Despite rising economic tensions, U.S. investors participated in 80% of Canadian venture capital deals in Q1 2025, backing 86 transactions worth US$800 million, according to PitchBook. American firms led nearly half of total deal value. While Canadian backers talk of preserving domestic startup ownership, they’re often outbid on valuations and terms.
Experts including C100’s Michael Buhr warn this reliance threatens long-term ecosystem growth. With tariffs and political friction looming, some Canadian founders are reevaluating foreign capital. Still, investors like Panache Ventures admit U.S. players dominate top-tier rounds. Domestic firms are being urged to lead—before others do.
Want to know more? Check out the source code on The Logic.