In the first quarter of 2025, AI startups attracted nearly 60% of global venture capital (VC) funds, totaling $73 billion, significantly boosted by a $40 billion investment in OpenAI. A Pitchbook report highlighted that 57.9% of VC funds in Q1 were allocated to AI and machine learning, a considerable increase from 28% in Q1 2024. North America showed an even greater inclination towards AI, with 70% of its venture funding directed to AI startups. This surge has raised concerns about market saturation; experts warn that the aggressive investment environment may lead to significant losses. Meanwhile, the crypto sector raised $4.8 billion, largely due to notable investments such as MGX's $2 billion in Binance, marking the largest quarter since Q3 2022 for crypto capital. The report indicates a contrasting atmosphere between AI and crypto funding, amidst an evolving regulatory landscape for blockchain firms.

Source 🔗