Paradigm raises $1.2 billion fourth fund, expanding beyond crypto into AI and robotics

Crypto venture capital firm Paradigm has raised its fourth fund, a $1.2 billion vehicle that will invest in crypto, AI, robotics, and other frontier technology startups and companies.

The news comes after an earlier report in February that said Paradigm was raising up to $1.5 billion for a new fund under a broader investment strategy. The latest is Paradigm's fourth overall fund and third venture fund, a Paradigm spokesperson told The Block.

The firm's original fund, launched in 2018, is an open-ended vehicle that invests in both public and private crypto companies, while its other three funds, including the new one, are venture-focused. Paradigm previously raised a $2.5 billion venture fund in 2021 and an $850 million venture fund in 2024.

Paradigm is the latest crypto venture firm to expand beyond digital assets. Several firms, including Framework Ventures and Haun Ventures, have recently broadened their investment mandates, as The Block reported recently. Investors have pointed to several reasons behind the trend, including a maturing crypto market, the rapid rise of AI and other technologies, larger funds seeking new opportunities and the growing overlap between blockchain and adjacent industries.

Paradigm said it will continue investing in crypto while expanding into AI, robotics, and other frontier technologies. The firm said it backs founders at every stage, from early startups to more established companies.

Among its non-crypto investments, Paradigm highlighted autonomous drone delivery company Zipline, manufacturing platform SendCutSend, space defense startup True Anomaly, and AI research company Nous Research. It also pointed to crypto investments including Hyperliquid, stablecoin-focused blockchain project Tempo, which it co-founded with Stripe, and prediction markets platform Kalshi.

Paradigm said it will continue contributing to open-source research and software, citing blockchain projects including Foundry and Reth, as well as AI tools such as Centaur and security research project EVMbench, a collaboration with OpenAI.

Founded in 2018, Paradigm is one of the largest crypto venture firms, with nearly $12 billion in assets under management at the end of 2025. The firm was founded by Matt Huang, a former partner at Sequoia Capital, and Coinbase co-founder Fred Ehrsam, and counts university endowments among its institutional investors.

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