The institutional development of countries is an important determinant of venture capital (VC) investments (Guler & Guillen, 2010b; Khoury, Junkunc & Mingo, 2015). VC firms are more likely to invest in countries that provide certainty regarding the appropriability of economic returns on investments. The attention to the impact of the macro-environment on VC activity is a relatively recent phenomenon. In this study, we analyze the change in VC investments after a major institutional change. In particular, we look at the effect of the introduction of a common currency in Europe, the Euro, on the venture capital investments of VC firms based in Europe.