Crypto Valuations Could Fall Until September as VCs Play a Waiting Game – Marketingwithanoy

Tons of capital has been addressed in the crypto industry in recent months, but there has been a noticeable pause in implementation. That could change in the coming months.

As it has taken longer to close crypto VC deals, valuations have fallen across the industry, according to David Nageventure capital portfolio manager at Arca.

Some VCs are taking advantage of this time as the market remains investor-friendly, while others are waiting to push capital out.

“There’s been some sort of viral dialogue that sometime around September, valuations will still drop significantly and it’s just going to be a frenzy,” Nage said.

While there may be a waiting game going on right now, the total amount of capital going into crypto is still higher than it was a year ago. Capital raised in the digital asset sector increased nearly 35% from $6.08 billion in the second quarter of 2021 to $8.13 billion in the second quarter of 2022, according to data collected on PitchBook.

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