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Raising capital in crypto isn’t what it used to be. In 2021, great narratives and flashy decks were often enough. Today, capital is scarce, VCs are pickier, and the bar is higher than ever. Only the best teams get funded, and most don’t even get the meeting.
At SEZ Dubai 2025, Marek Sandrik, partner at RockawayX, delivered an actionable talk to founders navigating this reality. The message was clear: VCs aren’t funding hype anymore—they’re funding outcomes.
In this article, we break down what VCs actually want to see, the common mistakes that quietly kill your chances, and how to structure a raise that wins attention, capital, and long-term alignment.
The Fundraising Landscape Has Changed
The crypto fundraising environment has undergone a significant transformation since 2021. The era characterized by abundant capital and speculative enthusiasm has given way to a more cautious and discerning investment climate.
According to a recent Bloomberg report, crypto venture capital investments in the United States dropped by 22% to approximately $1.3 billion in Q1 2025 compared to the previous quarter, continuing a broader slowdown despite signs of regulatory clarity.
Globally, the picture was more complicated. Galaxy Digital reported $4.8 billion in total crypto VC investment across 446 deals in Q1 2025. However, more than 40% of that figure came from a single $2 billion raise by Binance, backed by UAE-based MGX. Excluding that one deal, global VC funding would have totaled $2.8 billion, down 20% from the prior quarter.
What Today’s VCs Actually Look For
Investors are no longer swayed by bold ideas alone. They expect a clear path to value creation—grounded in credible traction, sound strategy, and strong business fundamentals. The era of funding potential has given way to funding outcomes. Venture capitalists now prioritize data-driven narratives that align with market realities, placing greater weight on founder quality, scalability, and execution over high-risk, low-conviction bets.
Funds are judged on their ability to return capital and generate meaningful upside. If a startup represents 2 to 5 percent of a fund’s portfolio, it must have the potential to return that fund 20 to 50 times the invested capital. Lifestyle businesses, thinly differentiated clones, or hobbyist projects aren’t likely to make the cut.
The qualitative filters are deceptively simple:
- Do I understand what this business does?
- Am I excited by this market and business?
- Would I be excited to work with this team?
That last question matters. VCs increasingly back founders who demonstrate domain expertise and clear founder-market fit. The alignment between a founder’s experience and the problem being solved is a strong signal that they’re equipped to execute through product cycles and market turns.
Poor framing can disqualify a project immediately. Saying “We are a DeFi capital allocator leveraging protocol-native strategies” might sound technical, but it leaves investors asking basic questions. A framing like “Kamino helps users earn yield by automating liquidity strategies on Solana” is specific, understandable, and user-focused. Simplicity is not a weakness; it’s an edge.
Build a Deck That Doesn’t Suck
The goal of a pitch deck is not to raise money. It’s to get the meeting. In a crowded fundraising environment, your deck is often the only chance to earn a second look. If it’s too dense, confusing, or overly technical, most investors won’t make it past the first slide.
The best decks are short, self-explanatory, and legible to someone who isn’t deep in crypto. They should answer three questions clearly:
- What is your product or service?
- Who is your target customer?
- Where are you on the journey?
A proven structure includes:
- Problem
- Solution
- Market size
- Product
- Traction
- Team
- Competition
- Financials
- Amount being raised
Traction doesn’t have to mean revenue. Early usage metrics, waitlists, and ecosystem partnerships can all serve as credible indicators—if they’re contextualized with honesty.
One of the most damaging mistakes founders make is explaining how the product works before explaining why it matters. Complexity does not equal sophistication. If the value proposition isn’t obvious, it won’t be remembered.
Your deck is your proxy for your communication skills. If it’s unclear or overloaded, investors will assume you struggle with communication—one of the most critical skills for any founder. You’re not just selling to investors; you’re selling to co-founders, early engineers, and partners. If you can’t communicate your vision with clarity and conviction, the business likely won’t scale.
One deck that stood out to us was from RockawayX portfolio company Helio, which was acquired by MoonPay.
