A recent report by Crypto Valley Venture Capital (CV VC) reveals that the German blockchain sector has shown impressive resilience, experiencing a 3% year-on-year increase in funding. This is in stark contrast to the global blockchain ecosystem, which saw a significant downturn of over 50%.
The CV VC report, titled “The German Blockchain Report 2023,” scrutinizes venture funding activities spanning from Q3 2022 to Q2 2023 in Germany. It compares this data with global and Greater European venture funding trends.
Germany Bucks Global Trends
Despite a 62% decrease in global funding and a 44% reduction in the number of deals worldwide, Germany managed to secure $355 million across 34 deals. This marks a 3% increase compared to the previous four quarters when the country received $346 million through 47 deals.
Source: CV VC
While the majority of venture capital activity is centered in the United States, with 48% of global funding and 41% of international deals, Asia and Europe also play significant roles. Asia contributes 28% of funding and 22% of deals, while Europe contributes 17% of funding and 27% of deals.
Berlin’s Leading Role
Berlin has emerged as the undisputed leader in Germany’s blockchain landscape, consistently outperforming other cities in terms of deal count and funding percentage. Its strategic collaborations and commitment to research and development have made it a key hub for blockchain innovation and investment in the nation.
Europe’s share of global blockchain venture funding has surged from 18% to 26%. Germany has contributed significantly to this growth, securing 9.4% of the funding share and participating in 10.3% of the deals between Q2’22 and Q3’23.
Germany’s Strong Position
Germany’s blockchain ecosystem shines due to its technological advancements, commitment to research, and a favorable regulatory environment. These factors, along with cross-sector collaboration, have established a robust and sustainable blockchain ecosystem that positions Germany as a leader in European blockchain innovation.