Crypto: A16z Eyes 5th Crypto Fund As Some Peers Look To New Tech: Report

The crypto venture giant has launched a fifth fund with plans to close by mid-2026, according to sources.

Crypto venture capital giant Andreessen Horowitz is doubling down on crypto despite a major market downturn, seeking $2 billion for a new crypto fund.

A16z Crypto, the blockchain arm of venture capital firm Andreessen Horowitz, is raising a fifth crypto-focused fund, with plans to close by mid-2026, Fortune reported on Wednesday, citing anonymous sources.

The latest round is significantly smaller than its previous $4.5 billion fund from 2022, but the company has shifted to a shorter fundraising cycle to remain flexible to ever-changing crypto narratives.

The move comes amid a crypto bear market that has seen more than $2 trillion wiped from total market capitalization since its peak of around $4.4 trillion in early October.

A16z Crypto chief Chris Dixon’s Web3 philosophy envisioned a decentralized internet with applications built on blockchains, according to his 2024 book, “Read Write Own.”

But many of those investments have not panned out, notably decentralized X (Twitter) competitor Farcaster, which returned $180 million to investors after selling off its infrastructure in January.

Wall Street crypto buffs have lately narrowed their focus to stablecoins, real-world asset tokenization, and financial products, with many venture capitalists following suit. Others have started to look towards other areas of technology.

Co-founder of venture firm Multicoin Capital, Kyle Samani, stepped down in February to “explore new areas of technology,” such as AI, longevity, and robotics.

Crypto venture firm Paradigm is reportedly expanding into artificial intelligence and robotics with its latest fund seeking to raise $1.5 billion.

Source: CoinTelegraph