View the Helio deck - https://docs.google.com/presentation/d/1KH4qhVMKFikxfblthhDS67LgRSoPIFr-/edit?usp=sharing&ouid=108769956401646388289&rtpof=true&sd=true
Get in Front of the Right People
A great deck means little if no one sees it. Fundraising is a focused process, not a volume game. Cold outreach rarely works unless it’s highly targeted and timed perfectly. Warm introductions remain the single most effective way to secure a meeting.
Founders should treat fundraising like a structured sales motion. Build a pipeline. Research your leads. Understand investor theses. Then batch your meetings to create momentum and prevent the narrative from going stale.
Conferences are still one of the best ways to humanize your story. Even a five-minute conversation can differentiate you more than the most polished cold email. In-person interactions give investors a sense of how you think, how you lead, and how you communicate under pressure.
Cold emails should only be used when necessary as a last resort; even then, they must be personal, relevant, and concise. The investor should know why you’re reaching out to them, what the opportunity is, and why it matters now.
The strongest raises don’t happen by accident. They happen because founders prepare, build relationships, and target the right capital with intention.
Nail the Meeting
Investors don’t want a deck walkthrough. They want a conversation. They want to hear how you think about risk, how well you understand your numbers, and whether you’re the right person to lead the company through ambiguity.
A few universal rules apply:
- Know your numbers—growth, burn, margins, retention, and unit economics.
- Ask how the investor prefers to use the meeting. Flexibility shows confidence.
- Be clear about what you’re asking for—structure, valuation, and timing.
Avoid the common pitfalls:
- Don’t oversell or exaggerate.
- Don’t dodge hard questions. Address them directly.
- Don’t fake urgency if it doesn’t exist.
- Don’t be vague about token and equity structures.
The pitch isn’t just about the product. It’s about you. Investors are deciding whether they want to spend the next five to 10 years working with your team.
Show them you’re worth the commitment.
Pick the Right Financing Structure
Choosing how to raise is as critical as choosing how much to raise. Crypto founders often have three paths: equity, token, or debt. Each structure comes with trade-offs and must be matched to the stage and nature of the business.
Equity (selling shares of the company) is best suited for infrastructure, developer tools, or custodial platforms—businesses where monetization and value accrual flow to the company itself. It also tends to carry less regulatory friction than tokens, making it a clearer path for teams focused on revenue or potential acquisition.
Token financing is appropriate when a token is central to the value flow, staking, governance, coordination, or fees. But it requires clarity. Founders must explain why the token is necessary, how it accrues value, and how supply is managed. Without compliance structuring and investor protections, token rounds often become liabilities.
Debt is rare but increasingly viable for capital-efficient or revenue-generating teams. It provides non-dilutive capital but requires repayment regardless of growth. Most debt financing includes covenants, interest, and collateral.
The financing structure you choose shapes incentives, legal risk, and future optionality. Make the decision deliberately.
Choose Investors Like Co-Founders
Not all checks are equal. The right investor does more than deploy capital. They show up in hard moments, unlock relationships, and help you make better decisions.
Before taking money, ask how they’ve supported companies during downturns. Look at how concentrated their portfolio is. Understand their follow-on behavior. Be clear on whether they’re long-term builders or momentum chasers.
In crypto, especially, it’s easy to get swept up by firms that invest heavily in bull markets and vanish in corrections. What matters more than brand is consistency and alignment.
Founders have the right to ask what else investors bring. Is it distribution? Product feedback? Regulatory expertise? If capital is a commodity, strategic support is the differentiator.
A misaligned investor is hard to replace. A great one can accelerate everything. Choose accordingly.
The Fundraising Game Hasn’t Stopped—It’s Evolved
The old playbook is gone. But a better one is emerging.
Fundraising in 2025 demands more discipline, more strategy, and more clarity. Founders must earn investor trust, articulate their value clearly, and structure raises that make sense for the long term. The best teams don’t chase hype. They build conviction.
While headlines focus on market contraction, strong projects are still raising. The capital hasn’t disappeared—it’s simply being deployed more selectively, and with higher expectations.
Today, investors fund discipline, not dreams. The founders who understand this shift and adapt to meet it won’t just raise money. They’ll build durable companies.
