In Q2 2025, the encryption sector secured $10 billion in financing, focusing on Bitcoin strategies and Blockchain infrastructure.

In the second quarter of 2025, global venture capital in Crypto Assets saw its best performance since 2022, with significant capital inflows, particularly focused on Bitcoin-related strategies and Blockchain infrastructure development. This trend highlights institutional investors' confidence in the long-term development of the crypto industry.

encryption risk investment funds rebound: reaching 10.03 billion USD in the second quarter

From March to June 2025, crypto assets venture capital experienced a significant rebound, with total funding reaching $10.03 billion, of which $5.14 billion was inflow in May alone. This revival of funds was mainly driven by Bitcoin purchases and the tokenization of real-world assets (RWA).

Investors are gradually adopting a more cautious capital allocation strategy, particularly showing strong interest in Bitcoin acquisitions and RWA tokenization. North American companies have dominated larger-scale, late-stage funding rounds, while Asia and the Middle East have seen healthy growth in early-stage seed investments, showcasing continuous innovation on a global scale.

Bitcoin ETF drives institutional capital inflow

The recovery of the Crypto Assets market is not only driven by the push of Bitcoin ETFs, making institutional investors more willing to participate, but also benefits from the improvement of the regulatory environment, which has reduced market risk expectations. All of this has collectively driven the rebound of the crypto market.

Strive Funds leads investment: $750 million funding supports Bitcoin strategy

In May 2025, Strive Funds, an asset management company co-founded by Vivek Ramaswamy, secured $750 million in funding. This capital is primarily aimed at establishing an "alpha generation" strategy through Bitcoin acquisitions, indicating a strong belief among institutional investors in Bitcoin as a core asset for sophisticated investment.

Twenty One Capital secured $585 million in funding to advance Bitcoin acquisitions.

Another important company, Twenty One Capital, successfully raised $585 million in funding in April 2025. The company clearly stated that the funds will be used for Bitcoin acquisitions.

It is worth noting that Twenty One Capital, as a brand new company, was just established through a business combination with Cantor Equity Partners. The company was founded by heavyweight players such as Tether, Bitfinex, and SoftBank, and is committed to becoming a Bitcoin-native public company, focusing on creating a new financial market centered around Bitcoin by maximizing the holdings of Bitcoin per share.

Securitize raises $400 million to drive RWA tokenization

Securitize is a leading RWA tokenization platform that secured $400 million in funding from Mantle Treasury in April 2025. This funding further accelerates the capital inflow into the tokenization of real-world assets and showcases the integration of traditional finance and Blockchain technology.

Other financing worth noting: Kalshi and Auradine

The prediction market platform Kalshi successfully raised $185 million in June 2025, achieving a valuation of $2 billion. Kalshi plans to use this funding to deepen its integration with mainstream brokers and to launch new types of contracts, promoting the widespread application of prediction markets in the traditional financial sector.

In the top five financing rounds of Q2, Auradine also secured $153 million in funding. Although the specific details regarding the use of the funds remain unclear, this amount indicates that the company holds significant investment value in the crypto-related sector.

The Future of Encryption Investment: Next Steps for Development

The cryptocurrency venture capital in the second quarter of 2025 marks a strategic shift within the industry. In particular, the substantial investments in Bitcoin-first strategies and infrastructure development indicate that the market is focusing on long-term value creation rather than speculative projects.

With the increase in institutional participation and the further clarification of the regulatory environment, this shift lays the foundation for the long-term growth of the encryption industry. In the future, the global crypto market will continue to attract more investors, particularly in the fields of Bitcoin and Blockchain infrastructure.