Seed Deals Hold Up Despite Contraction in Venture Capital Market

Seed deals in the venture capital market are holding up well despite a general contraction in the industry. Median valuations in the US have reached $12 million this year, higher than the record of $11.1 million in 2021. The most active startup investors have seen an increase in activity in Q3, while overall venture funding remained flat compared to the previous quarter. Global venture funding settled around $22 billion in August 2023, up around 19% month over month but down 16% from the $26.2 billion invested in July 2022. Late-stage dealmaking is experiencing sharp valuation declines, with median valuations declining in the second quarter of 2023.