a16z Crypto Closes $2.2 Billion Fund 5

Andreessen Horowitz's crypto investment arm has closed its fifth dedicated fund, Crypto Fund 5, raising $2.2 billion to back blockchain startups across all stages over a multiyear horizon.

The announcement, made Tuesday, brings the firm's total crypto capital under management to nearly $9.8 billion. The new fund matches the size of its 2021 third fund but is smaller than the record $4.5 billion fourth fund raised in 2022. Alongside the raise, the firm promoted its chief technology officer, Eddy Lazzarin, to general partner, joining managing partner Chris Dixon and others.

Firm partners described the current crypto market as a quieter phase following speculative peaks, with focus shifting to infrastructure and practical applications. Crypto Fund 5 targets founders converting new blockchain infrastructure into everyday products, particularly in stablecoins, perpetual futures, prediction markets, onchain lending, and tokenized assets.

Stablecoins drew particular emphasis, with usage continuing to rise through market downturns for savings, cross-border payments, and routine transactions. The firm highlighted limitations in traditional finance, such as speed, cost, and reliability,...