Definition ∞ Private investment refers to capital deployed into companies or assets that are not publicly traded on a stock exchange. This can include venture capital, private equity, or direct investments by individuals or institutions into private businesses or projects. Such investments often occur in early-stage companies or those undergoing significant restructuring. They typically involve a longer time horizon and less liquidity than public market investments.
Context ∞ Private investment activity is a frequent topic in financial news, especially concerning funding rounds for cryptocurrency startups and blockchain infrastructure projects. The volume and nature of private capital entering the digital asset space are closely watched indicators of industry sentiment and growth. Understanding private investment trends helps assess the underlying financial health and future direction of various sectors.