James Cirrone


<p>Crypto startups raised nearly $20 million in various funding rounds this week, with data analytics firms seemingly winning out. </p>



<p>CryptoQuant, an on-chain and markets data provider, announced that its parent company, Team Blackbird, raised $6.5 million in a Series A round led by Atinum Investment. </p>



<p>The money will go toward boosting CryptoQuant and Team Blackbird’s presence around the world. The team said its plan is to recruit employees for its South Korea and international operations.</p>



<p>The company has raised $9 million to date, with a previous investment from Galaxy Interactive and Mirae Asset Capital.</p>



<p>Web3Go, which <a href="https://www.binance.com/en/live/u/40429244">describes</a> itself as “an open data analytics platform for all web3 users,” also <a href="https://twitter.com/Web3Go/status/1676538376206553089">secured</a> $4 million in seed funding this week.</p>



<p>Web3Go is being incubated by Binance Labs, which also led the latest round of funding. Additional investors included Shima Capital, HashKey Capital, Big Brain Holdings and NGC Ventures.</p>



<p>Following this recent injection of cash, the creators of Web3Go want to “<a href="https://web3go.medium.com/binance-labs-leads-4m-investment-in-web3gos-new-journey-acffd6f1066">accelerate</a>” the development of what they call Web3Go Data Intelligence Network (DIN).</p>



<p>According to a Medium <a href="https://web3go.medium.com/to-the-din-creating-ai-native-digital-assets-redefining-production-relations-with-blockchain-6f021137ba3e">post</a>, DIN will “empower users to access data, conduct transactions, and create content through a range of innovative platform tools.”</p>



<h2 class="wp-block-heading">A focus on privacy</h2>



<p>Ola, a Web3 privacy protocol, <a href="https://twitter.com/Sin7y_Labs/status/1676172405587472385">raised</a> $3 million in seed funding this week, with Web3.com Ventures and Foresight Ventures at the forefront of the seed round.</p>



<p>The layer-2 platform said it wants to redefine privacy and <a href="https://medium.com/@sin7y/ola-raises-3m-in-seed-funding-to-revolutionize-web3-experience-with-programmable-privacy-d06824703f49">acknowledged</a> how earlier privacy-focused platforms such as Zcash, Monero and Dash aren’t programmable. Ola&#8217;s goal is to address this limitation by leveraging zero-knowledge technology to enable programmable privacy for developers and users.</p>



<p>Ola CEO Ocean Chen echoed this sentiment in a statement.&nbsp;</p>



<p>“Our ultimate goal is to make privacy a fundamental right in the digital age, especially for Web3 users. This investment will propel our mission to empower individuals to reclaim ownership of their digital lives while reaping the benefits of Web3 technology,” Chen said.</p>



<h2 class="wp-block-heading">Other notable fundraises</h2>



<ul class="wp-block-list">
<li>Shardeum, an EVM-based layer-1 blockchain that uses sharding technology, <a href="https://shardeum.org/blog/shardeum-completes-5-4-million-strategic-raise/">closed</a> a $5.4 million strategic raise with a number of firms participating including Amber Group.</li>



<li>Wynd <a href="https://twitter.com/wyndnetwork/status/1676300634054889473">raised</a> $1 million in a pre-seed round led by No Limit Holdings. Wynd <a href="https://wynd.network/">advocates</a> for censorship-free internet and has a Chrome extension called Grass that lets users sell their unused network resources.</li>
</ul>



<hr class="wp-block-separator has-alpha-channel-opacity"/>



<p><strong>Get the news in your inbox. Explore Blockworks newsletters:</strong></p>



<ul class="wp-block-list">
<li><a href="https://blockworks.co/newsletter/the-breakdown"><strong>The Breakdown</strong></a>: Decoding crypto and the markets. Daily.</li>



<li><a href="https://blockworks.co/newsletter/0xresearch"><strong>0xResearch</strong></a>: Alpha in your inbox. Think like an analyst. </li>
</ul>


