Funding Wrap: Crypto startup funding rises for second straight quarter 

Big deals this week include Web3 social media platform Farcaster’s fundraise of $150 million in a Series A led by Paradigm

article-image

kentoh/Shutterstock modified by Blockworks

share

Crypto startup funding hit $2.4 billion during the first quarter of 2024, a report from PitchBook published Monday showed. This represents a 40% increase in invested capital from the last quarter of 2023. 

“With positive investor sentiment returning to crypto and barring any major market downturns, we expect the volume and pace of investments to continue increasing throughout the year,” PitchBook analysts wrote in the report. 

Big deals this week include Web3 social media platform Farcaster raising $150 million in a Series A round led by Paradigm. Other investors include a16z crypto, Haun Ventures, Variant and Standard Crypto. 

“Since going permissionless last October, Farcaster has seen 350,000 paid sign-ups and a 50x increase in network activity,” Farcaster co-founder Dan Romero said in a statement Tuesday. 

Read more: Farcaster secures $150M to grow users, add tools for decentralized social media protocol

Farcaster, the protocol behind the much-talked-about social network Warpcast, has gained significant attention in the crypto sphere this year. The company launched its Frames feature, which incorporates identity and payment rails, in February. 

Also this week: EVM layer-2 Plume announced a $10 million seed funding round led by Haun Ventures. Other investors include Galaxy Ventures, Superscrypt and Portal Ventures. 

Plume, built to bring real-world assets on-chain, currently has more than 80 RWA and DeFi projects building on its private testnet, the company said. RWAs include collectibles, alternative assets, synthetics, luxury goods and real estate. 

“While many are attempting to solve tokenization through permissioned environments, Plume stands out by prioritizing a crypto-first approach,” Chris Yin, CEO and co-founder of Plume, said in a statement. “We operate as a permissionless chain, offering seamless compliance tooling as a notable feature.”

Other notable funding news

  • Blockless, a decentralized physical infrastructure network (DePIN) project, raised $8 million in pre-seed and seed funding at an undisclosed valuation. 
  • Fantom Foundation on Friday announced a $10 million strategic funding round led by Korean fund Hashed. 
  • Crypto firm New Form Capital is back on the scene and looking to raise a $100 million fund in the midst of the recent crypto fundraising boom, the Wall Street Journal reported Monday.

Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates (8).png

Research

Kinetiq has established itself as Hyperliquid's dominant liquid staking protocol, holding 82.5% of LST market share with $610M in TVL. The protocol is now expanding beyond its kHYPE staking core into higher take-rate verticals: iHYPE for institutional custody rails, Launch for HIP-3 capital formation, and Markets for builder-deployed perpetuals. We view Markets, launching Jan. 12, as the highest-potential product line given its mechanically scalable, activity-linked unit economics. Near-term revenue remains anchored by kHYPE's KIP-2 fee schedule (~$1.6M annualized), while Markets provides embedded optionality if HIP-3 economics normalize post-Growth Mode. KNTQ's setup is relatively clean: zero insider unlocks until November 2026, 6.2% buyback yield from staking revenue, and cleared airdrop overhang. Risks center on unproven Markets execution, declining kHYPE TVL despite ongoing incentives, and competition from Hyperliquid's native initiatives.

article-image

BTC finished the week up 1.6%, while L2s, RWAs and the treasury trade continued to grind lower

article-image

DTCC moves DTC-custodied Treasuries onchain via Canton, while Lighter’s LIT launches trading at a fees multiple in Hyperliquid territory

article-image

In the 90s, rapt audiences worldwide watched a coffee pot — will that fascination ever turn to crypto?

article-image

Some systems improve by failing — and crypto has no choice

article-image

Yield Basis introduces an IL-free AMM design that already dominates BTC DEX liquidity

article-image

Maybe tokenholders don’t need the rights that corporate shareholders have come to expect

Newsletter

The Breakdown

Decoding crypto and the markets. Daily, with Byron Gilliam.

Blockworks Research

Unlock crypto's most powerful research platform.

Our research packs a punch and gives you actionable takeaways for each topic.

SubscribeGet in touch

Blockworks Inc.

133 W 19th St., New York, NY 10011

Blockworks Network

NewsPodcastsNewslettersEventsRoundtablesAnalytics