How to get funding for your web3 startup?
On a bull or bear market: we help to attract early-stage Web3 funding for startups
…or learn about fundraising essentials below ⤵️
Startup fundraising is hard.
Raising early-stage web3 funding during on a bear market is even harder.
We help founders access web3 and crypto VC investors and raise web3 funding for startups.
InnMind is the fundraising platform for 15k startups and deal-source for 200+ VC funds in crypto and web3 with joint capital of over $13 Billion.
Where to find web3 investors?
Every fundraising journey begins with building a solid pipeline of potential investors and establishing meaningful connections. But how can you find web3 and crypto investors who won’t ignore your message?
Cold emailing to investors has low conversions.
Applications on VCs’ websites and “write us” emails never get a reply.
Social media messages are often ignored or not read at all.
Crunchbase and other databases have crawled information, no real VC network.
Networking on offline events can bring results, but very costly, energy- and time-consuming.
According to Q1 2023 VC survey, every 4th venture capitalist in web3 uses the InnMind platform to find promising startups to invest in.
InnMind platform was designed to help startup founders find and match with relevant VC investors. We’ve built the largest and most active network of crypto and web3 venture capitalists who invest in startups like yours!
To get started, simply register your startup profile on InnMind and take advantage of our platform’s tools for VC outreach:
- Web3 Investors Database: Gain access to a vast and up-to-date list of web3 investors.
- Match-Making Dashboard: Streamline your investors search with our intelligent matching algorithms.
- Live Startup Pitching Sessions: Participate in high-conversion pitch-to-deal events, focused on early-stage web3 funding.
Web3 Startup Funding $ Essentials
Equip yourself with videos, guides, templates, pitch examples, and more to secure VC funding for web3, crypto, and blockchain startups.
Navigating the web3 funding landscape can be a daunting and exhausting task for founders.
In a bull market, startups often struggle to identify VC investors who can provide value and avoid dumping their projects.
Conversely, during challenging market conditions (such as bear markets, crypto winters, or periods of high volatility), securing actual VC funding for web3 projects becomes the top concern.
At InnMind, we’ve curated an extensive library and knowledge base designed to help you successfully raise web3 startup funding.
Our resources, which include practical templates and real-world document examples, aim to enhance the effectiveness of your fundraising efforts.
By leveraging these tools, you’ll be better positioned to attract the investments your web3 startup needs to thrive.
How to Prepare for Web3 Funding
As an early-stage startup or first-time founder, thorough preparation is crucial before approaching VCs. Remember, “You Never Get A Second Chance To Make A First Impression,” a rule that applies to both dating and investor relations!
Craft Compelling Startup Pitch Deck
Create a concise 10-15 slide presentation outlining your product, the problem it solves, market potential, traction, and team expertise. Draw inspiration from successful crypto and web3 companies that have secured millions in funding, and download free ready-to-use templates to help structure your investor pitch deck.
Choose Between Equity or Token Raise
Determine whether you’ll pursue equity or token raise before approaching investors. Don’t base your decision solely on the ease of fundraising. If opting for a token raise, ensure there is a clear use case and solid token economy within your business model. Utilize a tokenomics calculator to avoid mistakes in your token metrics calculations and craft perfect tokenomics.
Perfect Your Startup Pitch
Prepare various versions of your investor presentation:
- A concise 2-3 minute elevator pitch for introductions during calls and meetings.
- A focused 5-minute pitch for startup pitching sessions and fundraising events.
- A comprehensive 10-15 minute presentation for in-depth discussions with potential investors.
Explore Diverse Web3 Funding Opportunities and Investor Types
Understanding the different funding opportunities and types of investors in the web3 and crypto space can help you refine your search for better results. Here are the primary sources of funding for web3 startups:
Grant providers typically include blockchain protocols and other web3 or crypto infrastructure companies. They offer incentives for startups to build on their technology and join their ecosystem. Grants are often considered "free money" for startups, as they generally don't require equity or tokens in return.
Crypto VC investors
Crypto VC investors comprise regulated and non-regulated venture capital firms focusing on early-stage web3 and crypto startups. While most invest in tokens, many crypto VCs also consider equity and hybrid investments. Investment amounts typically range from $100k to $250k.
Crypto Pools | DAO VCs
Crypto pools or DAO VCs are communities of small investors that invest in tokens during private rounds before public token sales (IDOs/TGEs). Investment amounts depend on the community size and interest in the project.
Angel investors are high-net-worth individuals willing to take extra risk by investing in startups, in addition to or instead of DeFi instruments, bank deposits, etc. They may also include successful entrepreneurs with previous exits. Investment amounts are generally smaller than those of VC funds.
To locate these funding sources:
- Search online for grant programs to find potential grant providers.
- Use the InnMind platform to efficiently and easily discover web3 and crypto VC investors, active angel investors, and reliable crypto pools.
Effectively Connect with Web3 Investors and Capture Their Attention
Establishing connections with investors can be challenging for startup founders without an existing network of angels and VCs.
Cold outreach to investors via email and social media often results in a response rate of less than 10%, with even fewer leading to a pitch opportunity.
So, how can you make a lasting impression?
Leverage Your Existing Connections
If you don’t have a VC network, ask peers, colleagues, and friends for warm introductions to active web3 and crypto investors. Review this list of 170+ crypto VC funds actively investing in 2022 to understand the types of investors in the market. Remember, investors value warm introductions from trusted sources, as they often pay closer attention to these connections.
Utilize InnMind's Match-Making Tools
InnMind’s platform offers a comprehensive database of investor information, including investment focus, criteria, and more. Register and verify your startup to access a match-making widget, which recommends crypto investors and funds that align with your startup’s stage, vertical, and other factors.
Present your startup at live pitching sessions designed for web3 funding and deal origination. These events feature verified, active investors with proven track records. The InnMind team follows up with participating investors for feedback and facilitates warm introductions between founders and interested VCs.
InnMind’s pitching sessions are highly regarded by active web3 and crypto investors, with an above-average pitch-to-deal conversion rate. On average, participating startups receive 2 to 6 warm introductions to VCs for follow-up discussions and potential funding negotiations.
To prepare for a pitching session, consult this detailed guide and review “The Unspoken Rules of Pitching Sessions” for insights from founders and investors. You can also watch recordings of previous sessions to learn how other web3 founders pitch to VCs and anticipate common investor questions.