📉 VC Funding in Crypto Down 59% — Firms Turn to Convertible Debt

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According to Galaxy Research, venture capital funding for crypto fell 59% quarter-over-quarter, with deal counts down 15%.
This funding slowdown has pushed firms like IREN and Kindly MD toward convertible note offerings to raise liquidity without equity sales.
Analysts say these moves reflect a broader shift toward debt financing as market conditions tighten across the digital asset sector.