Paradigm Raises $1.2B Fourth Fund, Expands into AI and Robotics

Paradigm, a crypto venture capital firm, announced on July 8 that it closed a $1.2 billion fourth fund, expanding its investment mandate beyond digital assets into AI, robotics, and other frontier technologies while keeping crypto at its core. Founded in 2018 by Matt Huang and Fred Ehrsam, the firm previously raised a $2.5 billion crypto fund in 2021 and an $850 million early-stage blockchain fund in 2024. Managing partner Alana Palmedo stated the new fund continues the founding thesis rather than pivoting away. Crypto remains a priority, with continued investments in Hyperliquid, Kalshi, and Tempo. The firm also highlighted open-source projects like Foundry and Reth, and EVMbench, a blockchain security benchmark built with OpenAI. Beyond crypto, Paradigm has backed Zipline, True Anomaly, and Nous Research. The raise coincides with AI dominating venture funding in 2026, with OpenAI and Anthropic accounting for over 40% of global startup capital. Other crypto funds like Framework Ventures and Haun Ventures have similarly expanded into AI and robotics. Paradigm described the current moment as defined by "steep exponentials" where AI, crypto, space, and deep tech converge.