European blockchain technology companies had a record year in terms of VC investment in 2018, although overshadowed by funding going into financial technology (fintech) companies.
According to Innovate Finance’s ‘2018 FinTech VC Investment Landscape‘ report , the European blockchain and cryptocurrency industry witnessed a series of significant deals, but notably just four deals amounted to over $300 million.
Paxos delivers blockchain solutions for financial institutions, including Bankchain, a settlement platform seeking to transform post-trade activity across capital markets.
Investment took off in Q2 when Ant Financial closed a $14 billion round – setting a record for both fintech and venture capital.
Let’s compare that whopping $36.6 billion in fintech investment to the amount raised in the blockchain space through VC funding.
A report published by blockchain research group Diar states that blockchain and cryptocurrency startups raised almost $3.9 billion from VCs from Q1 to Q3 in 2018 – representing a 280 percent increase when compared to the data from 2017.
Although VCs are seemingly taking an increased interest in blockchain and cryptocurrency startups, the data suggests these companies still have a long way to go when it comes to competing with fintech businesses.
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