CMT Digital, a global venture capital firm specializing in early-stage blockchain investments, has announced the successful closing of its fourth venture fund, securing $136 million to back the next wave of blockchain startups. The fund, dubbed Fund IV, will focus on supporting founders building the infrastructure and applications driving the next phase of cryptocurrency adoption, particularly as regulatory frameworks become clearer and institutional participation expands.
The fundraising round, which concluded in early October, saw participation from family offices, high-net-worth individuals, and large institutions. While specific investors were not disclosed, the strong interest in the fund underscores continued investor confidence in Web3 startups and blockchain innovation, despite a challenging macroeconomic environment for venture capital.
CMT Digital has already allocated approximately 25% of the fund to promising ventures, with a particular emphasis on the stablecoin sector. Investments have been made in startups like Coinflow and Codex, highlighting the firm's strategic interest in supporting emerging technologies within the cryptocurrency space.
Sam Hallene, Partner at CMT Digital, expressed enthusiasm for the future of blockchain technology, stating, "Since launching our venture practice in 2017, our mission has been to back outlier founders with bold visions made possible by public, decentralized blockchains. Eight years in, the value creation, deep partnerships, and impact we've experienced have exceeded every expectation, yet it still feels like the journey is just beginning". Hallene further added, "As the world continues to move on chain, we believe the most transformative ideas are still ahead. With fresh capital, trusted partners, and a proven platform, we're ready to help the next generation of visionaries build".
Founded in 2017, CMT Digital has invested in over 200 blockchain and crypto-focused businesses, protocols, and tokens to date. As a division of CMT Group, a diversified investment firm with over 25 years of experience, CMT Digital leverages deep trading expertise and in-house research to identify infrastructure that endures beyond short-term trends. The firm has a history of identifying category leaders early, with notable investments in companies like Coinbase, Circle, Figure, and Consensys.
CMT Digital's investment strategy involves deploying capital through multiple market cycles, guided by original analysis to inform its strategy and help portfolio companies scale. With over $600 million in assets under management and a presence across the U.S., APAC, and Europe, the firm is well-positioned to support the growth of the blockchain ecosystem.
Despite falling slightly short of its initial $150 million target, CMT Digital's successful fundraise demonstrates the firm's strong position in the crypto venture capital space. The new fund will enable CMT Digital to continue backing startups that challenge traditional financial institutions and explore emerging categories within the blockchain and crypto space. Hallene anticipates the emergence of new compelling categories within the industry and hopes CMT Digital will be recognized as an early backer of those innovations.
