Head encrypted VC group shrunk: a16z encrypted fund management dropped by 40%, Multicoin beheaded

Original by Ben Weiss

Original: Deep tide TechFlow

 

Introduction:Fortune journalists obtained an undisclosed number of encrypted VC financial disclosure documents from SEC, which show that the size of management assets (AUM) of the front offices Paradigm, Pantera, a16z crypto, Multicoin, etc. were reduced in 2025. But it's not all bad -- a16z crypto returned the money to the LP at the top of the market, and the initial fund DPI was 5.4 times. The only counter-growth was Haun Ventures, who was taken to the stabilization track by the BVNK takeover by MasterCard。

ENCRYPTED VC HEAD PLAYER FAILED TO ESCAPE THE MARKET CRASH IN 2025。

Fortune journalist Ben Weiss obtained a number of previously undisclosed financial disclosure documents from the United States Securities and Exchange Commission (SEC). The data are direct: Paradigm, Pantera Capital, the top-level AUM, in 2025。

FIGURE: HEAD-ENCRYPTED VC MANAGEMENT ASSET SIZE (AUM) CHANGE 2021-2025

Cartography: Ben Weiss / Fortune

BUT BEFORE WE START WITH THE NUMBERS, THERE IS A PREMISE: AUM IS NOT A GOOD MEASURE OF VC SUCCESS OR FAILURE. IT DOES NOT REFLECT NEW ROUNDS OF FINANCING, LP WITHDRAWALS FROM DISTRIBUTION, OR CAPITAL WITHDRAWALS. THE PRICE OF AN ENCRYPTED ASSET ITSELF FLUCTUATES SHARPLY — AN EMOTIONALLY UNSTABLE MAN CAN GET A CURRENCY FARE ACROSS THE MOUNTAIN (MARSK, TRUMP, ZHAO CHANG PENG, PICK). THE OLD ENCRYPTED VCS EXPERIENCED A BURGEONING OF ASSETS DURING THE NFT BOOM IN 2021, AND SAW THE SUBSEQUENT COLLAPSE OF THE COMBINATION IN THE "CRYPTED WINTER."。

The original author, Ben Weiss, also stressed that the real top investors are ultimately going to return the money to the LP. AUM short-term changes do not amount to good or bad performance。

Clear this premise and look at the specific data。

a16z crypto: AUM shrinks nearly 40%, but the money is returned to LP

a16z crypto four encrypted funds AUM dropped by almost 40 per cent from 2024 to $9.5 billion. During the same period, the asset management of the parent company, Andreasen Horowitz, expanded to over $100 billion。

Part of the reason for this contraction is that the agency began to distribute the proceeds of the first three funds back to the LP. According to sources, a16z crypto intentionally chose to distribute at the top of the encrypted market in 2025。

How'd it go? According to Newcomer, a16z net DPI (distribution to actual capital contribution ratio) is 5.4 times the first encrypted fund. This rate of return is quite bright compared to other VC funds raised during the same period on the Carta platform in 2018。

In other words, the AUM shrunk in a16z crypto, more so as a result of "making money and returning to the LP" than of "stuck-in-the-barrel."。

Multicoin: AUM to $2.7 billion

Multicoin Capital's fate and encryption market depth binding. In 2021, during the encryption boom, its AUM nearly tripled each year, approaching $9 billion. The FTX crash was followed by a direct collapse and a gradual rebound for the following two years。

But this fall in 2025 hit it back again. From 2024 to 2025, Multicoin's AUM shrunk over half to approximately $2.7 billion. Since October 2025, when the BTC started diving, encrypted assets have fallen all over the line, Multicoin, a structure that operates both hedge funds and VC funds。

In February of this year, the Multicoin Consortium of Kyle Samani left the company to invest in other areas of science and technology。

Pantera: IPO, capital flow LP

The AUM of Pantera Capital also shrinks, but is similar to a16z, partly because of the voluntary withdrawal from the LP。

According to sources, in 2025, five Pantera companies were listed, including Circle and BitGo. These withdrawals have led to significant cash returns。

Haun Ventures: the only reverse growth, AUM over 30%

In a shrinking sound, Haun Ventures is the only exception。

This institution, created by Katie Haun, a former a16z crypto partner, has grown by more than 30 per cent, approaching $2.5 billion. On the one hand, it's because of the bets on the track -- its investment in the stabilization currency company BVNK was bought by MasterCard at a price of up to $1.8 billion. On the other hand, Haun Ventures itself raised new $1 billion in 2025。

A new round of fund-raising has been launched

ALTHOUGH AUM SHRUNK, THE HEAD AGENCY DID NOT STOP:

Paradigm is raising up to $1.5 billion in new funds. a16z crypto is collecting up to $2 billion. Dragonfly just closed $650 million in phase four funds. After the article was published, Fortune added: Dragonfly's spokesperson actually responded, confirming that the data were "accurate" and saying that "we are actively deploying capital"。

The speakers of Paradigm, Pantera, a16z crypto, Multicoin and Haun Ventures refused to comment。

ENCRYPT PERIODIC FATE OF VC

This is the end of the original text, but there are a number of contexts to add。

THERE'S A DIFFERENCE BETWEEN ENCRYPTION VC AND TRADITIONAL TECHNOLOGY VC. TRADITIONAL VC EQUITY, EXIT BY IPO OR MERGER. MANY ENCRYPTED START-UPS HAVE THEIR OWN TOKENS, AND VC HOLDOUTS ARE EXPOSED DIRECTLY TO CURRENCY PRICE FLUCTUATIONS。

Multicoin is the most extreme case: According to Fortune, its assets were 20,287 in 2017 and 90 per cent in 2022. This range is unimaginable in the traditional VC domain。

According to Pantera Capital's outlook report at the beginning of the year, the total market value of non-BTC encryption (exclusion of ETH and stabilization currency) fell by about 44 per cent from its heights at the end of 2024. But the bear market, by historical pattern, is also a bottom-down window period. Several front-line agencies are actively raising funds at this point, and the next round is on the bet。

According to Fortune ' s previous exclusive report, a16z crypto ' s fifth fund plans to complete fund-raising in the first half of 2026, led by Chris Dixon, and will continue to be fully engaged in the direction of the block chain. Paradigm's new fund, according to the Wall Street Journal, will be extended to AI and robotic technology. The two strategies are clear: a16z continues all-in crypto, Paradigm chooses cross-track。