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10 Best Blockchain & Crypto Startups to Watch 2024

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Blockchain will disrupt every sector. Meet the top 10 startups leading the charge in 2024 - from decentralized finance to NFTs to the distributed web, these are the companies shaping the frontier of crypto innovation.

Blockchain and cryptocurrency startups have seen surging interest from investors captivated by their fresh approach to finance and business. Over the past three years, these companies have raised approximately $73 billion in funding.

Given the momentum in this space, we highlight some of the most promising crypto and blockchain startups to watch in 2024. This list showcases innovative companies building the future of digital assets, decentralized finance, NFTs, Web3 and more.

What Are Some of the Best Blockchain Startups & Blockchain Innovators to Watch?

Yuga Labs

Yuga Labs is an innovative blockchain technology company based in Miami, Florida, co-founded by Greg Solano and Wylie Aronow in 2021. The company's mission is to shape the future of web3 through storytelling, experiences, and community. At its core, Yuga Labs is a testament to the power of simple ideas, having begun from a text message between friends that read, "Let's make a NFT," to becoming a pioneer in the NFT domain.

Investment Insight: With a seed funding round of $450 million from notable investors such as Lightspeed Venture Partners, Coinbase, and Samsung NEXT, Yuga Labs has positioned itself at the forefront of the burgeoning web3 space.

Yuga Labs has introduced several iconic digital collectibles and NFTs, starting with their flagship collection, the Bored Ape Yacht Club (BAYC), which launched in April 2021. Each BAYC NFT serves not only as a digital collectible but also as a membership pass to an exclusive community. The collection sold out rapidly, and the momentum led to the expansion of the BAYC universe with the addition of Bored Ape Kennel Club (BAKC) and Mutant Ape Yacht Club (MAYC).

2022 marked a year of exponential growth for Yuga Labs. The company expanded its portfolio by announcing Otherside, a gamified metaverse, and integrating popular NFT collections like CryptoPunks, Meebits, and 10KTF into what they’ve branded the "Yugaverse." This growth has been underscored by a commitment to web3 values such as decentralization and ownership, notably decentralizing IP rights of Bored Apes, Punks, and Meebits, allowing NFT holders to leverage their assets to create brands and communities.

Yuga Labs' approach of having a "no border" strategy is embodied in Otherside, a metaverse that involves the community in its development process and promotes interoperability and open access. This strategy aligns with their broader vision of integrating fans and players into the creation process, effectively blurring the lines between creators and consumers.

Mysten Labs

Mysten Labs is committed to building the critical infrastructure that fuels the expansion and ease of access to web3 technologies, offering a collection of development tools tailored for the crypto community. They aim to craft a decentralized internet landscape by introducing innovative platforms and protocols that enhance the digital experience for both creators and end-users.

Investment Insight: Mysten Labs has attracted significant investment, securing $300 million in a Series B funding round in 2022, led by Andreessen Horowitz. This investment has catapulted the company to a $2 billion valuation, reflecting confidence in their strategic direction and future potential.

Overview of Mysten Labs' Offerings:

  • Sui: The premier undertaking of Mysten Labs, Sui, stands out as a permissionless Layer 1 blockchain network. It's built from the ground up to be user-friendly for developers and end-users alike, supporting a wide array of application developments. With its exceptional transaction speed and minimal cost structure, Sui offers a compelling environment for crafting decentralized applications.
  • Move: Move is a purpose-built programming language for the Sui ecosystem, focusing on security and expressiveness. It's tailored to meet the unique challenges blockchain developers face, enabling the construction of efficient, secure, and richly-featured applications on the blockchain.
  • Sui Kiosk: The Sui Kiosk is a decentralized trading platform within the Sui network, based on a system of shared objects or "Kiosks." Owned by various parties, these Kiosks can hold digital assets and list them for sale, incorporating specialized trading features that cater to the decentralized market.
  • Sui Onboarding: Mysten Labs simplifies the process of integrating developers and users into the Sui ecosystem, facilitating access to a suite of decentralized applications and services.

Key products by Mysten Labs include Sui Wallet, a feature-rich wallet to access and transact on Sui; Sui Explorer, a real-time view of Sui network activity and metrics; and Sui Name Service, personalized domain naming on Sui.

Magic Eden

Magic Eden is a prominent player in the digital marketplace for non-fungible tokens (NFTs), specifically acclaimed for being a leading NFT marketplace on the Solana blockchain. The company also extends its offerings to other crypto assets, positioning itself as a versatile crypto marketplace.

