CMT Digital raises $136 million for fourth crypto VC fund, 'turned investors away'

CMT Digital, a Chicago-based crypto venture firm, has raised $136 million to support a fourth fund, according to Fortune on Wednesday. 

The fundraise closed in early October and attracted a mix of family offices, high-net worth individuals, and other institutions, including new and existing LPs,  investment partner Sam Hallene told Fortune.

CMT reportedly began raising for its fourth fund as early as June 2024 — targeting $150 million, an amount it fell short of, due in part to a weak crypto investment cycle and macroeconomic uncertainty. Its previous funds brought in $25.5 million, $130 million, and $100 million.

"CMT ultimately turned investors away at the end of the raise due to oversubscription and allocation limits," a representative for the firm told The Block.

Crypto venture funding has had its best year since the market crash in 2022, though total fundraising remains muted compared to the pandemic-era bull market. Year-to-date, venture firms have only deployed a little over $12.45 billion, with $5.23 billion invested in Q1 2025, according to The Block Pro’s data. 

In comparison, VCs distributed $13.3 billion in Q1 2022 alone, the largest quarter for crypto venture funding on record. 

According to Hallene, CMT has already deployed about a quarter of its latest fund, Fortune reported. The firm previously backed stablecoin issuer Circle (ticker CRCL), which went public this year, and Ethereum studio Consensys, which is gearing up for a public offering. 

Established in 2017, CMT Digital is an offshoot of the quantitative trading firm CMT Group. The firm has invested in more than 200 crypto-related companies.

Editor's note (Nov. 5 — 18:25 UTC): Adds context about the recent fundraise. CMT was founded in 2017, not 2018 as previously reported, and has since made over 200 investments.