The Thomson Reuters Venture Capital (VC) Research Index is a comprehensive and highly representative indicator of the U.S. venture capital industry activity. This unique index is a powerful investable index replicating the performance of the Thomson Reuters VC Research Index using liquid public securities.

After bankruptcies of VC industry servicing banks such as SVB, Signature, collapse of VC investments, at that time already under pressure of high interest rates, intensified. In many segments, including crypto/blockchain venture capital investments, YoY decrease of VC projects funding was 70% and even deeper.

According to Cryptopolitan.com quoting RootData, over the past year, venture capital investments in cryptocurrency companies have seen a substantial decline of over 70%. Such an abrupt downward trend is evident when comparing the funding figures for June 2022 and this year. In June 2022, the digital asset space received $1.81 billion in 149 funding rounds, while this year, only 83 projects secured a total of $520 million, marking the lowest funded month to date.

Breaking down the funding by category, the infrastructure sector emerged as the leader, securing $213 million for 26 projects in the previous month. However, this still represents a nearly 50% decline compared to the preceding month, when 28 projects received $410 million. Gensyn AI, a UK-based startup, gained attention in the infrastructure category, raising an impressive $43 million in a Series A round led by a16z crypto.

But the doldrums of venture capital in the U.S. spread fast across the globe. Thus, India’s venture capital also experienced a drastic downturn in H1 of 2023, with investments plunging by an alarming 79% compared with the same period last year. The impact was particularly bad in sectors like fintech, edtech, and enterprise-tech, according to multiple reports.

According to data from Venture Intelligence, total investments in H1 2023 amounted to $3.8 billion, a stark contrast to the robust $18.4 billion secured the previous year. The number of deals, meanwhile, plummeted to a mere 293, a 60% decrease from 727 seen the previous year.