Investment Insight: In 2022, the company closed a $130 million Series B funding round led by renowned venture capital firm Sequoia. This influx of capital propelled Magic Eden's valuation to $1.6 billion following the round, demonstrating strong market enthusiasm for the company's business strategy and outlook. 

Here is a breakdown of Magic Eden’s key features and offerings:

  • Diverse NFT Collections: Magic Eden hosts a variety of NFT collections, including but not limited to: NodeMonkes, Rekt Dogs, ZED RUN, Bitcoin Puppets, Spectrum Heroes
  • Hot Collections and Launchpads: The platform features "HOT COLLECTIONS" which are likely popular or trending NFT series. Additionally, "LAUNCHPAD" offerings suggest a service for debuting new NFT projects.
  • NFT Auctions: They hold auctions for unique NFTs, as seen with the "WAGPER PNGS Auction".
  • Blockchain Integration: Magic Eden integrates with multiple blockchains, providing a marketplace for NFTs from both the Ethereum-based Polygon network and Bitcoin-related collections, including those utilizing Bitcoin's recent Taproot upgrade (e.g., Quantum Cats).
  • Community and Culture: The platform emphasizes community and a sense of identity among NFT collectors, with collections like "CETS" which is described as a community of rule-breakers.

In addition, Magic Eden has its own Wallet offering, which is a comprehensive, multi-chain digital wallet designed specifically for NFT collectors and users interested in the emerging space of Ordinals and Rare Sats. 

Spruce Systems

Spruce Systems is a startup building user-controlled digital identity solutions founded on principles of privacy and user empowerment. The company has assembled an experienced team including founders, engineers, marketers and advisors who collaborate to realize SpruceID's vision.

Investment Insight: In terms of funding and backers, SpruceID is supported by leading investors, founders and institutions indicating confidence in their products and mission. The international SpruceID team, referred to as "Sprucers", contributes diverse skills across engineering, marketing and other domains. In 2022, the company raised $34 million in Series A financing led by renowned firms Andreessen Horowitz and Y Combinator.

Here are some of the key offerings and aspects of SpruceID:

Credible:

  • Credible is a core product of SpruceID that manages the full lifecycle of verifiable digital credentials.
  • It supports issuing credentials, both in-person and remotely, with appropriate security checks.
  • Credible allows developers to easily create or transform applications into identity wallets that can hold various types of credentials.
  • It enables sending and verifying credentials across different platforms and use cases, even in offline settings.
  • Mobile driver's licenses (mDLs) are a specific use case highlighted, with support for over 14 US states and 15 countries.
  • Ensures interoperability of credentials through global standards, such as ISO/IEC 18013-7 for mobile driver's licenses and W3C Verifiable Credentials.

Digital IDs:

  • SpruceID is involved in developing digital ID solutions that are machine-readable and tamper-evident.
  • These digital IDs provide a way for users to selectively disclose information, enhancing privacy and security.
  • Digital IDs can be used for a variety of purposes, including professional certifications, tickets, vouchers, or membership badges.

Developer Tools:

  • SpruceKit is a toolkit for developers that includes libraries and APIs to facilitate the creation of digital identity applications.
  • The toolkit supports custom credential types and provides a style guide for aligning design, suggesting a focus on user experience and interface design.

SpruceID's offerings are aimed at organizations and developers seeking to implement modern, secure, and privacy-conscious solutions for digital identity management. Their products are built to be interoperable and compliant with current standards, reflecting a commitment to creating a user-centric digital ecosystem.

Phantom 

Phantom is a cryptocurrency wallet service that aims to streamline the experience of using digital assets and decentralized finance (DeFi) for a broad user base. The wallet supports multiple blockchain platforms, including Solana, Ethereum, and Polygon. With a focus on simplicity and accessibility, Phantom provides users with an interface to manage their cryptocurrencies and non-fungible tokens (NFTs) in one place.

Investment Insight: The company has raised significant funding, including a $109M Series B in 2022 led by Andreessen Horowitz and Solana, which valued the company at $1.2 billion.

Product offering:

  • Phantom offers a multichain wallet that doesn't require users to switch between different blockchains.
  • Users can access large NFT marketplaces directly from the wallet and showcase their NFT collections.
  • Features include the ability to monitor activity through transaction history and notifications, and manage tokens without limits on transactions or balances.
  • Users can perform token swaps quickly with low fees, store, stake, and earn rewards with tokens, and sell NFTs in just 2 clicks.
  • Phantom is self-custodial, meaning users have full control over their funds.
  • The wallet is designed with privacy in mind, not requiring personal details like name, email, or phone number.
  • It includes scam detection to flag malicious transactions and supports hardware wallets like Ledger for enhanced security.

