In this issue, we explore how crypto fundraising is flipping the script, with VCs focusing on infrastructure and early-stage builders.
We’ll break down the latest capital outflows, zero in on ICP’s global momentum, and track how on-chain AI is moving from prototype to production.
Table of Contents
- VCs vs. Vibecapital: Who’s Funding the Future? (1–2 minutes)
- Record Outflows: Is Crypto Confidence Cracking? (1–2 minutes)
- Quantum Leap Labs Demo Day: Builders in the Spotlight (2 minutes)
- ICP Ecosystem: Scaling Innovation Across Borders (1–2 minutes)
- $25K for On-Chain AI – The Abell Finance Grant (1 minute)
- The Launch of ICP Learn Hub (1 minute)
- Web3 Wisdom — What is DeAI? (1 minute)
Total Reading Time: 7–10 minutes
VCs vs. Vibecapital: Who’s Funding the Future?
Let’s start with what the numbers are telling us.
Venture capital in crypto has shifted its focus. Recent data from CryptoRank shows a steady flow of early-stage investments into teams building infrastructure, developer tools, and foundational tech.
Projects like KYD Labs, who raised $500K in incubation funding, Ambient with a $7.2M seed round, and Cambrian Network closing $5.9M, clearly reflect a pattern—VCs are placing careful, strategic bets.
What’s getting funded today supports the plumbing of Web3—the infrastructure that quietly holds it all together.
So where do VCs fit in now?
Dragonfly Capital’s Haseeb Qureshi put it plainly during the Blockworks Digital Asset Summit 2025 in New York:
“VCs are basically the single best signal of what should be listed on these open community launch platforms… the first thing people look at is who the VCs are—not the whitepaper.”
Record Outflows: Is Crypto Confidence Cracking?
Capital has been flowing out of the market at an alarming pace. Over the past five weeks, digital asset investment products have seen a total of $6.4 billion in outflows. Just last week alone, another $1.7 billion left the space.
Bitcoin took the biggest hit, accounting for $5.4 billion of those losses. Ethereum followed with $175 million in outflows, while Solana saw a decline of $2.2 million.
Even short-Bitcoin products, meant to profit from price drops, declined—pointing to broader market exhaustion, not just tactical shifts.
The U.S. led the outflows, accounting for over 90% last week. Switzerland saw a sharp $528M pullback, likely from a seed investor exit.
Germany was the lone exception, with a modest $8 million in net inflows.
There were very few signs of confidence but XRP managed to attract $1.8 million which was one of the rare green shoots in an otherwise bearish landscape.
The big question now is …
Is this the final shakeout before the next leg up, or the start of something more painful?
Quantum Leap Labs Demo Day: Builders in the Spotlight
The spotlight was on as Quantum Leap Labs’ incubator startups took the virtual stage during ICP HUBs’ global Town Hall—an all-day, all-time-zone marathon of innovation.
With over 50 VCs, mentors, and founders from around the globe, Demo Day went beyond pitches—offering a glimpse into the Internet Computer ecosystem’s direction.
Five teams stepped forward from Quantum Leap’s program— Fantasy Extreme, Rhino Spider Bip Quantum, OMRUlancer and Abell Finance—each showing how they’re pushing real products into motion.
During the event, Caffeine hinted at where on-chain AI might be headed, letting anyone build apps using just natural language.
With startups pitching from Korea to Kenya to Canada, the 15+ hour event felt less like a demo day and more like a global snapshot of builder-led Web3.
ICP Ecosystem Update: Scaling Innovation Across Borders
Momentum didn’t stop at Demo Day—the Internet Computer is still scaling, with Quantum Leap Labs helping push it forward across North America.
At Chain Chapters, Quantum Leap Labs and ICP HUB North America gathered builders, operators, and investors to focus less on ideas and more on execution.
Houman Shadab said it best –
“Building globally doesn’t mean going solo—it means connecting chapters of innovation into a unified movement.”
$25K for On-Chain AI — The Abell Finance Grant
Abell Finance just received a $25,000 developer grant from the DFINITY Foundation. Built on the Internet Computer, incubated by Quantum Leap Labs, Abell is creating an AI-powered investing app built on the Internet Computer.
This app brings automated trading tools once reserved by the hedge funds straight to everyday users, fully on-chain.
ICP Learn Hub Goes Live
The launch of the ICP Learn Hub is a major educational milestone.
Built by the DFINITY Foundation, it offers structured insights into core topics like –
- ChainFusion: A protocol innovation for multichain compatibility
- NNS: The governance engine of the Internet Computer
This new portal empowers developers with the technical depth they need to build scalable, secure, and composable dApps on ICP. It’s a proper toolkit for serious builders.
And finally……
Web3 Wisdom — Learn Something New!
What is DeAI?
Decentralized AI, or DeAI, brings artificial intelligence onto the blockchain. Instead of running on centralized servers owned by big tech, DeAI lives fully on-chain—giving users more privacy, more control, and more trust.
On the Internet Computer, AI models are deployed as canisters—smart contracts that bundle together code, data, and state. That means every AI process is auditable, secure, and resistant to tampering.
Users stay in control of their data. Encryption keeps it private. And thanks to ICP’s architecture, DeAI apps can scale without relying on off-chain compute.
These AI models can even talk to other chains.
ICP’s Chain Fusion makes sure DeAI isn’t siloed. It’s interoperable by design.
Stay connected for real-time news on ICP, Web3, AI, and more by following us on Twitter and LinkedIn!
Thanks for reading! Stay tuned for more real-time insights on crypto investments, regulation, and cutting-edge blockchain tech. We’ll see you in the next issue of The Quantum Frontier!
