Executives remain positive on long-term outlook amid slowing venture capital funding

Outlier Ventures executive Gvantsa Chkuaseli said there are reasons to remain optimistic, and the tough conditions are not did not stifle interest.

News Join us on social networks

While crypto prices remain at lower levels, venture capital (VC) funding also recorded one of its worst quarters since 2021. Despite this, leaders in the space remain optimistic about the industry's long-term potential.

Crypto data platform RootData pointed out that the second quarter of 2023 saw one of the worst performances in terms of crypto fundraising. Compared to the first quarter of 2022, where $12.62 billion was raised over 559 funding rounds, the first quarter of 2023 saw approximately $2.1 billion over 292 rounds, an 83% decrease in investment in funding. venture capital entering the space.

Quarterly Collection Trend Data Table of crypto funds. Source: Rootdata

Despite the slowdown in the flow of venture capital funds, professionals working in the field believe there is still a strong belief that crypto has long-term potential .

Gvantsa Chkuaseli, head of structuring and fundraising at web3 accelerator Outlier Ventures, told Cointelegraph in a statement that despite the slowdown in the fourth quarter of 2022, there has also been an increase in activity. According to Chkuaseli, this suggests that investors strongly believe in the long-term potential of blockchain.

"We can see with our own portfolio, like Mawari's recent $6.5 million seed round co-led by Blockchange Ventures and Decasonic, and Zinc's $5 million Series A, that there is interest despite the difficult conditions,” Chkuaseli explained.< /p>

Chkuaseli added that some investors seem undeterred by the recent downturn and continue to support start-ups in the sector. "We still believe, however, that there are reasons for optimism," Chkuaseli said. The executive also noted the massive interest in artificial intelligence (AI)-focused startups, pointing out that fetch.ai