According to ChainCatcher, Galaxy Research analyzed the growth of the Bitcoin L2 ecosystem in 2024 in its latest report, pointing out that the number of projects has increased sevenfold, and venture capital has reached about $447 million so far. Galaxy estimates that by 2030, about $47 billion of Bitcoin liquidity may be connected to the Bitcoin L2 network.
The researchers highlighted that venture capital investment in the Bitcoin L2 space has reached $447 million, with 39% of that investment occurring in the first three quarters of 2024. Bitcoin L2 projects received $174 million in funding between January and September 2024. Of this, $105 million went to sidechain projects, while $63 million went to rollups.
Researchers also pointed out that there was a significant change in the second quarter of 2024, with Bitcoin L2 projects accounting for 44% of the total venture capital received by L2 networks in the entire cryptocurrency industry. Compared to the first quarter, the investment amount in the second quarter increased by 159%.
Galaxy explained that the growth in venture capital indicates that, before 2024, traditional crypto venture capital firms (not including funds focused on Bitcoin) had limited involvement in the Bitcoin ecosystem. Galaxy believes that as the ecosystem matures, crypto venture capital firms will continue to deploy funds into Bitcoin L2 projects.
