The VC direct secondary market in the U.S. reached $61.1 billion in Q2 2025, up from $60 billion in Q1 and $50 billion in Q4 2024. That Q2 total represents only 1.9% of total unicorn value, indicating the secondary market remains small relative to overall private-market valuations. Trading volume is highly concentrated, so benefits primarily accrue to investors and employees in the highest-valued, late-stage unicorns. Startups increasingly offer periodic liquidity to retain talent, and investors no longer view secondaries as distress signals. Secondary SPVs have surged, with a 545% rise in number and 1,000% growth in capital raised.
The rise of secondaries has been one of the private markets' most resilient and undeniable narratives in recent years. Consider: In the late '90s and early 2000s, secondaries were looked down upon, fretted about as signs of distress or sales at a discount. Today, not so. I don't think it's an exaggeration to say secondaries are an enduring (and growing) corner of the private markets, and an increasingly important vehicle through which VC firms drum up returns in a limited exit environment.
In Q2 2025, the VC direct secondary market in the U.S. was $61.1 billion, according to new data from PitchBook. That's up slightly from $60 billion in Q1, and a marked jump from the $50 billion in Q4 20024, which was the first time PitchBook published a VC secondaries report. But it's important to remember that this is still, somehow, small relative to the market-and the enormous liquidity needs of VC firms.
"The secondary markets are a vital liquidity valve, though their influence is limited due to the high concentration of trading volume," said Emily Zheng, senior venture capital analyst at PitchBook, via email. "Investors and employees in the highest valued, late-stage unicorns are most likely to benefit from secondaries today." Zheng added: "Startups can no longer ignore the value of providing employees with periodic liquidity to retain talent, and investors no longer view secondaries as a distress signal."
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