Top 6 strategies for 2025

Key takeaways

• Web3 fundraising has evolved; investors now demand strong business models, clear tokenomics and market validation.
• Remember, smart money matters; beyond funding, strategic investors can provide mentorship and industry connections.
• Multiple funding options are available — VCs, angel investors, grants, ICOs and crowdfunding each have their advantages.
• You must know when to pivot — If traction is low and resources are depleting, reassess or move on to a new opportunity.

If you were in crypto back in 2017, you might remember Centra Tech, a Miami-based company that conducted an ICO. The company claimed to offer a cryptocurrency-based debit card backed by major payment networks like Visa and Mastercard — but in reality, it had no operational product.

Despite being at the “idea” stage, Centra Tech raised over $32 million in its ICO and even secured endorsements from celebrities like Floyd Mayweather Jr. and DJ Khaled. 

Less than a year later, its founders were arrested. It was later revealed that the company had no actual partnerships with the payment networks and no real product.

Centra Tech was just one of many “ICO Boom” projects that secured investment based on white papers alone, without an MVP (minimum viable product). A report by Fabric Ventures and TokenData highlighted that in 2017, 435 successful ICOs collectively raised about $5.6 billion, with an average of $12.7 million per project.

What’s crazy is that fewer than half of these ICOs remained active beyond four months after their token sales concluded. A study reported that over 80% of ICO projects in 2017 were identified as scams.

Indeed, the days of easy money are long gone. Many startups in 2025 are seeking investment, expecting the same level of enthusiasm, only to be met with increased regulatory scrutiny, investor caution, high competition and ultimately, low success rates.

But it’s not all doom and gloom. Investors are still out there for projects that truly stand out.

Today, you’ll learn the most popular ways to fundraise in Web3, all the way down to what to do if you’ve only got a mobile phone and a dream.

Moreover, there’s a treat at the end, an exclusive sit-down with the head of business development at Cointelegraph Accelerator, offering valuable insights on the current state of Web3 investment.

1. Incubators and accelerators

Incubators and accelerators play a crucial role in helping Web3 startups move from idea to market. These programs provide mentorship, resources and funding to support early-stage projects. Here’s the difference: 

• Incubators: These focus on startups in the ideation phase, providing guidance, networking opportunities and resources to help build an MVP.
• Accelerators: They work with startups that already have an MVP, offering funding and mentorship to help scale rapidly. Most conclude with a demo day, where projects pitch to investors.

Notable Web3 programs include:

• Outlier Ventures Base Camp: A 13-week accelerator program for Web3 and crypto startups.
• Alliance: Offers daily mentorship and flexible funding for Web3 founders.
• Antler: A global early-stage investor with a 26-week startup program.
• Brinc: A 10-week accelerator providing funding, mentorship and a global network. 

And, of course, Cointelegraph has its own accelerator program, offering up to $100,000 of “smart money,” giving you direct access to infrastructure providers, investors, mentors, foundations, exchanges, market makers and more.

If you’re looking to apply to a Web3 startup accelerator or incubator, research programs that align with your project, prepare a strong pitch deck and submit applications through their official channels. 

Each program has its process and deadlines, so check the requirements beforehand.

2. Venture capital (VC) funding

For Web3 startups that need serious capital, venture capital (VC) firms are a go-to option. 

Investors are more selective, expecting clear business models, sustainable tokenomics, and strong legal foundations. Here’s what you need to know.

Finding the right Web3 VC

Not all VCs are interested in blockchain, so it’s crucial to target firms that specialize in Web3. 

Look for investors who have backed similar projects and have a track record in crypto, DeFi or NFTs. Resources like Alchemy’s list of Web3 VC firms can help you identify the right players.

When reaching out, ensure your pitch highlights what makes your project different. VCs receive hundreds of applications, so you need to stand out — whether through an innovative use case, strong traction or a killer team.

Structuring VC deals 

Web3 funding often involves a mix of equity and token allocations. 

Investors may take a stake in your company while also receiving a share of tokens, which can increase in value over time. Key things to negotiate: 

• Investment amount: How much capital is being raised, and at what valuation?
• Equity vs tokens: Will the deal include both? If so, what’s the split?
• Vesting schedules: Investors may have lock-up…