Andreessen Horowitz raises $2.2 billion in a new fund, saying crypto fundamentals are at an ‘all-time high’
The new fund arrives as firms like Haun Ventures raise $1 billion and VC firms adapt to an AI-driven shift in capital.
What to know:
- Andreessen Horowitz has launched a $2.2 billion “Crypto Fund 5” to back crypto startups at all stages over the next decade, even as much of the venture capital shifts toward artificial intelligence.
- The fund will focus on practical applications built on crypto infrastructure, including stablecoins, payments, financial services, decentralized systems, and areas such as perpetual futures, lending, prediction markets, and tokenized assets.
- While smaller than the firm’s $4.5 billion fourth crypto fund, the new vehicle remains one of the largest in the sector and reflects a16z’s view that crypto fundamentals are strong despite subdued market sentiment and an AI funding boom.
The firm’s partners see the current crypto market as an opportunity to invest in founders building projects that are “durable” and lasting even when the hype cycle dies down.
“We’re at one of those quieter moments now. And the signal coming through is one of the most encouraging it has been in years,” according to a blog by the firm’s partners, published on Tuesday.
“The founders we’re backing with this $2.2 billion fund are working on the part of the cycle that gets less attention and produces more of the lasting value: turning new infrastructure into products people use every day,” according to a blog by the firm’s partners.
