Bluesky Raises $100 Million Series B as It Hits 43 Million Users

From Twitter Alternative to $100 Million Startup

Bluesky, the decentralized social network that began as a Twitter-backed research project, has raised $100 million in Series B funding led by Bain Capital Crypto. The round follows a $15 million Series A in 2024 and an $8 million seed round in 2023.

The social network now has over 43 million users and is positioning itself for the next phase of growth under new leadership following a recent CEO transition.

The Funding History

• 2023: $8 million seed round
• 2024: $15 million Series A
• April 2025: $100 million Series B (led by Bain Capital Crypto)

The Knight Foundation was among the investors, citing Bluesky's potential to create a healthier information ecosystem as a key reason for its investment.

Can Bluesky Compete?

With 43 million users, Bluesky has grown significantly but still trails far behind established platforms. The decentralized AT Protocol that powers Bluesky remains its key differentiator — users can theoretically migrate their data and followers to other compatible services.

The Bottom Line

Raising $100 million for a social network with 43 million users sounds impressive until you remember that Twitter had 350 million users and still struggled to be profitable. Bluesky has momentum and goodwill from users fed up with X, but converting that into a sustainable business while staying true to its decentralized ideals will be the real test.