Bitcoin/Blockchain Companies Founded by Year – Q1 2017

The following graph shows the founding date distribution in the Bitcoin/Blockchain sector. The graphic includes data through October 2016.

Bitcoin/Blockchain Companies Founded by Year
Bitcoin/Blockchain Companies Founded by Year
The above graph summarizes the number of Bitcoin/Blockchain companies founded in a certain year. 2014 ranks at the top with 162 companies founded in that year. 2013 is close behind with 137 companies founded.

We are currently tracking 897 Bitcoin and Blockchain companies in 12 categories across 74 countries, with a total of $1.8 Billion in funding. Click here to learn more about the full Bitcoin and Blockchain landscape report and database.

Bitcoin/Blockchain Startup Landscape Trends and Insights – Q1 2017

A report providing an overview of the Bitcoin/Blockchain startup landscape, graphical trends and insights, and recent funding and exit events. Click here to see this entire deck on our new blog.

We are currently tracking 893 Bitcoin and Blockchain companies in 12 categories across 74 countries, with a total of $1.9 Billion in funding. Click here to learn more about the full Bitcoin and Blockchain landscape report and database.

Bitcoin/Blockchain Exits by Category and by Year – Q4 2016

Exit Activity by Category in Bitcoin/Blockchain
Exit Activity by Category in Bitcoin/Blockchain

The above graph summarizes the number of exits (acquisitions and IPOs) in each Bitcoin/Blockchain category. The Bitcoin Exchanges and Bitcoin News/Data categories are leading the sector with 7 acquisitions each.

bitcoin-blockchain-exits-by-year
Exit Activity by Year in Bitcoin/Blockchain
The above graph summarizes the number of exits (acquisitions and IPOs) in the Bitcoin/Blockchain sector by year. 2015 leads the sector with 12 acquisitions.

We are currently tracking 890 Bitcoin and Blockchain companies in 12 categories across 74 countries, with a total of $1.8 Billion in funding. Click here to learn more about the full Bitcoin and Blockchain landscape report and database.

Bitcoin/Blockchain Funding by Type – Q4 2016

The following two graphs summarize the types of funding going into the Bitcoin/Blockchain space.

Bitcoin/Blockchain Funding by Type by Year - Funding Amount
Bitcoin/Blockchain Funding by Type by Year – Funding Amount

The graph above shows the total amount of VC funding broken out by type. In recent years, early to mid-stage funding type events (Seed, Series A, B, and C) have accounted for a substantial amount of total funding.

bitcoin-blockchain-funding-by-type-count
Bitcoin/Blockchain Funding by Type by Year – Event Count
The graph above shows the total count of funding events broken out by type. The general trend over the past few years has been a substantial number of funding events in the Seed stage and a fewer number in the Series A stage, with the funding events in the later stages quickly dropping off.

We are currently tracking 885 Bitcoin/Blockchain Technology companies in 12 categories across 74 countries, with a total of $1.8 Billion in funding. Click here to learn more about the full Bitcoin/Blockchain landscape report and database.

Bitcoin/Blockchain Category Innovation Quadrant – Q4

Bitcoin/Blockchain Category Innovation Quadrant
Bitcoin/Blockchain Category Innovation Quadrant
Our Innovation Quadrant provides a snapshot of the average funding and average age for the different Bitcoin/Blockchain categories and how they compare with one another.

  • Heavyweights: Categories with high average funding and high average age. These categories are comprised of companies that have reached maturity with significant financing.
  • Established: Categories with low average funding and high average age. These categories are comprised of companies that have reached maturity with less financing.
  • Disruptors: Categories with high average funding and low average age. These categories are comprised of companies that are less mature with significant financing.
  • Pioneers: Categories with low average funding and low average age. These categories are comprised of companies that are less mature with earlier stages of financing.
The definitions of the Bitcoin/Blockchain categories represented in the above Innovation Quadrant are as follows:

Bitcoin Big Data: Companies that develop tools to review, parse, and analyze activity on the public ledger to increase transparency. Examples include monitoring wallets, advanced search filtering, and trend analysis.

