Page 75 - Cyber Defense eMagazine April 2023

Blockchain Startups Are Drawing Substantial

Venture Capital Funding

By Mohit Shrivastava, ICT Chief Analyst at Future Market Insights

Blockchain technology is becoming more popular owing to the various benefits businesses get
from it- supply chain management, decentralized finance, data usage, control, and encryption.
To ensure the smooth functioning of the technology, various companies require investments.

Venture capital (VC) investment is one of the main ways blockchain entrepreneurs finance their
enterprises. Initial coin offerings (ICOs) used to be the main financing source for most blockchain projects,
but strict regulatory oversight of ICOs has changed the dynamic. Hence, venture funding is essential to
entrepreneurial as well as intrapreneurial blockchain enterprises, even when valuations are modest.

According to Future Market Insights, the global blockchain technology market is expected to grow with
44.3% CAGR from 2023 to 2033, providing ample opportunities for data decentralization in the future.
And this is what the VCs are aimed at. Venture capitalists play the long game and invest their money
patiently. They support innovation and are aware of the dangers involved. They support these firms
knowing that there is a good chance that cryptocurrencies will play a significant role in the future of trade

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