Encryption project Landscapes have declined for the past six straight quarters. But CoinFund managing partner and head of venture investments, David Bachman, believes there may be a breakthrough soon for investors waiting on the sidelines to deploy funds and startups looking for capital.
“It’s been a tough couple of years” for all venture capitalists, Bachman said on TechCrunch Chain Reaction Podcast. “Let’s call them non-profit companies: When interest rates go up, the risks come from companies that aren’t making money, and valuations go down, and we’ve been through this for a couple of years. And it looks like we might be on the cusp of getting out of it. At least we think so, and the market seems to think so, too.” ».
With interest rates likely to fall next year, it could provide more clarity to investors that things are moving again in the world of cryptocurrency projects and startups. “Valuations will be able to increase, and there will be more capital flowing into early-stage venture investing,” he said.