Key Takeaways
- VC activity is rising in crypto companies but remains far below bull-market levels.
- Seven companies landed mega-rounds.
- |A more favourable U.S. regulatory environment and rising valuations are boosting confidence.
Crypto venture capital (VC) investment has remained subdued in the closing months of 2025, extending a two-year slump despite rising digital asset prices and improving market sentiment.
However, despite market caution, several companies have recently secured substantial funding for their future growth.
Activity Rises but Stays Below Bull-Market Pace
VCs invested $4.59 billion across 414 crypto-related deals during Q3, Galaxy data showed.
While that marked a quarter-on-quarter increase, activity remained “depressed compared to prior bull-market levels,” with allocators still cautious amid broader venture pullbacks.
Later-stage companies absorbed 56% of deployed capital, continuing a 2025 trend in which growth-stage firms dominate dollar flows.
Meanwhile, early-stage dealmaking remained active, particularly in infrastructure, AI-adjacent crypto tooling, and stablecoin-related financial technology companies, the report stated.
Seven Recent Mega Crypto Deals
Revolut — $1 billion
London-based Revolut secured the quarter’s largest VC raise with a $1 billion investment, according to Galaxy.
The data comes as the firm announced it had completed a share sale valuing the company at $75 billion.
Revolut said it had accelerated a series of major expansion milestones in 2025, including gaining a banking incorporation licence in Colombia.
“The level of investor interest and our new valuation reflect the strength of our business model, which is delivering both rapid growth and strong profitability,” said Revolut CFO Victor Stinga.
The company says its push into new key markets is central to its strategy to build what it calls the world’s first “truly global bank.”
Kalshi — $1 billion
Kalshi, a prediction-market operator, has secured approximately $1 billion in new financing at a valuation of roughly $11 billion, TechCrunch reported last week, citing someone familiar with the deal.
The funding comes less than two months after the firm disclosed a previous $300 million capital raise that valued it at $5 billion, according to the report.
The latest round was led by existing backers Sequoia and Alphabet’s growth fund CapitalG, the source told TechCrunch.
Other investors in the company include Andreessen Horowitz, Paradigm, Anthos Capital, and Neo.
Kraken — $500 million
In September, Crypto firm Kraken raised $500 million in VC funding as it continues to expand its product suite and prepare for public markets.
In November, parent company Payward, Inc. confidentially submitted a draft S-1 to the U.S. Securities and Exchange Commission for a planned initial public offering.
The filing did not disclose the expected share count or pricing range, and the listing is anticipated to occur as early as the first quarter of 2026.
Chief Financial Officer Sethi recently told Yahoo Finance that crypto-market volatility does not alter the company’s long-term outlook.
“Just like any other asset, the more it goes up, there’s speculation around it… When it goes down, you tend to get a little bit more negative news,” he said.
Adding: “But that’s across every asset class.”
Sethi said Kraken’s diversified offering provides insulation during downturns.
“We have over 400 crypto-related assets… We have all of the stocks and ETFs in the U.S., as well as some international stocks that are going to be on the platform soon,” he added.
Erebor — $250 million
Erebor raised $250 million in October as the newly formed U.S. bank moved closer to launching operations aimed at serving the digital-asset sector.
U.S. regulators have approved the bank’s formation, positioning it to fill part of the gap left by the failure of Silicon Valley Bank.
Founded in 2025 by Palmer Luckey, co-founder of the defense firm Anduril, and Joe Lonsdale, head of venture capital firm 8VC and a co-founder of Palantir, Erebor has drawn backing from several prominent Silicon Valley and cryptocurrency investors.
Early supporters include Founders Fund, the venture firm associated with Peter Thiel, and Haun Ventures, a leading crypto-focused fund.
According to its banking charter application, Erebor intends to focus on companies within the U.S. “innovation economy,” targeting firms in crypto and AI.
“We want to be a stable, low-risk, reliable bank doing normal banking things without screwing everyone over with undue risk,” a person close to the company told the Financial Times.
Lava — $200 million
In early November, Bitcoin lending platform Lava secured $200 million to expand its global credit offering backed by BTC.
Chief Executive Shehzan Maredia called it the most significant day in Lava’s history.
The capital came from prominent backers, including Founders Fund, Khosla Ventures, and Susquehanna International Group.
Additional investors included Procap’s Anthony Pompliano and EMJ Capital founder Eric Jackson.
Fnality — $135 million
Distributed-ledger settlement firm Fnality secured $135 million in its latest funding round, the company said in September.
The firm has now raised approximately $310 million in total capital.
The Series C round drew participation from a mix of new and returning investors, led by WisdomTree, Bank of America, Citi, KBC Group, Temasek, and Tradeweb.
Fnality provides a blockchain-based wholesale settlement system that issues tokenized funds fully backed by deposits held at a central bank.
Zerohash — $104 million
Crypto infrastructure provider Zerohash raised $104 million in fresh capital in September, CNBC reported.
The raise saw support from major financial institutions, including Morgan Stanley and SoFi.
The Series D financing was led by Interactive Brokers and included several strategic investors who also use Zerohash’s services, founder and CEO Edward Woodford told CNBC.
“We aimed to bring in the world’s most established financial names to help guide the industry’s transition into this technology,” Woodford said.
Bigger Picture
While sentiment has improved, VC crypto activity remains far below the peaks of 2021–2022.
According to Galaxy, macroeconomic pressures, strong ETF inflows, and the continued rise of digital-asset treasury companies may keep venture deployment muted into early 2026.
Still, the U.S. regulatory landscape has turned friendlier under the new administration, potentially strengthening America’s dominance in crypto-startup formation.
With valuations rising and late-stage firms pulling in record-sized rounds, investors appear increasingly willing to back established players.
Top Trending Crypto Articles
Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