Bitcoin Exchanges: Companies that allow users to buy and sell crypto-currencies, provide market analytics, and allow for the implementation of sophisticated trading strategies. Examples include simple consumer-oriented solutions, marketplaces to match buyers and sellers, and broker/dealers that make their own market and trade on their own inventory.

Bitcoin Financial Services: Companies that provide typical banking services using bitcoin technology. Examples include offering financial investment advice on how to manage your portfolio of crypto-currencies, providing remittance payments, and providing loans denominated in bitcoin.

Bitcoin Gambling: Companies that offer gambling opportunities using bitcoin. Examples include online casinos, and white-label game developers.

Bitcoin Infrastructure: Companies that are building the functionality that supports the continued development and expansion of the bitcoin ecosystem. Examples includes organizations responsible for maintaining the open-source code, offering white-label solutions for common bitcoin functions (such as wallets or exchanges), and the physical-world bitcoin Automated Teller Machines (ATMs).

Bitcoin Mining: Companies that develop and operate the computer hardware associated with processing bitcoin transactions (known as “mining”). Examples include the production of bespoke ASIC computers, large scale mining rig operators, and cloud mining pool software.

Bitcoin News and Data Services: Companies that provide news and data around the bitcoin ecosystem. Examples include organizations that offer up-to-date pricing information, original content, and aggregated sources of bitcoin-related news.

Bitcoin Payments: Companies that enable merchants and consumers to pay for real world goods and services using bitcoin as the medium of exchange. Examples include mobile payments via apps, Point-of-Sale terminals pre-built with bitcoin options, and developers of enterprise-level solutions.

Bitcoin Services: Bitcoin services include companies that offer typical business services (such as consulting, security, etc.), but with a bitcoin focus. Examples include recruiting, regulatory compliance, and technical implementation.

Bitcoin Trust and Verification Services: Companies that help verify a bitcoin user’s identity for regulatory purposes. Examples include identity verification for anti-fraud, anti-money laundering, and anti-terror financing laws.

Bitcoin Wallets: Companies that offer consumers a place to securely store their bitcoins. Examples include cold storage solutions, multi-step authentication, and insuring the deposits.

Blockchain Innovations: Companies that are working on blockchain distributed ledger technologies. Examples include increased settlement speed for financial transactions between banks, smart self-enforcing contracts, and cross-blockchain interoperability.

We are currently tracking 875 Bitcoin/Blockchain Technology companies in 12 categories across 73 countries, with a total of $1.8 Billion in funding. Click here to learn more about the full Bitcoin/Blockchain landscape report and database.

The State of Bitcoin in Six Visuals

We cover many emerging markets in the startup ecosystem. Previously, we published posts that summarized Financial Technology and the Internet of Things in six visuals. This week, we do the same with Bitcoin. At this time, we are tracking 729 Bitcoin companies across 13 categories, with a combined funding amount of $881 million. To see the full list of 729 Bitcoin startups, contact us using the form on www.venturescanner.com/bitcoin.

The six Bitcoin visuals below help make sense of this dynamic market:

  1. Market Overview: Breakdown of Bitcoin startup list into categories.
  2. Number of Companies Per Category: Bar graph summarizing the number of companies in each Bitcoin category.
  3. Average Funding By Category: Bar graph summarizing average company funding per Bitcoin category.
  4. Venture Funding in Bitcoin: Graph comparing total venture funding in Bitcoin to the number of companies in each category.
  5. Global Breakdown of Bitcoin: Heat map indicating where Bitcoin companies exist.
  6. Median Age of Bitcoin Categories: Bar graph of each Bitcoin category by median age.

1. Bitcoin Market Overview

bitcoin1

Bitcoin Wallets: Bitcoin wallets offer consumers a place to securely store their bitcoins, offering their users peace of mind that the public/private keys associated with their bitcoins are being protected. A lot of companies are offering enhanced security features, such as cold storage, multi-step authentication, and even insuring the deposits.

Bitcoin Payments: The products needed for merchants and consumers to pay for real-world goods/services using Bitcoin as the medium of exchange.

