Crypto startups raised nearly $5 billion from venture investors in the first-quarter of 2026, DefiLlama data shows.
That’s a 16% decrease year-on-year when compared to the first three months of 2025 when the market saw closer to $6 billion in funding amid the crypto industry’s euphoria after Donald Trump took office.
Yet investment momentum is not lost — the fundraising data highlights a rapidly evolving startup ecosystem.
The prediction market sector emerged as the dominant force, securing over $1.7 billion in capital. This was followed by payments at $735 million and trading infrastructure at $423 million, underscoring a shift from speculative crypto token bets to real-world tools and institutional utility.
And more and more marquee investors — not just crypto VCs — are piling in. They include the likes of Sequoia Capital, Founders Fund, Bain Capital, and Alibaba Group.
Here are the top 10 raises in the first-quarter this year.
CHART HERE
Kalshi, $1 billion
Kalshi, the CFTC-regulated event derivatives exchange, raised $1 billion at a $22 billion valuation, reinforcing its leadership in regulated prediction markets, according to people familiar with the situation speaking with Bloomberg and the Wall Street Journal.
Investment firm Coatue Management led the raise, according to the publications’ sources.
Kalshi has not yet officially confirmed the deal.
This capital injection underscores the growing institutional appetite for prediction platforms.
Polymarket, $600 million
Polymarket secured $600 million, maintaining its dominance in decentralised betting markets.
Intercontinental Exchange, the fintech firm, said it had poured the fresh capital into the prediction market platform. and that it may acquire up to $40 million of Polymarket securities from existing holders.
Rain, $250 million
Rain raised $250 million in a Series C round at nearly $2 billion valuation.
Iconiq Capital led the raise into the stablecoin payments infrastructure provider. Other investors include Sapphire Ventures, Dragonfly Capital, Bessemer Venture Partners and Galaxy Digital.
The platform combines card issuance with stablecoin payment rails, enabling crypto-native organisations to transact with the traditional economy.
BitGo, $213 million
In January, crypto custodian BitGo raised more than $213 million in an initial public offering at over $2 billion valuation.
The firm listed on the New York Stock Exchange, pricing shares at $18, with strong institutional demand.
Flying Tulip, $206 million
Flying Tulip raised $206 million via a public token sale at a $1 billion fully diluted valuation, with development led by decentralised finance architect Andre Cronje. The sale funded a protocol integrating trading, lending and insurance functions.
The platform focuses on automated yield strategies and risk management, reflecting a broader shift towards simplified, vertically integrated DeFi products designed for institutional and advanced retail users.
Whop, $200 million
Whop secured $200 million in a strategic round valuing the company at $1.6 billion.
The investment was made entirely by Tether, the stablecoin issuer behind USDT.
Whop operates as a digital marketplace for creators, enabling the sale of software, courses and memberships with native stablecoin payments.
LMAX Group, $150 million
In January, LMAX Group raised $150 million in a strategic financing round at an undisclosed valuation.
The investment was made entirely by Ripple, the fintech company.
The partnership will integrate Ripple’s RLUSD stablecoin as collateral across LMAX’s trading venues. The deal aims to improve margin efficiency and enable around-the-clock settlement for institutional clients, highlighting increasing convergence between traditional financial infrastructure and digital asset rails.
Alpaca, $150 million
In January, Alpaca raised $150 million in a Series D round valuing the firm at over $1 billion.
The raise was led by Drive Capital with backing from Citadel Securities, MUFG Innovation Partners, Kraken Ventures and BNP Paribas’ venture arm.
The API-driven brokerage platform provides infrastructure for fintech firms to offer trading in equities and crypto. The funding will support international expansion and enhanced security capabilities, the firm says.
Bluesky, $100 million
In March, Bluesky secured $100 million in a Series B round.
The raise was led by Bain Capital’s crypto arm, with participation from Anthos Capital, early-stage venture firm Bloomberg Beta and the Knight Foundation.
The platform aims to give users control over data and identity. Its growth to more than 43 million users reflects rising demand for decentralised social infrastructure.
Anchorage Digital, $100 million
In February, Anchorage Digital raised $100 million in a strategic round at over $4 billion valuation.
The investment was made by Tether and deepens ties with the platform and reinforces the role of regulated infrastructure in the digital asset ecosystem.
As the first crypto firm to receive a US national trust charter, Anchorage provides custody, trading and financing services to institutional clients.
You’re reading the latest instalment of The Weekly Raise, our column covering fundraising deals across the crypto and DeFi spaces, powered by DefiLlama.
Lance Datskoluo is DL News’ Europe-based markets correspondent. Got a tip? Email him at lance@dlnews.com.