Overall, Phantom stands out as a significant player in the cryptocurrency wallet space, with a strong emphasis on user experience, security, and community engagement. Their rapid growth and substantial funding suggest a robust business model and a commitment to scaling their offerings in the DeFi and NFT ecosystems.

Faraway

Faraway is a company that specializes in creating hyper-social blockchain games which feature player-driven economies. These games are designed to leverage the power of blockchain technology to enable various in-game economic activities such as the creation, buying, selling, and trading of digital assets in the form of non-fungible tokens (NFTs). The games aim to provide players with a more engaging and interactive experience by allowing them to participate actively in the in-game economy.

Investment Insight:  Faraway has raised $29 million in a Series A funding round in 2021. The funding round included investments from prominent venture capital firms such as Sequoia Capital and Andreessen Horowitz (a16z).

What Faraway Does:

  • Develop Blockchain Games: Faraway develops games like "Mini Royale: Nations," "Faraway Land," and "Serum City," which are built on blockchain technology allowing for decentralized player economies.
  • Enable Player-Driven Economies: The games support player ownership and trade of in-game assets, fostering an open economy where players can genuinely own, buy, and sell their digital items.
  • Provide Development Tools: For developers and creators, Faraway offers a suite of Web3 development tools and smart contracts to build games or power creator economies. This includes cross-chain smart contracts, a blockchain analytics suite, fungible token launchers, and on-demand NFT minting.
  • Support Multi-Chain Functionality: Faraway's platform can manage in-game assets across multiple blockchain networks, simplifying the process for players and creators to interact with the games' economies.
  • Encourage Content Creation: Faraway encourages user-generated content, allowing creators to develop assets like heroes, weapon skins, and maps for games that can be used across their platform.

Faraway's approach to gaming represents a significant shift from traditional video games by integrating blockchain into the core of its games' mechanics. This integration allows for a more participatory and potentially lucrative experience for players, as they can earn real value from their in-game activities and contributions. 

Forta

Forta is a decentralized network that provides security and threat intelligence services for the Web3 ecosystem. Below is an analytical overview of Forta:

Investment Insight: Forta secured $23 million from Andreessen Horowitz in 2021, raising its valuation to $1 billion.

Forta Network:

  • It is a security platform that uses machine learning and a community of experts to generate intelligence about exploits, scams, and other on-chain threats.
  • The network is designed to be the largest source of security intelligence in Web3.

Use Cases:

  • Wallets use Forta to screen transactions and protect users from scams.
  • Security and compliance companies use Forta to stay updated on the latest threats.
  • DeFi protocols and bridges use Forta to detect potential exploits early.
  • Investors use Forta to receive real-time alerts for threats impacting their investments.

Community and Development:

  • Developers, data scientists, and security researchers can build on the Forta SDK to create threat intelligence and earn recurring revenue.
  • The community can participate in the network by staking and delegating FORT tokens, as well as contributing to governance.

Economics and Rewards:

  • Developers and companies are incentivized through rewards for building detection bots.
  • There is a distribution system for network revenue to bot developers.
  • Developers can earn additional rewards through grants.

Forta App:

  • Data feeds are created and maintained by the community for various purposes, like scam detection and attack prevention.
  • Feeds include Scam Detector, Attack Detector, Spam Detector, Rug Pull Detector, and Sybil Defender, each offered at a monthly USDC price.
  • Users can access a general data feed that includes most detection bots except Premium Feeds.

Features Included with All Feeds:

  • API integration with unlimited calls to Forta's GraphQL API.
  • Custom notifications tailored to users' needs.
  • Multi-chain support for networks like Ethereum, Polygon, BNB Chain, Arbitrum, Optimism, Avalanche, and Fantom.
  • Bots run on a decentralized network of scan nodes.
  • The Forta App requires JavaScript to run and allows users to connect their wallets for use with the provided services.

Governance and Participation:

  • The Forta community is involved in governance, contributing to decisions, and supporting the network.
  • The use of the Forta app and services involves subscription costs, which are payable in USDC or FORT tokens, depending on the service.

Overall, Forta is a comprehensive security solution for Web3, providing tools and services that leverage community expertise, machine learning, and decentralized infrastructure to protect against scams and attacks in the blockchain space.

Pastel

Pastel is a blockchain network designed to enhance the infrastructure of Web3 with a focus on NFT (Non-Fungible Token) ecosystems. 

Investment Insight: Pastel Network has been funded through a seed funding round in which they raised $5 million from Innovating Capital. This funding was aimed at continuing the refinement of the network and platform while also supporting the building of their marketing and business development program.

