Cryptocurrencies like Bitcoin, have experienced a tremendous year in 2017, before finally had their hype dropping steadily in 2018. But still, the interest continues to rise.
According to a data published by Pitchbook and London & Partners, fundings into cryptocurrency and blockchain startups in the UK have reached a new record in 2018.
Big rounds included the £61 million raised by blockchain software firm Bitfury and a Series A closed by London-based TradeIX.
These are huge gains if compared to 2017 where startups in the field only received £19.11 million in 2017 and £51.96 million in 2016.
Overall, companies in the tech industry are having access to almost a double the amount of growth capital available to their counterparts in other European cities, such as Berlin (£936.53 million), Paris (£797.04 million) and Stockholm (£224.23 million).
These gave London-based technology companies giving a significant boost to UK investment in 2018, with the capital's businesses accounting for 72 percent (£1.8 billion) of the total £2.49 billion raised by Britain’s tech firms in general.
Commenting about this finding London’s Deputy Mayor for Business, Rajesh Agrawal, said that.
He went on by saying that even after Brexit, London will remain a place open for innovation and technology.
At its peak, fundings that poured to UK AI companies were at £736 million in 2018, representing a 47 percent increase from the £499 million raised the year before.
The figures were boosted by a series of large deals, including a £58.86M Series B closed by Culture Trip, which leverages AI to create bespoke content for its users, and AI chipmaker Graphcore’s staggering £153M Series D.
Unsurprisingly, the data also shows that the UK financial technology (Fintech) sector continues to be the most popular to investors, with London-based companies raising over £1.08 billion (over 90 percent) of the total £1.17 billion received by UK FinTech firms the year before.
Big Fintech rounds included Revolut’s £177 million and Monzo’s £84 million Series E.
Kay Swinburne, a member of the European Parliament for Wales, said that London could keep relevant by embracing blockchain technology.
She said that London should attract these new technologies for it to remain an attractive hub for businesses.