According to a report by research firm CB Insight, for the first time in 4 years, crypto investors are supporting more crypto and blockchain startups in the US than in Asia.
In 2021, the cryptocurrency market experienced spectacular growth, but China’s bans on Bitcoin and cryptocurrencies partially overshadowed this growth.
After China’s crypto bans, crypto investors and investment giants started to turn to the US market.
According to the latest report from CB Insight, the value of crypto venture investments was $3.1 billion worldwide in 2020. While 2021 was not yet over, by November 30, crypto investments had increased to $21.3 billion.
Although China was once the crypto capital, cryptocurrency bans have caused the number of investments in cryptocurrency and Blockchain startups in China to drop dramatically. The total value of investments in China fell by 50% compared to last year.
CB Insights analyst Chris Bendsten said in an interview with Bloomberg, “We haven’t seen basically any deals in China. In Asia, companies are really based in Hong Kong, India and Singapore.” said.
Bendsten said investments are starting to rise in the rest of the world as crypto and blockchain startups in China dwindle, and the fourth quarter of 2021 is the biggest ever for crypto investments.
While the number of crypto deals in China fell, the value of crypto deals in the US rose 7-fold to reach $10.9 billion.
CB Insights analyst Bendsten recently underlined that this increase is a sign that the crypto and blockchain industry is becoming increasingly mainstream, “investors all believe now and we will see this trend continue in the next year.” said.
*Not investment advice.