CryptoQuant

Crypto funding: $20M week for crypto data providers and privacy-focused Web3 firms

Sam Martin

<div id="highlights-block_617725d07bf3f" class="highlights">
        <ul>
                <li>Bitcoin miners are accumulating BTC at record pace</li>
                <li>Perpetual funding rates remain neutral despite increase in exchange leverage ratio</li>
            </ul>
    
</div>



<p>Bitcoin was last trading near $51,500, up over 10% over the last seven days according to data from <a href="https://www.coingecko.com/en" target="_blank" rel="noreferrer noopener">Coingecko</a>.</p>



<p>Bitcoin miners are accumulating BTC at a record pace.</p>



<p>Some BTC metrics signal that caution is warranted at current price levels. </p>



<p>Perpetual funding rates are neutral, implying no bias toward the upside or downside. </p>



<h3 class="wp-block-heading"><strong>Latest in Macro:</strong></h3>



<ul class="wp-block-list"><li>S&amp;P 500: 4,791, +1.38%</li><li>NASDAQ: 15,871, +1.39%</li><li>Gold: $1,812, +0.15%</li><li>WTI Crude Oil: $76.01, +3.01%</li><li>10-Year Treasury: 1.477%, -0.016%</li></ul>



<h3 class="wp-block-heading"><strong>Latest in Crypto:</strong></h3>



<ul class="wp-block-list"><li>BTC: $51,134, -0.40%</li><li>ETH: $4,070, -0.80%</li><li>ETH/BTC: 0.0796, -0.66%</li><li>BTC.D: 40.00%, -0.22%</li></ul>



<h3 class="wp-block-heading">Bitcoin miners are confident</h3>



<p>Bitcoin was last trading near $51,500, up over 10% over the last seven days according to data from <a href="https://www.coingecko.com/en" target="_blank" rel="noreferrer noopener">Coingecko</a>.</p>



<p>&#8220;Miner Reserves, Mean Coin Age, and the Hashrate continued trending higher as BTC price fell. This is a very bullish signal indicating older coins and miners are not aggressively distributing during the sell off. The increasing Hashrate is a sign of Miner’s confidence in the network. Even with a 39% pullback over a month, Miners continued to add hash further securing the network,&#8221; <a href="https://cryptoquant.com/quicktake/61c5f3fb1924fb052c763cb9-Onchain-and-Technical-Bullish-Divergence-Suggest-Bottom-Likely-In?utm_source=twitter&amp;utm_medium=sns&amp;utm_campaign=Quicktake&amp;utm_content=DanBTC916" target="_blank" rel="noreferrer noopener">wrote</a> @DanBTC916, an Analyst at CryptoQuant.</p>



<p>Noelle Acheson, head of market insights at Genesis, took to <a href="https://twitter.com/NoelleInMadrid/status/1475549438970052609?s=20" target="_blank" rel="noreferrer noopener">Twitter</a> noting similar observations: &#8220;We’ve seen a flurry of announcements recently about BTC miners’ plans to increase capacity *significantly* over the coming months. An often-overlooked detail is that this is being done with bank- or market-based financing.&#8221;</p>



<p>Noelle continued, &#8220;Miners turning to financing vehicles for expansion means that they don’t need to sell their BTC. Indeed, miner unspent supply (new BTC held rather than sold in the market) last week reached an all-time high.&#8221;</p>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="576" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png" alt="" class="wp-image-13183" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=464 464w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/miner-activity-1024x576.png?w=1800 1800w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: Glassnode</figcaption></figure></div>



<h3 class="wp-block-heading">Signs that caution is warranted</h3>



<p>The BTC:all exchanges estimated leverage ratio, which is the amount of open interest across all exchanges divided by their BTC reserves, is hovering near annual highs. This suggests that there could be one last flush out of leveraged players before BTC can make another run.</p>



