Crypto
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Crypto VCs set to raise $4 billion this year

After two bleak years, crypto venture capital funds are seeing an uptick in fundraising as President Trump’s friendlier regulatory environment boosts confidence in the sector’s growth.

Among the larger hauls:

  • Haun Ventures will complete raising $1 billion in June.

  • Dragonfly looks close to completing its $500 million fund.

  • Pantera Capital is raising its fifth fund, which is targeting $1 billion.

Pete Najarian, managing partner of RW3 Ventures, told The Information that the funds are “entering a period when investment funds are running out” from money that poured in during 2021 and 2022. 2022 in particular was a banner year for crypto VC fundraising, peaking at $25 billion.

Najarian added there’s “a lot of competition for money” due not only to the many firms trying to fundraise, but also to other options for investors to get exposure to crypto firms like Strategy or upstart Twenty One Capital as well as myriad bitcoin ETFs.

Pete Najarian, managing partner of RW3 Ventures, told The Information that the funds are “entering a period when investment funds are running out” from money that poured in during 2021 and 2022. 2022 in particular was a banner year for crypto VC fundraising, peaking at $25 billion.

Najarian added there’s “a lot of competition for money” due not only to the many firms trying to fundraise, but also to other options for investors to get exposure to crypto firms like Strategy or upstart Twenty One Capital as well as myriad bitcoin ETFs.

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$1.2B

Crypto liquidations reached $1.2 billion in the past 24 hours, according to CoinGlass data, as bitcoin continued its downward trajectory. Bitcoin suffered $458.24 million in liquidations, with the bulk of them — over $334 million — in long positions. Meanwhile, the second-biggest crypto, ethereum, saw the second-biggest figure for liquidations yesterday, with $278 million.

Bitcoin slipped as far as $103,856 early Friday morning, its lowest level since July, and is down 13% in the past seven days. The sell-off dragged the total crypto market cap down to $3.67 trillion, down 5.5%. Underscoring the market anxiety, CoinMarketCap’s fear and greed index is now at 28.

Bitcoin ETFs also suffered, registering $536 million in outflows on Thursday. The Ark 21 Shares Bitcoin ETF took the biggest hit, with $275.15 million in outflows. Since Monday, bitcoin ETFs have seen $864.5 million in outflows. 

Maja Vujinovic, CEO and cofounder of digital assets at FG Nexus, told Sherwood News that bitcoin’s slump looks like a classic risk-off chain reaction.

“Credit jitters and trade tensions pushed money into gold at record highs while leveraged crypto longs were forced to unwind. Once the liquidations exhaust and policy fog clears, the same macro buyers chasing safety today are likely to hunt value in BTC again,” Vujinovic said. 

$15B

The US government seized 127,271 bitcoin, worth $15 billion, in what it calls the Department of Justice’s “largest ever forfeiture action.”

The indictment against Chen Zhi, chairman of Cambodian conglomerate Prince Group, alleges that he engaged in wire fraud conspiracy using forced labor in Cambodia.

“Individuals held against their will in the compounds engaged in cryptocurrency investment fraud schemes, known as ‘pig butchering’ scams, that stole billions of dollars from victims in the United States and around the world. The defendant is at large,” according to a DOJ press release.

This is “exactly the kind of outcome the Strategic Bitcoin Reserve was designed to enable,” Zack Shapiro, managing partner at Rains Law and head of policy of the Bitcoin Policy Institute, said on X.

This significantly increases the size of the US’s strategic reserve, which held over 197,000 bitcoin before the seizure. As of today, Arkham Intelligence data shows it’s holding 324,780 bitcoin, worth over $37 billion.

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