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- Archetype raised $100M for its third crypto fund, backed by institutional investors.
- The fund targets DeFi, stablecoins, tokenization, and onchain AI.
- VC funding is shifting from hype to sustainable blockchain models.
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Crypto venture capital firm Archetype has raised more than $100 million for its third fund, underscoring a renewed wave of institutional interest in blockchain innovation. The fund, known as Archetype III, will target early-stage companies building onchain infrastructure, DeFi protocols, and emerging crypto applications.
Institutional Support for Archetype III
The new capital commitments come from pensions, academic endowments, sovereign wealth funds, family offices, and funds of funds. This institutional mix signals that major investors are still willing to place long-term bets on the sector, even as crypto venture deal counts remain selective.
Archetype has already backed projects such as Monad, Privy, Farcaster, Relay, and Ritual. With Archetype III, the firm plans to deploy capital into startups working on stablecoins, tokenized payments, decentralized physical infrastructure networks (DePIN), crypto-native social platforms, and AI-powered blockchain applications.
A Shift Toward Proven Models
The announcement comes against a backdrop of tighter funding standards across the industry. In May, crypto venture deal activity fell to its lowest level in four years, but raised totals still exceeded $900 million. Unlike the speculative rush of 2021, investors today are focusing on businesses with sustainable models and predictable revenue streams.
This shift has driven funding into areas such as Bitcoin DeFi, tokenization platforms, and stablecoin payment rails. Deals this year have included $28 million for Stable, a blockchain dedicated to USDt payments, and $22 million for Spiko, a fintech building tokenized money market funds.
Also Read: UXLINK Hack Drains $11.3M, Token Collapses 70% Amid DeFi Security Breach
Building for Crypto’s “ChatGPT Moment”
Archetype founder Ash Egan said he sees blockchains evolving into “the commerce rails of the world,” with crypto’s own breakthrough moment on the horizon. The firm’s latest fund aims to capture that inflection point by backing infrastructure that can support scalable applications and creator-driven tools.
Archetype’s $100 million fund highlights how venture capital in crypto is maturing. Instead of chasing hype cycles, firms are targeting infrastructure, stable value assets, and real-world integrations that could drive the next phase of blockchain adoption.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
