Andreessen Horowitz’s crypto unit is moving ahead with a new $2 billion fund despite a prolonged downturn in digital-asset markets. The vehicle, reported to be the firm’s fifth crypto-focused fund, is targeting a close by mid-2026 and represents a smaller raise than the $4.5 billion crypto fund A16z closed in 2022.
The firm has shifted toward a quicker fundraising cadence to remain flexible as narratives and opportunities in crypto evolve. The approach reflects broader industry caution: the sector has shed more than $2 trillion in market value from its early-October peak of roughly $4.4 trillion, and venture activity has slowed considerably since then.
A16z Crypto’s strategy continues to reflect partner Chris Dixon’s Web3 thesis—outlined in his 2024 book Read Write Own—favoring decentralized internet infrastructure and blockchain-native applications. However, some marquee investments have struggled; for example, decentralized social project Farcaster sold infrastructure in January and returned about $180 million to investors after tough operating conditions.
Across crypto venture capital, investors are narrowing focus to practical, revenue-oriented use cases such as stablecoins, tokenization of real-world assets, and crypto-native financial products. At the same time, several crypto-focused funds are expanding into adjacent technologies. Multicoin Capital co-founder Kyle Samani left to pursue areas including AI, longevity, and robotics, and reports suggest Paradigm is seeking roughly $1.5 billion as it broadens into AI and robotics.
A16z itself raised more than $15 billion in January for broader investment across themes it sees as vital to America’s future, spanning AI, crypto, biology, defense, education, and entertainment.
Looking ahead to 2026, A16z has identified crypto and AI as key themes. The firm predicts developments such as AI-driven automation in cybersecurity, AI models operating like app stores, privacy emerging as a competitive advantage in crypto, smarter and more widely used prediction markets, and tighter integration of stablecoins with traditional banking and finance.
Fundraising figures underscore the slower environment: DeFiLlama’s raises aggregator reported crypto startups raised $895 million in February, down nearly 40% from $1.47 billion in January and slightly below roughly $1 billion raised in February 2025. Overall crypto venture funding remains well below its peak levels from late last year.
This report summarizes available public and reported information and reflects independent editorial reporting. Readers are encouraged to verify details with original sources and the firm’s disclosures.