In 2023, Black-founded startups in the U.S. experienced a significant decline in venture funding, receiving only $705M across 191 deals, which represents less than 0.5% of all venture funding for the year, down from $2.4B in 2022. This marks the lowest amount and share of funding for Black-founded startups in the past seven years, according to Crunchbase data. The overall venture capital market also witnessed a downturn, with global VC investments totaling $74.9 billion in Q4, showing a slight decrease from $75.6B in the same quarter of the previous year. Additionally, Indian startups faced a sharp reduction in funding, with a 62% drop in 2023. This funding crisis comes at a time when the venture capital market has failed to recover from the slump experienced in 2022.