Movement Labs, a San Francisco–based software development team that’s building a layer 2 Ethereum blockchain, has closed a $38 million funding round, Fortune has exclusively learned.

Polychain Capital, the crypto VC mega firm led by Coinbase alum Olaf Carlson-Wee, led the Series A, with participation from other digital-assets-focused investors including Hack VC, dao5, and Robot Ventures.

Movement’s raise comes on the heels of more sizable rounds for other companies building new blockchains, including Monad Labs, which raised $225 million to build a layer 1, and Berachain, another layer 1 developer that recently announced a $100 million Series B.

While the flurry of fundraises reflects a return to crypto-focused venture investments, the concentration of capital around blockchains also indicates an increasingly competitive landscape for companies hoping to build the next Bitcoin or Ethereum.