The 2024 Web3 Industry Report analyzes an evolving landscape driven by blockchain, decentralized storage, cryptography, and more. It explores trends driving the web3 transformation, emphasizing the shift from traditional web infrastructures to secure decentralized systems. The report provides insights into growth trajectories, firmographic data, and web3 startups, along with investment trends.
This web3 report serves as a reference for stakeholders within the industry, investors, policymakers, and economic analysts, providing a snapshot of the industry’s health to map its trajectory for innovation and growth in the coming years.
StartUs Insights Web3 Industry Report 2024
- Executive Summary
- Introduction to the Web3 Report 2024
- What data is used in this Web3 Report?
- Snapshot of the Global Web3 Industry
- Funding Landscape in the Web3 Industry
- Who is Investing in Web3 Companies?
- Emerging Trends in the Web3 Industry
- 5 Innovative Web3 Startups
Executive Summary: Web3 Report 2024
This report is created using data obtained from the Big Data and AI-powered StartUs Insights Discovery Platform, covering more than 4.7 million global companies, as well as 20K+ technologies and emerging trends. We also analyzed a sample of 3200+ web3 startups developing innovative solutions to present five examples from emerging web3 industry trends.
- Industry Growth Overview: The Web3 sector is experiencing rapid growth, with over 3200 startups and more than 17000 companies. Its annual growth rate stands at 28.54%.
- Manpower & Employment Growth: The sector employs over 460000 professionals, with 100000 new employees added in the past year.
- Patents & Grants: The industry holds 65 patents, growing at a yearly rate of 13.64%. Also, it has secured over 900 grants.
- Global Footprint: Key Web3 hubs include the USA, UK, India, UAE, and France, with leading city centers in New York City, Singapore, London, San Francisco, and Dubai.
- Investment Landscape: The industry has attracted significant investment, averaging USD 10.7 million per funding round. With over 2300 investors and 9800 closed funding rounds, there is financial support.
- Top Investors: Andreessen Horowitz, Polychain, Coatue Management, and more investors have made investments, with combined value exceeding USD 4 billion.
- Startup Ecosystem: Five innovative startups include 0xScope (Web3 AI Data Layer), Arcana Network (Web3 Authentication & Chain Abstraction), Ozaru (Web3 Tools for Events), Nomiks (Web3 Economy Toolkit), and thirdweb (Web3 Development Platform).
- Recommendations for Stakeholders: Investors should explore the benefits of emerging Web3 technologies and back projects with robust security protocols. Entrepreneurs must prioritize user-centric designs and build scalable solutions to drive more adoption. Importantly, governments should create frameworks that balance innovation with societal needs while working with and assuring blockchain companies and investors to build fair policies.
Explore the Data-driven Web3 Outlook for 2024
The Web3 Industry Report 2024 uses data from the Discovery Platform and encapsulates the key metrics that underline the sector’s dynamic growth and innovation. Our database covers 3000+ startups and over 17000 companies that demonstrate increasing industry participation. The annual growth rate is 28.54%, reflecting expansion in Web3 technologies. Further, the sector has secured 60 patents and received 900 grants. This highlights strong innovation and funding support.
Web3 industry also employs over 460000 professionals globally, with employee growth of 100000 in the past year. The top five country hubs for Web3 activities are the USA, UK, India, UAE, and France. Meanwhile, New York City, Singapore, London, San Francisco, and Dubai serve as leading city hubs. These metrics underscore the dynamic and rapidly growing nature of the Web3 industry across global regions and cities
What data is used to create this web3 report?
Based on the data provided by our Discovery Platform, we observe that the web3 industry ranks among the top 5% in the following categories relative to all 20K topics in our database. These categories provide a comprehensive overview of the industry’s key metrics and inform the industry’s short-term future direction.
- News Coverage & Publications: The industry received 22000 publications last year. This is a reflection of substantial news coverage and media attention.
- Funding Rounds: Our database contains data on 9800 funding rounds, showcasing significant investment interest in Web3 technologies.
- Manpower: Globally, there are 460000 workers in the industry, with 100000 new employees added last year.
- Patents: The sector secured 60 patents, highlighting its innovative edge and contribution to technological advancements.
- Grants: More than 900 grants have been awarded to support Web3 initiatives.
- Global Search Growth: The yearly global search growth for Web3 is at 79.85%. This demonstrates increasing interest and awareness in the industry.
A Snapshot of the Global Web3 Industry
The sector is experiencing a strong annual growth rate of 28.54%, reflecting a dynamic and evolving market. With over 3200 startups, the ecosystem shows innovation and entrepreneurship. Among these, more than 1800 startups are in the early stages, while over 350 companies have undergone mergers and acquisitions. This indicates industry consolidation and maturation.
Regarding patents, 65 have been filed by over 60 applicants. The yearly patent growth rate stands at 13.64%, with the USA and Korea leading as top issuers, with more than 20 and 10 patents, respectively.
