Post-FTX Resurgence: Crypto VC Investment Skyrockets 290% to $4.65 Billion in Q3 2025

The cryptocurrency venture capital landscape has experienced an extraordinary revival in the third quarter of 2025, with investments surging to $4.65 billion - a remarkable 290% increase compared to the previous quarter. This dramatic uptick represents the most robust investment activity the industry has witnessed since emerging from the shadow of FTX's collapse, signaling a powerful recovery and renewed institutional confidence in blockchain technologies. The resurgence is particularly notable given the historical context of the FTX debacle that had previously dampened investor enthusiasm across the crypto sector. A significant characteristic of this quarter's investment pattern is the concentration of capital in mega-deals, with just seven transactions accounting for half of the total capital deployed. Fintech giant Revolut led this charge with a massive $1 billion investment, demonstrating how established financial technology players are increasingly embracing cryptocurrency infrastructure and services. This investment surge reflects growing optimism about the maturation of blockchain technology and its potential to transform traditional financial systems. The data suggests that venture capitalists are now more selective but also more confident in backing substantial projects with clear utility and scalability, moving beyond the speculative frenzy that characterized earlier market cycles. The timing of this resurgence, coming precisely as the industry moves further from the FTX collapse, indicates that investors have processed the lessons from past failures and are now deploying capital more strategically into projects with solid fundamentals and sustainable business models.

Crypto VC Investment Surges to $4.65 Billion in Q3, Fueled by Mega-Deals

Venture capital inflows into cryptocurrency projects skyrocketed to $4.65 billion during the third quarter of 2025, marking a staggering 290% quarter-over-quarter increase. This resurgence represents the strongest investment activity since the shadow of FTX's collapse lifted from the industry.

A mere seven transactions dominated half the total capital deployed, with fintech giant Revolut leading the pack at $1 billion. Crypto-native players followed closely, as Kraken secured $500 million and digital asset bank Erebor landed $250 million in fresh funding.

The capital distribution reveals an industry entering maturity. Established firms founded during the last crypto winter of 2018 attracted outsized checks, while newer 2024 startups accounted for higher deal volume. Pre-seed activity continues its decline—a telltale sign of an ecosystem moving beyond speculative bets toward proven business models.

Robinhood Surges 10% on Prediction Markets Expansion with Susquehanna

Robinhood shares rallied sharply after unveiling plans to dominate the prediction markets space through a derivatives exchange partnership. The trading platform's stock climbed over 10% following its strategic alliance with Susquehanna International and Miami International Holdings to acquire LedgerX—a MOVE that positions Robinhood at the forefront of event contract trading.

The newly controlled entity will handle futures and derivatives tied to outcomes ranging from macroeconomic events to sports results. Bernstein analysts project $300 million in annual revenue potential from this venture, reinforcing their $160 price target. Robinhood's prediction markets have already processed 9 billion contracts through 1 million users since launch.

This aggressive expansion comes as Robinhood cements its status as the S&P 500's second-best performer in 2025, boasting 215% year-to-date gains. The LedgerX acquisition—formerly part of the collapsed FTX empire—signals Robinhood's ambition to absorb crypto-native infrastructure into its mainstream trading ecosystem.