Haun Ventures funds will invest in crypto startups. Haun states, “It’s not a bad moment to deploy a cryptocurrency fund.”
After her $1.5 billion venture capital fund raised, Katie Haun, a former federal prosecutor is showing that she’s a force in crypto investing.
Haun Ventures announced Tuesday a $500 million fund for early-stage startups and an additional $1 billion for mature startups. This was in addition to the existing 500 million investment.
The launch of the firm comes at a difficult time for cryptocurrency. After a meteoritic rise that saw Bitcoin reach an all-time high of $1,099 in November, digital tokens fell as the Federal Reserve began to raise interest rates to combat rising inflation.
Haun stated that it was “not a bad time” to deploy a cryptocurrency fund despite these challenges. “The extreme volatility reminds me of the first two crypto funds that I deployed. “What I learned from those funds was that great founders are going to be built in each cycle,” Haun, who was previously a partner at Andreessen Hoowitz, said.
The decline in Bitcoin’s price and other virtual currencies have not stopped money flowing into crypto-focused venture capital funds. Electric Capital has raised $1 Billion earlier this month for crypto-related investments. Bain Capital Ventures has just launched a crypto fund worth $560 million. According to PitchBook data, those fund raises were made after venture funds invested approximately $32 billion last year in crypto startups.
Adding Value
Haun stated that she would support crypto efforts in all aspects, from governance to hiring. She said that some of her limited partners (endowments, hospitals systems, and financial service companies) may also want to get involved.
She said, “We’ll be looking to effectuate system changes and be really venture contributors.”
Haun has added political insiders to her team, including Tomicah Tillemann. These can help startups make connections with Washington officials, something that is difficult for those at the beginning stages of their ventures.
