Crypto valuations may fall until September as venture capitalists play a waiting game

Tons of money have been raised in the cryptocurrency industry in recent months, but there has been a noticeable halt in deployment. That could change in the next few months.

According to David Nage, venture capital portfolio manager at Arca, as it has taken longer to close crypto VC deals, valuations across the industry have dropped. Some venture capitalists are taking advantage of the market's continued investor friendliness, while others are waiting a little longer to deploy capital. "There's been this kind of viral dialogue that valuations are going to come down even more significantly around September, and it's just going to be a frenzy," Nage said. Even though there is a waiting game going on right now, the total amount of capital flowing into crypto is still up from the previous year.

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