Explore the Funding Landscape of the Web3 Industry
Investment data indicates strong financial activity, with an average investment value of USD 10.7 million per round. The industry has attracted over 2300 investors, contributing to more than 9800 funding rounds and investments in over 3700 companies. This extensive funding landscape supports the ongoing growth and development of web3 technologies.
Who is Investing in Web3 Companies?
The Web3 industry has received significant investment from investors, totaling over USD 4 billion. This funding reflects confidence in the potential of web3 technologies and startups. Top investors in the industry include:
- Andreessen Horowitz has invested USD 1.2 billion in 30 companies.
- Polychain has contributed USD 821.4 million to 29 companies.
- Coatue Management has allocated USD 654 million to 6 companies.
- Liberty City Ventures has invested USD 463.9 million in 5 companies.
- NFX has contributed USD 461 million to 4 companies.
- Global Emerging Markets has allocated USD 460 million to 5 companies.
- Tiger Global Management has invested USD 427.4 million in 4 companies.
Access Top Web3 Innovations & Trends with the Discovery Platform
Several trends are emerging within the web3 landscape. Here are a few of them along with firmographic insights:
- XR (Extended Reality) encompasses virtual reality (VR), augmented reality (AR), and mixed reality (MR) and is increasingly integrated with web3 technologies. The XR trend has seen rapid growth, with over 1200 companies identified. It employs more than 34K professionals, with an addition of over 5K new employees in the past year. The annual trend growth rate for XR stands at 30.30%.
- Web3 Security focuses on securing blockchain networks, smart contracts, and decentralized applications (dApps). It ensures the integrity and trustworthiness of emerging decentralized technologies, which are foundational to the growth and adoption of Web3. Over 200 companies operate in this field, employing more than 5K professionals and having added 1K+ employees. The annual trend growth rate for web3 security is an astounding 153.11%.
- DeFi Wallets enable users to manage digital assets and engage with decentralized financial services securely. This trend has over 170 dedicated companies and employs more than 9K individuals. In the past year, it has seen an increase of 1K new employees. The annual trend growth rate for DeFi Wallets is 79.17%.
5 Top Examples from 3200+ Innovative Web3 Startups
The five innovative startups showcased below are picked based on data including the trend they operate within and their relevance, founding year, funding status, and more. Book a demo to find promising startups, emerging trends, or industry data specific to your company’s needs and objectives.
0xScope builds a Web3 AI Data Layer
Singaporean startup 0xScope delivers validated real-time Web2 and Web3 data to enable Web3 application development. Its proprietary Web3 AI Data Layer collects, cleans, and manages on- and off-chain data for Web3 AI training. The platform leverages a large language model to enhance Web3 analysis, data queries, and interaction with dApps. The startup also offers Scopechat, an AI trading assistant offering token analysis and market insights, and Scopescan, an analytics tool for blockchain investigation.
Arcana Network advances Web3 Authentication & Chain Abstraction
Indian startup Arcana Network develops a modular Layer 1 platform to enhance chain abstractions and intents for improving user experience in Web3. Its Auth SDK facilitates user authentication with social logins and passwordless access and generates non-custodial wallets. The Chain Abstraction technology enables developers to build interoperable Web3 applications and enhances security through zero-knowledge proofs. The startup’s other solution, Gasless SDK, streamlines cross-chain asset management and transaction processing.
Ozaru offers Web3 Tools for Events
UAE startup Ozaru builds Web3 tools for enhancing event management through blockchain. It offers NFT ticketing that allows organizers to create and sell NFT-based tickets. This approach ensures secure and verifiable access. The platform supports token-gating, which enables exclusive access for specific token holders and facilitates NFT sponsorships and royalties from secondary markets.
Nomiks develops a Web3 Economy Toolkit
Swiss startup Nomiks offers a Web3 economy toolkit for token economics auditing and risk management. Its Tokenomiks Builder allows developers to design, monitor, and optimize token economies. It tailors token supply, allocates resources, strategizes funding, and implements vesting schedules to ensure equitable distribution and sustained growth. Nomiks’ solution include stress testing for economic resilience, reward shaping strategies, and generating litepapers for investor presentations.
thirdweb provides a Web3 Development Platform
US startup thirdweb builds a Web3 development platform that enables developers to onboard users with wallets and scale applications across the EVM chain. The platform utilizes SDKs, audited smart contracts, and developer tools for the creation and deployment of decentralized applications. It offers features such as in-app wallets, account abstraction, and integration of fiat and crypto payments, supported by scalable smart contract APIs and secure wallets. thirdweb provides an infrastructure that supports the development of production-grade Web3 apps
Gain Comprehensive Insights into Web3 Trends, Startups, or Technologies
The 2024 Web3 industry report emphasizes a sector experiencing rapid growth, significant investment, and innovation. Emerging trends, such as increased adoption of immersive technologies, focus on decentralized security, and expanding decentralized finance solutions, will shape the Web3 landscape. Get in touch to explore all 3200+ startups and scaleups, as well as all industry trends impacting web3 companies.
