In some respects, the cryptocurrency industry is virtually no different from any other sector. In particular, this concerns gender inequality.
Since the beginning of 2022, the number of women-led blockchain startups has decreased by almost 50%.
For the most part, this dynamic is due to the fact that investors prefer to avoid such projects, according to a Bitget study, the results of which are at the disposal of the editors.
Analysts analyzed the period from the first quarter of 2022 to the third quarter of 2023. According to the report, during this period, blockchain startups collectively raised $27.85 billion. Only 6.34%, or $1.77 billion, of this amount came from projects led by women.
Startups founded by women are also more responsive to crises, experts say. Thus, the decline in funding in the second quarter of 2022 had almost no effect on men’s projects, while investments in women’s projects decreased by half.
The number of women’s projects is decreasing!
The number of male-led startups has remained virtually unchanged over the past few quarters. Meanwhile, the number of blockchain startups founded by women has decreased by 45.2% since the beginning of 2022.
However, now the dynamics are being restored. As of the third quarter of 2023, the number of female startups was 93.6% higher than at the beginning of last year.
Women-led projects are less susceptible to bullish trends, analysts say. At the same time, the opposite situation is observed in male blockchain startups. However, this is only for the better: the continuation of such dynamics can lead to gender balance.
Reasons and prospects
According to the study, several factors influence the number and funding of female-led blockchain startups, including:
- General trends in investing in startups;
- Situation of the crypto market;
- Investor sentiment and bias.
The disparity in investment in men’s and women’s projects suggests that the crypto industry needs to take comprehensive measures to increase inclusivity. So far, the blockchain field is not very accessible to women.
To stabilize gender balance, it is necessary to create specialized incubator programs and venture funds. This could lead to an increase in the number of female-led startups.
