Although some people may have questioned whether or not the amount of funds invested in Bitcoin startups had surpassed its peak, it looks like there is nothing to worry about just yet. In fact, the number of funds flowing into Bitcoin companies during Q1 of 2016 is on par to set a new record this year, assuming these numbers can hold up.
Also read: Ethereum Technical Analysis for 04/06/2016 – 0.024 Becomes Iron Support Level Bitcoin Startups Remain A Hot Trend
Now that the focus has shifted from Bitcoin to blockchain – and even to Ethereum – there is a lot of competition in the digital currency world, as every company wants to secure funding for the next few years. Even though fierce competition does not always make it easier to secure enough funding, things are quite different in the world of Bitcoin and digital currencies.
So far, slightly over US$160m has been invested in Bitcoin startups during the first quarter of 2015. Digital Asset Holdings and Blockstream were two of the primary beneficiaries of funding, but companies such as Bitwala have secured their first round of financing as well. Diversification is always a good thing, and it is no different in the world of Bitcoin startup investing.
Keeping in mind how the end of 2015 was a rather weak quarter for Bitcoin startup funding, it is very positive to see things pick up again in Q1 2016. Although there is only so many funds to go around before investors need to say some return on investment, there is still a lot of confidence in the potential Bitcoin startups hold.
Moreover, it is important to keep in mind that just because a company attracts large amounts of funding, they receive all of the money at once. In most cases, funding […]
