Crypto-related Startup Funding Hits $1.15 Billion in June as Investor Confidence Returns

Funding increased 3% while the number of deals counted jumped 9% compared with May, according to market intelligence firm Messari.

The robust funding activity reflects growing investor confidence in the crypto sector, driven by Bitcoin's sustained growth and the Trump administration's supportive stance toward digital assets. While overall early stage funding levels are stable, the increase in deal flow signals strengthening investor conviction in the space.

Hybrid funding model

A defining trend in 2025 has been the rise of hybrid funding models that combine traditional equity investments with token offerings, giving startups more flexibility in raising capital.

At the center of this surge was Kalshi, an "event prediction" platform accepting cryptocurrency payments that distinguishes itself from traditional gambling through its operating model and regulation. Kalshi recently won a legal battle with the US Commodity Futures Trading Commission (CFTC) and has since closed $185 million in funding from Paradigm, Sequoia Capital, Multicoin Capital, Bond Capital and Citadel Securities CEO Peng Zhao. This funding gives Kalshi a $2 billion valuation.

Digital Asset, a financial technology company, raised $135 million to expand its Canton Network, a blockchain platform designed to tokenize traditional assets such as bonds and investment funds.

Token sale comeback

After the dramatic rise and fall of non-fungible tokens (NFTs) in recent years, token sales are experiencing renewed interest from investors. 

World Liberty Finance, a crypto firm with close ties to the Trump family, raised $100 million for its stablecoin project. Eigen Labs, focused on zero-knowledge cryptography, secured $70 million to advance infrastructure for EigenLayer and EigenDA.

Meanwhile, Zama raised $57 million at a $1 billion valuation, to develop fully homomorphic encryption, a complex cryptography model allowing smart contracts to execute on encrypted data without revealing the source.

Looking ahead

As the second half of 2025 unfolds, industry observers will closely monitor the success of tokenization ventures to determine how bold promises may shape the next phase of crypto’s evolution.