Bitcoin Exchanges: The platforms where consumers can buy or sell Bitcoins into other currencies of their choice. Some of these companies appear to only play matchmaker (tracking bid/ask prices and linking up a seller with a buyer with the spreads close) and others appear to be more like broker/dealers (which, in addition to match making, have their own inventory of Bitcoins they can trade with to make money via speculation).

Bitcoin Mining: Includes those who either “sell the pickaxe” or “swing the pickaxe”. The former are typically hardware companies selling the latest ASICs specifically designed for Bitcoin mining. The latter are mostly the conglomerates of rig-operators that have come to dominate so much of the mining activity.

Bitcoin Financial Services: Players offering typical banking services, but with a focus on Bitcoins. Example firms in this category offer financial investment advice on how to manage your portfolio of crypto-currencies, focus on providing remittance payments, and provide loans denominated in Bitcoin.

Blockchain Innovations: The companies are working on the blockchain distributed ledger technologies, looking to take bitcoin (and other crypto-currencies) beyond currency.

Bitcoin Infrastructure: Includes those who are “building a backbone” into the Bitcoin enterprise. This cluster includes the people responsible for maintaining the Bitcoin open-source code itself, offering white-label solutions (such as those for building your own exchange or wallet services), and the physical-world bitcoin Automated Teller Machines (ATM).

Bitcoin Trust & Verifications Services: While a lot of bitcoin transactions can be completed pseudonymously, some use cases are governed by regulations where the identity of a person needs to be verified (anti-fraud, anti-terror financing, etc.). If a company offers these regulated services in other currencies, but wants to also accept customers who use Bitcoins, they would turn to players in this cluster to provide 3rd party verification of an identity.

Bitcoin Big Data: A core feature of Bitcoin is the public ledger (known as the block chain) which maintains a transparent and complete record of all Bitcoin transactions. Companies in this space parse and analyze that block chain to allow their customers to gain useful insights.

Bitcoin Investments: Organizations that have build dedicated funds or investment vehicles to move large amounts of money into bitcoins themselves or into the startups building the bitcoin ecosystem.

Bitcoin Services: Bitcoin services include companies that offer typical business services (such as stores, consulting, security, etc.), but with a bitcoin focus. Examples include recruiting, regulatory compliance, and technical implementation.

Bitcoin News and Data Services: Organizations that offer up-to-date pricing information, original content, and aggregated sources of Bitcoin-related news.

Bitcoin Gambling: Companies that offer gaming opportunities using bitcoin.

2. Number of Companies Per Category

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The bar graph above summarizes the number of companies in each Bitcoin category to show which are dominating the current market. Currently, the Bitcoin Exchange category is leading the way with a total of 188 companies.

3. Average Funding By Category

bitcoin3

The bar graph above summarizes the average company funding per Bitcoin category. Bitcoin Mining currently has a sizable lead with an average of $24.63 million in funding per company.

4. Venture Investing in Bitcoin

bitcoin4

The graph above compares total venture funding in Bitcoin to the number of companies in each category. Wallets, Payments, and Mining seem to be the categories with the most traction.

5. Global Breakdown of Bitcoin

bitcoin5

Our updated heat map indicates where Bitcoin startups exist across 68 countries. Currently, the United States is leading the way with 264 companies. The United Kingdom is in second with 42 companies, and Canada is in third with 36. The cities leading the pack are San Francisco with 57 companies, London with 29, and New York with 21.

6. Median Age of Bitcoin Categories

bitcoin6

The bar graph above summarizes Bitcoin by median age of category. As Bitcoin is a relatively young industry, there isn’t any one category that is significantly older than the rest. The variation in category medians is between 2 and 3 years.

As Bitcoin continues to develop, so too will its moving parts. We hope this post provides some big picture clarity on this booming industry.

Venture Scanner enables corporations to research, identify, and connect with the most innovative technologies and companies. We do this through a unique combination of our data, technology, and expert analysts. If you have any questions, reach out to info@venturescanner.com.