Cody McGrath 
Dragonfly Capital, a crypto venture capital firm, has announced the launch of its third crypto fund dubbed Dragonfly Fund III which has a valuation of $650 million valuation.
The fund is worth more than twice as much as the firm’s last two funds, which were each worth $300 million. It also follows in the footsteps of other crypto venture capital firms such as Bain Capital and Sequoia Capital, which both created funds worth roughly $600 million.
Avalanche, Bybit, Amber, Dune Analytics, and Frax are among the crypto mainstays funded by Dragonfly, which is led by former professional poker player Haseeb Qureshi.
Qureshi announced the new fund in a blog post, predicting a significant increase in crypto and blockchain use over the next five years.
The L1 wars are heating up, the race to build the metaverse is on, DeFi is maturing, crypto gaming now seems inevitable, and the financial infrastructure is institutionalizing.
Dragonfly will also lead late-stage funding rounds with the new fund, according to Qureshi.
Other significant crypto venture investors have committed large sums of money on a crypto explosion in the coming years, and Qureshi’s sentiments echo theirs.
Given that crypto donations played a significant role in the Russia-Ukraine conflict, the space has seen a surge in popularity this year. This has piqued institutional interest, and numerous governments have passed crypto rules as a result.