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VC Dollars Are Up, Yes. But VC Rounds? They Are At a 7+ Year Low

  • Carta data reveals a significant decline in the number of VC funding rounds despite an increase in total VC dollars.
  • The average number of funding rounds per day has decreased by 53% from the peak in 2021, dropping below pre-pandemic levels.
  • This trend indicates a shift towards fewer, larger funding rounds, leading to increased competition, higher funding standards, and a focus on alternative funding strategies.
  • The market has transitioned to a selective funding environment, with fewer companies raising larger rounds, resulting in a winner-take-all dynamic in the venture funding landscape.

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