TechFlow news, June 4 — According to Bitcoin.com News, research data from Chainplay and Strorible shows that nearly 45% of venture capital (VC)-backed crypto projects have ceased operations, while 77% of the projects generate less than $1,000 in monthly revenue. The study covered 1,181 projects funded between January 1, 2023, and December 31, 2024.
The report notes that among top-tier venture capital firms, Polychain Capital has the highest project failure rate, with 44% of its portfolio projects having shut down, and more than three-quarters (76%) failing to generate significant revenue. Other leading VC firms such as Yzi Labs (72%), Circle (38%), Delphi Ventures (33%), and Consensys (30%) also face high proportions of failed projects.
Additionally, the study finds that funding amount significantly impacts project success rates. Projects raising over $50 million show lower failure rates, whereas over 33% of projects raising less than $5 million ultimately fail or cease operations.