Here are some key points describing the network's offerings and capabilities:

  • Certifiable Authenticity: Pastel employs AI-powered technology to ensure the authenticity of NFTs, helping to detect and protect against counterfeit digital assets.
  • Permanent Storage: The network provides a distributed storage solution called Cascade, which promises data redundancy, permanence, and accessibility, with a model of "Pay Once, Store Forever."
  • Innovative Infrastructure: Pastel offers a permissionless peer-to-peer network fortified with advanced cryptography and consensus algorithms, ensuring decentralization and security.
  • Interoperability: The network supports seamless integration of dApps (decentralized applications) and asset bridging across popular networks like Ethereum and Solana through native Web3 APIs.
  • NFT Copymint Protection: There is a clear emphasis on protecting the intellectual property of NFT creators by preventing the creation of unauthorized copies.
  • Development Tools: Pastel provides developers with various tools and resources, such as the Dynamic Smart Ticket Standard for representing NFT data, Composable Developer Modules for building dApps, and Web3 Open-API Infrastructure for integrating Pastel's features into existing ecosystems.
  • Supernodes: The network relies on Supernodes, which are high-powered validators that are responsible for validating transactions, operating protocols like Sense (for authenticity and copymint protection) and Cascade (for storage), and governing the network.
  • Incentivization: Supernode operators can earn rewards in PSL (Pastel's native cryptocurrency) through staking and transaction fees, with statistics showing an annual percentage rate (APR) for rewards, total PSL distributed to Supernodes, and the number of on-chain transactions verified.
  • Community and Engagement: Pastel actively encourages community participation and has a global community of builders, institutions, and partners. They offer various ways for individuals to engage with the network, including creating a wallet, acquiring PSL, and building custom NFTs with SmartMint.

In summary, Pastel aims to be a comprehensive Web3 and NFT infrastructure platform, offering tools and protocols to ensure security, authenticity, and permanence of digital assets, while fostering a decentralized and interoperable ecosystem for creators, developers, and users.

Nayms

Nayms is presented as an innovative and regulated marketplace that focuses on facilitating on-chain insurance. It distinguishes itself by operating within the emerging insurtech ecosystem and leveraging blockchain technology to offer a range of services to various stakeholders such as digital brokers, new-age carriers, investors, and insurance participants. 

Investment Insight: Nayms has secured funding through private investment rounds involving venture capital firms, strategic investors, and other backers who have an interest in the development of blockchain and insurance technologies. The latest funding round for Nayms was led by UDHC, a significant player in the DeFi space, and it included participation from other long-standing supporters such as New Form, Tokentus, and Keyrock. The company's valuation at the time of the April 2023 funding round was $80 million. Nayms has raised a total of $12 million to date, which it plans to use to expand its global team, accelerate the development of its marketplace for crypto-native insurance, and support other areas such as product development, marketing, and global business expansion. The investment from these rounds provides Nayms with the capital necessary to continue building its platform and to bring its on-chain insurance offerings to a wider market.

Here are the key features and aspects of Nayms:

Marketplace and Technology Integration:

  • Smart Contracts: Nayms utilizes audited smart contracts to automate and secure transactions, reducing administrative burdens and the need for intermediaries.
  • Tokenization: The platform issues ERC-20 participation tokens to represent ownership and liability in insurance capital pools, seamlessly integrating legal and regulatory processes with technology.
  • Policy Builder: A tool for brokers to create and tie insurance policies immutably to pools of capital, streamlining the risk placement process.
  • Trading Environment: Nayms offers a platform for the transfer and trading of capital participation within insurance programs.

Regulatory Compliance:

  • Regulated by Bermuda Authorities: It operates under the Bermuda Monetary Authority regulations with licenses for digital asset business (DABA Class F) and insurance (IIGB).
  • Segregated Accounts Company (SAC): Nayms allows for the creation of segregated accounts or 'protected cells', which are smart contracts that isolate assets and liabilities for individual insurance participants.

Investment and Capital Management:

  • Alternative Capital Access: The platform connects insurance programs with alternative capital sources and offers opportunities for high returns and diversified portfolios.
  • Transparent Investment Tracking: Investors can view and manage their investments, order history, and the status of participation tokens related to segregated accounts.

Ecosystem and Community:

  • Collaboration: Nayms aims to bring together different players in the insurtech space to collaborate and enhance transparency in the insurance industry.
  • Resources and Support: It provides a range of resources including whitepapers, podcasts, blogs, and a press kit, alongside FAQs and help for onboarding and understanding the platform.

User Experience:

  • Digital-Native Structure: Nayms is designed for the digital asset world, allowing for a truly digital experience, moving beyond traditional legacy systems.

