash to support alternative funding methods for startups, such as grants and node sales. Investments in crypto companies rose by 38% in the first quarter of 2024, and the number of projects receiving funding increased by 49%, the highest since the fourth quarter of 2021.
