Dragonfly Capital (“Dragonfly”), a global crypto-focused investment firm, announced the final closing of its third venture fund, Dragonfly Ventures III, L.P. (“Fund III”) with capital commitments from limited partners of $650 million, exceeding the Fund’s original target of $500 million. The oversubscribed fund was closed at its hard cap and received strong support from institutional limited partners including leading Ivy League endowments, KKR, Tiger Global, Sequoia China, Invesco, US pensions, and sovereign wealth funds.
Dragonfly previously closed Dragonfly Ventures II in 2021 after raising over $250 million. The new fund enhances the firm’s capacity to invest across all stages of blockchain and cryptocurrency companies, native protocols, and tokens that seek to create new digital economies. Dragonfly will build on the team’s investment track record and its global, technologist first approach to investing in crypto companies.
“Dragonfly has always been different because of two things: our global approach to investing, which reflects the borderless nature of crypto, and our technical bent, as most of our team understands crypto technology from first principles. In Fund III, we will double down on backing the next breakthroughs in crypto infrastructure, DeFi, smart contract scaling, and breakthrough consumer products like NFTs, crypto games, and DAOs. It’s an exciting moment in the history of web3 and we’re eager to partner with the next generation of builders,” said Haseeb Qureshi, Managing Partner at Dragonfly.
“We’re looking forward to continuing to do what we love – working closely with founders at the very earliest stages to build generational companies in crypto. Most of our investment team previously worked at crypto startups and we lean on this hands-on experience to help entrepreneurs navigate the difficult parts of creating amazing companies in this space,” said Tom Schmidt, General Partner at Dragonfly.
Since its inception in 2018, Dragonfly has established a strong track record and invested over $700 million of capital across seed, series A, series B, and liquid crypto deals. To date, the firm has made early investments in many top projects and companies, including Avalanche, NEAR Protocol, Compound, MakerDAO, 1inch, Matter Labs, Amber Group, Anchorage, Bybit, and Dune Analytics.