Data: In Q1 2026, cryptocurrency startups raised nearly $5 billion, with the market predicted to be the biggest winner
According to DL News citing DefiLlama data, cryptocurrency startups raised nearly $5 billion in the first quarter of 2026, a year-on-year decrease of 16%. However, the investment ecosystem continues to evolve, with funding shifting significantly from speculative tokens to practical sectors such as payments and trading infrastructure. Among them, the prediction market sector leads with over $1.7 billion, while payments and trading infrastructure attracted $735 million and $423 million, respectively. Top non-crypto institutions such as Sequoia Capital, Founders Fund, Bain Capital, and Alibaba are also accelerating their entry.
The top ten financing projects in Q1 are as follows: • Kalshi: $1 billion, valuation of $22 billion, led by Coatue Management, CFTC-regulated prediction market leader • Polymarket: $600 million, investment from Intercontinental Exchange (ICE), leading decentralized prediction market platform • Rain: $250 million Series C, valuation of nearly $2 billion, led by Iconiq Capital, stablecoin payment infrastructure • BitGo: $213 million, NYSE IPO, valuation of over $2 billion, crypto custody institution • Flying Tulip: $206 million, public token sale, led by DeFi architect Andre Cronje, integrating trading/lending/insurance • Whop: $200 million, Tether.
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