The number of unique venture capital firms participating in crypto funding rounds fell to 150 in July, the lowest monthly count since November 2020. Data from CryptoRank, covering through July 28, shows the industry has shed roughly 87% of its active VC backers since the peak of 1,177 firms in May 2022.
The numbers
CryptoRank's tally counts distinct investors who put money into at least one crypto deal each month. In July, that figure hit 150. That's a steep drop from the bull-market high of 1,177 in May 2022. It's also the lowest since November 2020, when 139 firms were active.
The decline has been steady. After the 2022 peak, the count fell below 500 by early 2023 and kept sliding through last year. July's number suggests the pullback hasn't bottomed out yet.
What's driving the retreat
The facts don't specify causes, but the timing lines up with a broader crypto winter that started in 2022. Fewer firms are writing checks, and those that remain are more selective. The data covers only unique firms, not total dollars — so the drop in participants doesn't necessarily mean total funding has cratered, but it does signal a narrower base of support.
Some of the missing firms may have been casual investors who jumped in during the hype and left when prices fell. Others may have shifted focus to AI or other tech sectors. Without more detail from CryptoRank, it's hard to say exactly who dropped out.
What comes next
The July data runs through the 28th, so a few more deals could still close before month-end. But the trend is clear: crypto's VC pool is shrinking. Whether that's a sign of market maturity — with only serious players left — or a warning that institutional interest is fading depends on the next few months. If August's count stays near 150, the industry will be looking at a new normal.
