VC Roundup: Crypto Funding Slows But Stablecoin, RWA Infrastructure and Digital Asset Treasuries Dominate 2025

Despite record levels of institutional interest in blockchain technology and digital assets, venture capital activity in the crypto sector has slowed dramatically in 2025. With a sharp shift in priorities, investors are now pouring capital into digital asset treasury companies, stablecoin infrastructure, and real-world asset (RWA) tokenization rather than traditional venture-backed blockchain startups. This trend underlines a maturing market that now demands real revenue and sustainable business models before deploying capital—a new reality for founders and VCs alike.

Crypto News: Investor Sentiment Shifts From Hype to Revenue

According to Galaxy Research, crypto VCs invested just $1.97 billion across 378 deals in Q2 2025 a 59% plunge from the previous quarter and the second-lowest total since late 2020. This steep drop signals the end of speculative investment cycles driven by narrative hype. Instead, VCs now require clear paths to revenue, proven user bases, and robust transaction volumes, especially as direct digital asset accumulation and blockchain technology adoption continue to rise.

Digital Asset Treasuries Lead Crypto Funding

A striking trend has emerged: digital asset treasuries corporate vehicles launched specifically to hold crypto have attracted $15 billion in new investment this year alone, outpacing traditional startup rounds. Treasury companies focus on Bitcoin, Ethereum, and stablecoin accumulation, mirroring a strategic shift in how institutional capital approaches crypto exposure and treasury management. This “crypto pur” strategy prioritizes holding assets with the strongest market validation.

Bitwise CEO Hunter Horsley notes that the divergence between treasury investment and startup VC reflects an evolving investor mindset: sophisticated backers now want to see revenue and business model validation, not just technology promises or blockchain buzzwords.

Blockchain and RWA Infrastructure Still Draw Capital

While speculative funding for market narratives like new layer-1 blockchains has dried up, rounds for RWA tokenization and stablecoin platforms remain robust. In September’s most notable deals:

• Mavryk Network secured $10 million led by Multibank Group to expand its institutional RWA platform in the UAE, targeting a $10+ billion property tokenization initiative, one of the biggest RWA projects globally.
• Grvt closed a $19 million Series A, building zkSync-powered, privacy-preserving infrastructure for crosschain applications, onchain options, and RWA markets, with $922 million in daily perpetual volume signaling strong product-market fit.
• Stablecore raised $20 million, targeting stablecoin services for banks and credit unions. With backing from Coinbase Ventures and others, it launched its “digital asset core” platform just as US regulations favoring stablecoins were passed.
• Plural landed $7.1 million to tokenize real-world energy assets like solar farms and battery storage, aiming to bridge the “electron economy” with blockchain-based capital markets.

These deals demonstrate blockchain technology’s expanding footprint in sectors relevant to real-world finance, banking, and sustainable energy.

VC Funding Outlook: Blockchain Technology Pivot

While Q2 funding was down sharply, analysts note that on an annual basis, 2025 is still tracking above 2024, thanks to blockbuster Q1 deals like MGX’s $2 billion investment in Binance. The current market favors mature, later-stage companies and revenue-positive business models in both crypto pur and blockchain sectors. DeFi, stablecoin infrastructure, and RWA tokenization are emerging as the highest-conviction trends for VCs seeking proven adoption and sustainable growth.

VCs’ reality check in 2025 demanding revenue over hype marks a turning point for blockchain and digital asset innovation, reshaping what it takes for crypto startups to thrive and defining the next decade of crypto pur, blockchain, and stablecoin-led growth.