Crypto startup funding rose to $2.4 billion in the first quarter of 2024, driven by expectations of lower interest rates and the launch of the first U.S. bitcoin spot exchange-traded funds (ETFs), according to Pitchbook data. This funding, spread across 518 deals, marked a 40.3% increase from the previous quarter, even as global venture capital investments fell to a near five-year low. The U.S. regulatory approval of spot bitcoin ETFs by Blackrock and Fidelity bolstered the legitimacy of the asset class, driving bitcoin to a record high of $73,803 in March. Startups focused on crypto and blockchain infrastructure led the funding, with Together AI securing the largest deal of $106 million.