Dragonfly Capital Closes $650 Million Fourth Fund, Early Bets on Polymarket and Rain

February 18—Cryptocurrency venture capital firm Dragonfly Capital said Thursday it has closed its $650 million fourth fund, a rare countertrend win amid the crypto market slump and widespread funding pressures. Partner Rob Hadick noted the fund’s success stemmed largely from the firm’s focus on "winner" categories, including early bets on prediction market Polymarket and stablecoin payment card issuer Rain. Founded in 2018 by Alex Pack and Bo Feng, Dragonfly has navigated team adjustments and exited the Chinese market. In recent years, under leaders Haseeb Qureshi and Tom Schmidt, it has built a leading industry position. Adding former traditional finance (TradFi) professional Rob Hadick in 2022 further shifted its focus to crypto-fintech integration. Schmidt highlighted the crypto industry is in the midst of its "largest paradigm shift": tokens will move from application-native assets to tokenized real-world assets (RWA)—including stocks and private equity fund shares. While crypto’s hype lags behind AI, Schmidt stressed the digital native asset class’s 10-year growth from zero to a $1 trillion market cap remains a long-term structural trend.