a16z aims to raise $2 billion for its third crypto fund: report
May 28, 2021, 5:03PM EDT
1 min read
Andreessen Horowitz's third crypto fund could garner $2 billion if all goes according to plan, sources told venture capital writer Eric Newcomer for his newsletter.
Last month, a report from the Financial Times indicated that the a16z-led crypto fund would draw anywhere from $800 million to $1 billion, as The Block previously noted.
A16z has already poured a substantial amount of its capital into crypto startups, with a recent focus on network scaling and non-fungible tokens (NFT) marketplaces.
The most recent investments were $8 million toward the NFT platform startup RTFKT on May 5, with $23 million put toward the more prominent OpenSea NFT marketplace on March 18. A16z has invested in other digital collectible projects like Dapper Labs and CryptoKitties in the past.
In addition to NFT marketplaces, a16z’s crypto portfolio includes investments in crypto infrastructure like Bitcoin and Ethereum, DeFi projects such as Uniswap and exchanges like Coinbase.
Ethereum had a breakout year in 2021. It’s native asset, ETH’s, market capitalization surpassed $500 billion for the first time. Its network facilitated upwards of $7 trillion value transfer. Non-fungible tokens (NFTs) emerged as another “killer application” that have put its technology on the global stage and caught the attention of the masses.