Crypto venture capital firms have deployed over \$2 billion into digital asset projects since January 2026, but the money is flowing to fundamentally different sectors than previous cycles.
Stablecoin infrastructure, custody services, and real-world asset tokenization now dominate funding rounds, while Layer 1 blockchains and community-driven tokens have fallen out of favor. This shift signals a maturation of the crypto industry, with VCs prioritizing revenue, regulatory compliance, and