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Dragonfly Capital Closes $650 Million Fourth Fund to Back Crypto Financial Infrastructure

The raise signals a concentrated bet on crypto financial infrastructure despite a market downturn.

Overview

  • The new $650 million vehicle places Dragonfly alongside a16z and Paradigm at a time when many blockchain VCs are struggling to raise capital.
  • The firm is prioritizing stablecoins, on‑chain finance, and tokenized real‑world assets over speculative Web3 applications.
  • Managing partner Haseeb Qureshi called it the firm's biggest bet yet and noted it comes during what he described as the gloom of a bear market.
  • Dragonfly’s 2023 seed lead in Ethena has been validated as the stablecoin’s market cap nears $6.3 billion and later rounds brought in Franklin Templeton and Fidelity’s venture arm.
  • The fund is intended for early‑stage projects, with specific investments yet to be identified according to the firm’s latest comments.