Growth and Development:

  • Nayms Discretionary Fund (NDF): Offers additional protection and security for marketplace users, powered by the NAYM token.
  • Staking Rewards and Surplus Distribution: Incentives for participants through staking rewards and potential surplus distribution mechanisms.

Overall, Nayms positions itself as a forward-thinking platform that seeks to modernize the insurance industry, especially in the realm of digital assets, with a strong emphasis on regulatory compliance, transparency, and the use of blockchain technology to create a more efficient and secure insurance marketplace.

World Coin

Worldcoin appears to be a digital identity and financial network that emphasizes privacy and universal access. 

Investment Insight: The project, backed by Tools For Humanity, was reported by The Block to be seeking $50 million from investors. This fundraising effort involves selling the project's crypto tokens at a discounted rate, which is a common practice in the crypto industry known as a token sale or initial coin offering (ICO). Sam Altman, CEO of OpenAI, has shown support for Worldcoin, emphasizing the increasing relevance of being able to identify unique humans as AI becomes a more integral part of daily life. Previously, Worldcoin had successfully raised $115 million in a Series C funding round. This round was led by Blockchain Capital, with participation from a16z crypto (Andreessen Horowitz's crypto-focused fund), and Bain Capital Crypto. The project is under scrutiny from various regulators, including those in the United Kingdom and Germany, signaling that while there is interest and investment in the project, it also faces significant regulatory hurdles.

Here are the key points about Worldcoin:

  • User Adoption: Worldcoin has attracted a substantial number of users, with more than 3 million unique sign-ups across 120 countries. In the week prior to the snapshot provided, 792,625 new accounts were created, indicating significant growth.
  • Transaction Volume: There have been 30,042,302 wallet transactions made by World App users, with a daily average of 370,620 transactions in the last seven days.
  • Orb Verifications: Verification processes involve devices called Orbs. There have been verifications in 36 countries, with 2,000 Orbs manufactured to date.
  • WLD Token: Users have claimed 83,948,924 WLD tokens since the token's launch on July 24, 2023. However, it is noted that the eligibility for WLD tokens is restricted based on geography, age, and other factors, and they are not intended to be available to U.S. residents.
  • Privacy and Ownership: Worldcoin positions itself as privacy-first and owned by everyone, suggesting a decentralized and user-centric approach.
  • Mission: The project aims to build a "more human economic system" by providing access to the global economy and promoting the worth and equality of every individual.
  • World ID: This feature seems to be a digital identity system that supports more human-centered internet experiences.
  • World App: This is the first World ID compatible wallet that provides access to the global economy.
  • Community and Open Source: Worldcoin is supported by a global community that includes developers, economists, and technologists. The Worldcoin Foundation serves as the steward of the project, aiming to grow the community until it becomes self-sufficient. The project is open-source, suggesting transparency and collaborative development.

In summary, Worldcoin is a global initiative focused on creating a decentralized digital identity and financial network that is accessible to all, with a strong emphasis on privacy and user agency. It leverages a native token (WLD) and technology like the Orb to engage users and facilitate transactions. The project stresses the importance of legal compliance and user education about the risks involved in cryptocurrency.

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FAQs

What Are Blockchain Companies?

Blockchain companies are businesses that develop and implement blockchain technology to offer services or products related to decentralized digital ledgers. These companies create solutions that leverage the unique attributes of blockchain, such as enhanced security, transparency, and immutability. They operate in various sectors, including finance (cryptocurrencies, digital wallets, payment systems), supply chain management, identity verification, smart contracts, and more. The goal of blockchain companies is often to streamline processes, reduce fraud, and enable secure and traceable transactions.

What Are Some of the Best Blockchain Business Ideas?

Blockchain technology presents many promising business opportunities across sectors. Some examples of innovative blockchain startup ideas include:

  • Cryptocurrency exchanges to facilitate digital asset trading
  • Supply chain solutions enhancing transparency through blockchain
  • Smart contract development services for self-executing agreements
  • Decentralized finance platforms providing services without intermediaries
  • Tokenization services to convert assets into digital tokens
  • Healthcare blockchain solutions for managing medical records
  • Crypto wallets enabling secure asset storage and management
  • NFT marketplaces for unique digital collectibles
  • Blockchain real estate apps streamlining property transactions
  • Consulting to guide companies on blockchain adoption

The blockchain space continues to grow quickly, creating avenues for disruptive solutions in finance, supply chains, healthcare, real estate and more. These business concepts highlight the technology’s versatility and potential for reinvention across industries. From exchanges to NFTs, blockchain is enabling new decentralized models and value creation opportunities.