Crypto VC Comeback: Paradigm, Galaxy Digital to Raise Millions for New Funds

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Crypto VC Comeback: Paradigm, Galaxy Digital to Raise Millions for New Funds
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The firm, co-founded by Coinbase co-founder Fred Ehrsam and former Sequoia partner Matt Huang, is looking to tap into institutional interest in the space following a bear market lull in VC investing.

The peak for crypto VC fundraising came in May 2022, when venture firm Andreessen Horowitz raised a $4.5 billion fund.Paradigm previously raised a record $2.5 billion crypto fund in 2021 during the bull market peak. However, the firm faced scrutiny last year for appearing to deemphasize and reduce commitment to crypto in a

Despite these setbacks, Paradigm has continued to back crypto projects, including leading a $1 billion investment round in the software powering the decentralized social media platform Farcaster.“For years, we’ve been putting our own capital behind these innovators.

There were a total of 180 publicly announced investment projects in the crypto venture capital space in March, according to Wu Blockchain’s monthlyMoreover, the total financing amount for March was $1.16 billion, up 53% from the previous month.

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