Venture Investment in Web3: What $90B Since 2017 Really Means

Venture capital has poured a staggering amount of money into Web3 over the past several years. According to data cited by The Block, the cumulative volume raised by crypto and blockchain firms from venture investors has exceeded $90 billion since 2017.

For additional context: since the beginning of this year, analysts counted about 230 rounds totaling roughly $1.3 billion. Over the full period they’ve been tracking, that’s around 9,500 rounds in total. The numbers are big—but what matters more is how the market’s attention has shifted over time.

The 2021–2022 Spike: NFT and DeFi

The highest surge in venture activity happened in 2021 and 2022, largely driven by the mainstream popularity of NFTs and DeFi protocols. Those were the years of widespread hype: NFTs were forecast to have a massive future, and many people expected the technology to quickly reshape everyday life.

In reality, most of those bold predictions didn’t come true—at least not yet. NFTs didn’t change our lives overnight. That’s the honest takeaway from the cycle.

Not Dead—Just Maturing

At the same time, it would be wrong to conclude that the space went nowhere. The market is still moving and evolving. We’re already seeing NFTs used by enterprises, recognized artists, and major brands. The story shifted from “everyone is doing it” to “some serious players are building practical use cases.”

What I’m Waiting For Next

I’m watching for the next truly “hype-level” breakthrough—something that captures attention in the way NFTs and DeFi did, and pulls venture investors back toward blockchain at scale. Right now, compared to neighboring IT sectors, Web3 simply doesn’t command the same level of VC focus.

My bet is that the next wave won’t be hype for hype’s sake. It will be a technology (or product category) that feels undeniably useful—something that makes blockchain infrastructure hard to ignore again.