The key insight this week
Sometimes the simplest charts tell the most important stories.
We're ready to start reporting on the full year that was for startups on Carta. The main takeaway: things got pretty slow in the waning months of 2022.
Sure, if you compare 2022 to prior years, it doesn't seem too bad. Total rounds (6,123) came in above 2020 and total invested capital topped $100 billion for the second year running.
Of course, those totals pale in comparison to the sugar rush we saw in 2021. But they also mask a serious decline in the later quarters of 2022.
Across all Carta cap tables, we only saw $13 billion of invested capital in Q4 2022. That's the lowest of any quarter since Q2 2018 — and Q4 is typically the strongest 3-month period of the year. There are also thousands more startups using Carta today than were on the platform back in 2018.
All this adds up to the most challenging environment for private tech in years. Perhaps the rumored deluge of dry powder is really just around the corner - but founders should prepare as though this new normal will continue unabated.
New to Data Minute? Subscribe here for one venture insight per week. Forwarding encouraged!
Peter Walker
DISCLOSURE: This communication is on behalf of eShares Inc., dba Carta Inc. ("Carta"). This communication is for informational purposes only, and contains general information only. Carta is not, by means of this communication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services nor should it be used as a basis for any decision or action that may affect your business or interests. Before making any decision or taking any action that may affect your business or interests, you should consult a qualified professional advisor. This communication is not intended as a recommendation, offer or solicitation for the purchase or sale of any security. Carta does not assume any liability for reliance on the information provided herein.
DISCLOSURE: This communication is on behalf of eShares, Inc. dba Carta, Inc. ("Carta"). This communication is for informational purposes only, and contains general information only. Carta is not, by means of this communication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services nor should it be used as a basis for any decision or action that may affect your business or interests. Before making any decision or taking any action that may affect your business or interests, you should consult a qualified professional advisor. This communication is not intended as a recommendation, offer or solicitation for the purchase or sale of any security. Carta does not assume any liability for reliance on the information provided herein. © 2026 Carta. All rights reserved. Reproduction prohibited.