<p><a href="https://cryptoquant.com/quicktake/61c5bfbec96eb030c8ad50f0-Close-to-a-bull-trap-before-pushing-up-again?utm_source=twitter&amp;utm_medium=sns&amp;utm_campaign=Quicktake&amp;utm_content=DELOREANKT" target="_blank" rel="noreferrer noopener">According</a> to CryptoQuant analyst, Marc Deloreankt, we have two bad signals near the corner:</p>



<ul class="wp-block-list"><li>1st: Big leverage ratio. The biggest one in two years. So soon, we probably will have a drop, or long liquidation to clear retail investors in next days.</li><li>2nd: No big bank outflows since last drop on May &#8217;21. This is not normal and this is another bad sign.</li></ul>



<div class="wp-block-image"><figure class="aligncenter size-full"><img loading="lazy" decoding="async" width="488" height="490" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png" alt="" class="wp-image-13189" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=488 488w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=150 150w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=256 256w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=260 260w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=218 218w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-2.59.51-PM.png?w=80 80w" sizes="auto, (max-width: 488px) 100vw, 488px" /><figcaption>Source: CryptoQuant</figcaption></figure></div>



<p>On a positive note for the bulls, perpetual funding rates are essentially neutral which signals little bias towards the upside or downside on BTC.</p>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="1024" height="626" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg" alt="" class="wp-image-13190" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=420 420w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=427 427w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=358 358w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/funding-rates-1024x626.jpg?w=1106 1106w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Source: @eliasimos</figcaption></figure>



<h3 class="wp-block-heading">Google search interest for Bitcoin</h3>



<p>Jameson <a href="https://cms.blockworks.co/jameson-lopp-doesnt-want-to-be-found/" target="_blank" rel="noreferrer noopener">Lopp</a>, co-founder and CTO at Casa Hodl, <a href="https://twitter.com/lopp/status/1474796466304659457?s=20" target="_blank" rel="noreferrer noopener">wrote</a>, &#8220;Countries with the highest relative search interest for Bitcoin have changed significantly from 2020 to 2021! While it&#8217;s no surprise to see El Salvador at #1, it&#8217;s notable that it wasn&#8217;t even on the list of 66 countries for which Google logged search interest in 2020. El Salvador surged from 150th to 1st place for relative Bitcoin search interest in 2021.&#8221;</p>



<div class="wp-block-image"><figure class="aligncenter size-full"><img loading="lazy" decoding="async" width="411" height="262" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png" alt="" class="wp-image-13194" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=411 411w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=403 403w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=409 409w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=344 344w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/google-trends.png?w=80 80w" sizes="auto, (max-width: 411px) 100vw, 411px" /><figcaption>Source: Google Trends</figcaption></figure></div>



<h3 class="wp-block-heading">NFTs</h3>



<p>Trading data from <a href="https://opensea.io/rankings" target="_blank" rel="noreferrer noopener">OpenSea</a> and <a href="https://solanalysis.com" target="_blank" rel="noreferrer noopener">Solanalysis</a> of some of the top Solana and Ethereum projects can be found below:</p>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="401" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png" alt="" class="wp-image-13195" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.00-PM-1024x401.png?w=1227 1227w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Top Ethereum Projects</figcaption></figure></div>



<div class="wp-block-image"><figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="338" src="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png" alt="" class="wp-image-13196" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=428 428w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=470 470w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=389 389w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2021/12/Screen-Shot-2021-12-27-at-4.56.08-PM-1024x338.png?w=1247 1247w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Top Solana Projects </figcaption></figure></div>



<p>If you made it this far, thanks for reading! I am looking forward to catching up tomorrow.</p>



<hr class="wp-block-separator"/>



<p><strong>Get the day’s top crypto news and insights delivered to your inbox every evening.&nbsp;<a href="https://cms.blockworks.co/newsletter/" target="_blank" rel="noreferrer noopener">Subscribe to Blockworks’ free newsletter</a>&nbsp;now.</strong></p>



<hr class="wp-block-separator"/>


CryptoQuant

Newsletter

Blockworks Research