Silbert, who oversees the operations of one of the largest venture capital firms in crypto with investments in Coinbase, bitFlyer, Blockchain, Chainalysis, Coins, ErisX, Etherscan, Kraken, Ledger, Ripple, and many more large-scale companies in the cryptocurrency space, said:

"We've seen half a dozen fundraising deals fall apart over the past month after the lead pulled out. All is not well in crypto VC investor land Good time to remind founders that a signed term sheet does not equal cash in the bank."
Difficult Period For Crypto Companies

The bear and bull market cycle works the same way for venture capital firms as retail or individual investors. As ShapeShift CEO Erik Voorhees explained, venture capital firms tend to move out of a market when it struggles and comes back when it's flooding with investments, demand, media coverage, and user activity.