The first quarter of the year has shown promising signs for venture capital (VC) investments, with approximately $4.5 billion in spending reported by PitchBook. Notably, a significant portion of this was influenced by Binance's collaboration with Abu Dhabi's MGX, contributing half of the total spending. In comparison, the previous year's quarterly average was just over $2 billion. If this trend continues, annual VC spending could reach $18 billion, although this still falls short of the $33 billion raised in 2021. PitchBook's Robert Le anticipated a potential for multiple $5 billion quarters driven, in part, by larger deals surpassing $100 million, which have previously been sparse. As of March, the average deal size has notably increased to about $60 million, reflecting a shift from smaller investment amounts seen in the past year. The return of mega funds is expected to foster more substantial deal funding, indicating a positive momentum in the market.

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