Coinbase Co-Founder’s Venture Firm Raising $1.5B Fund, Document Shows

An investor deck shows Paradigm is in the process of raising what would be one of the VC world’s largest crypto-focused funds.

Oct 11, 2021 at 3:30 p.m. UTC
Updated Oct 11, 2021 at 4:02 p.m. UTC

Ian Allison is an award-winning senior reporter at CoinDesk. He holds ETH.

Paradigm, the cryptocurrency venture capital firm led by Coinbase co-founder Fred Ehrsam, is looking to raise a $1.5 billion fund for startup investments, according to documents seen by CoinDesk.

An investor deck said the firm’s fundraising push will close on Nov. 12.

The revamped war chest could place Paradigm near the top of the pack as venture capital flows into the crypto sector with unprecedented velocity. VCs have placed $17 billion in crypto investments in the first half of 2021, “dwarfing” the $5.5 billion from the same period last year, according to a recent report from Bank of America.

In addition to the funds raised from Paradigm’s limited partners, the deck mentioned a minimum general partner commitment of 1%. The fund could come in between $1.25 billion and $1.5 billion, according to the deck.

A person familiar with Paradigm’s efforts said the firm had recently been doing the rounds among family offices in Silicon Valley.

Earlier this year, VC powerhouse Andreessen Horowitz (a16z) announced it had raised $2.2 billion for its third crypto fund, making it the industry’s largest ever.

Paradigm did not respond to requests for comment.

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Ian Allison is an award-winning senior reporter at CoinDesk. He holds ETH.

Ian Allison is an award-winning senior reporter at CoinDesk. He holds ETH.

Trending

1
Breaking Barriers to the Web 3 Creator Economy

The latest innovations in blockchain technology are enabling creators to earn more from their work and achieve an unprecedented level of autonomy.

The latest innovations in blockchain technology are enabling creators to earn more from their work and achieve an unprecedented level of autonomy.

2
How Not to Run a Cryptocurrency Exchange

At Japan's Liquid exchange, recently acquired by FTX, warnings were ignored, breaches unreported and employees berated and cursed at, insiders say.

At Japan's Liquid exchange, recently acquired by FTX, warnings were ignored, breaches unreported and employees berated and cursed at, insiders say.

3
Morgan Stanley Warns NFTs Next to Watch After UST Collapse, Bukele Announces Mega Banks Meeting in El Salvador

The most valuable crypto stories for Monday, May 16, 2022.

The most valuable crypto stories for Monday, May 16, 2022.

4
First Mover Asia: Metaverse ETFs Are Underperforming Gaming ETFs; Cryptos Return to the Red

Public interest continues to grow about the metaverse, but not as much in metaverse ETFs. Does crypto belong in everything?

Public interest continues to grow about the metaverse, but not as much in metaverse ETFs. Does crypto belong in everything?