A16z Crypto Fund Plunges 40% in H1 2025: What Happened?

The crypto winter continues to bite, and even industry giants aren't immune. According to the Wall Street Journal, Andreessen Horowitz (a16z), the industry’s 800-pound gorilla, is also getting pasted as the venture capital firm’s flagship crypto fund took a significant hit in the first half of 2025.

A16z's Flagship Crypto Fund Suffers Heavy Losses

The Wall Street Journal reported that Andreessen Horowitz’s A16z flagship crypto fund has plummeted by more than 40% in the first half of 2025. This is a stark reminder of the volatility within the crypto market, even for established players. Sources confirm: a16z’s flagship crypto fund lost ~40% of its value in H1 2025, above the 10%-20% losses at rival funds.

Details of the A16z Crypto Fund Loss

The flagship crypto fund of a16z lost 40% of its value in the first half of 2025. Andreessen Horowitz (a16z), a venture capital firm known for its huge investment in crypto and blockchain, has suffered significant losses on its paper gains. This is even with private investments that tend to be less susceptible to short-term market fluctuations. According to the Wall Street Journal on Wednesday (Octo), a16z’s flagship crypto fund, launched in 2025, has seen a sharp drop in value at 40%, as the broader market struggles.

A16z Still Investing Despite Losses

Despite the losses, the VC continues to invest millions in the space, signaling their long-term belief in the potential of blockchain and cryptocurrency technology. While a16z has dramatically slowed crypto investments, they haven't abandoned the sector entirely. The fund's performance raises questions about future investment strategies within the volatile crypto landscape.