- Lattice Fund analysts report that 80% of crypto startups that secured funding in 2022 stay energetic.
- Analysts establish Ethereum's EigenLayer as a prime performer amongst startups in 2022.
- Ethereum stays the dominant layer 1 blockchain with 314 initiatives receiving $1.4 billion in funding.
Analysts at Lattice Fund have discovered that over 80% of crypto startups that acquired funding in 2022 are nonetheless working regardless of market turbulence. A report revealed on October 1 highlighted Ethereum re-staking protocol EigenLayer as the highest performer amongst startups funded in 2022.
Of the greater than 1,200 startups which have raised a mixed $5 billion, 76% have efficiently launched merchandise on the mainnet. Solely 18.5% went out of enterprise. Nonetheless, just one.5% of initiatives achieved “Product Market Match” (PMF), whereas 12% secured extra funding.
Ethereum leads in Tier 1 initiatives
Ethereum stays the main layer 1 blockchain for brand spanking new initiatives. 314 Ethereum-based initiatives have acquired $1.4 billion in funding. 82% of those initiatives survived, whereas the remaining 18% failed. Ethereum's EigenLayer is main the pack with its profitable market technique and multi-billion greenback product launch in 2023.
Additionally Learn: Ethereum Devs Be part of EigenLayer, However Can They Keep Impartial?
Bitcoin-based initiatives have proven probably the most resilience, with all 18 startups nonetheless energetic. Nonetheless, the $350 million Solana initiatives confronted important challenges because of the collapse of FTX and the decline within the value of SOL. Whereas each Solana and Ethereum initiatives had been extra more likely to safe follow-on funding, no initiatives based mostly on Close to, StarkNet, or Circulate acquired extra funding.
Infrastructure and CeFi have confirmed to be probably the most profitable
The Lattice Fund report recognized infrastructure and centralized finance (CeFi) as probably the most profitable sectors for funding. CeFi led with 80% mainnet launch, whereas infrastructure initiatives adopted with 78% success fee. Gaming and metaverse proved to be overkill and had the very best failure fee.
Analysts at Lattice fund famous that investor curiosity is shifting in direction of trending sectors similar to DePIN and AI. They said, “Returns come not from chasing what's scorching proper now, however from asking what will likely be scorching in 1-2 years.
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