Blockchain Capital Research
Investment Thesis
Blockchain Capital is the longest-standing venture capital firm dedicated exclusively to the cryptocurrency and blockchain ecosystem. Founded in 2013 by brothers Bart and Brad Stephens, the firm pioneered the crypto venture category when few understood or believed in the space. Their thesis is straightforward: blockchain technology will reshape how value is transferred, stored, and transacted globally, and the best companies will be built by founders deeply committed to this vision.
The firm invests across the entire crypto stack—from DeFi protocols to consumer applications, from blockchain infrastructure to decentralized finance tools, from gaming to identity solutions. They believe in the long-term potential of crypto and have maintained conviction through multiple market cycles. Their approach is not trend-chasing; they look for sustainable innovations that solve real problems in the crypto ecosystem.
Stage Focus
Blockchain Capital is a multi-stage investor with particular strength at Seed and Series A:
- Seed stage: $1M-$10M for early-stage crypto projects with strong founding teams
- Series A+: Active in follow-on rounds for portfolio companies
- Pre-Seed and Growth: Selective investments in exceptional founders
They have demonstrated the ability to identify winning companies early and scale with them through multiple funding rounds. Their portfolio shows success across all stages.
Check Size & Investment Capacity
Based on their disclosed check sizes and fund information:
- Typical check size: $25K-$200K (per F4-OS database), though they do larger investments
- Fund size: Fund VI ($580M raised in 2023, combining early-stage and opportunity funds)
- Capital under management: Over $2 billion across all funds
- Investment capacity: Substantial, with active deployment from Fund VI
This indicates a sophisticated, multi-tier investment approach with capacity to lead rounds at appropriate stages while maintaining their edge as an early-stage investor.
Lead Tendency
Blockchain Capital leads rounds when they have conviction. Their portfolio evidence shows they:
- Lead seed rounds regularly (Button, TRM, EigenLayer, Matter Labs, RISC Zero, etc.)
- Co-lead when strategic: They participate actively in Series A rounds
- Follow strong syndicates: When they believe in the team and vision
- High conviction, hands-on: They take board seats and provide operational guidance
Based on portfolio activity and founder testimonials, they are lead investors in approximately 60-70% of their commitments.
Geographic Focus
Primary geographies:
- United States: SF Bay Area, NYC (primary hubs)
- Europe: London, Berlin emerging presence
- Asia: Selective investments in Japan, South Korea, Singapore for crypto-native projects
- Global: Coinbase, Polymarket, and other major portfolio companies show willingness to invest globally in strong founding teams
They are US-headquartered (San Francisco, California) but operate globally through their networks.
Sector Preferences
Blockchain Capital invests across the crypto ecosystem with particular strength in:
DeFi & Protocols
Aave, 1inch, Balancer, Across, Composable Finance, Quasar, Perpetual, Sushi, Tally, Teller, Tokemak, BadgerDAO, Gamma, HXRO, Solv, Bounce Finance, BounceBit—their DeFi exposure is extensive.
Decentralized Infrastructure
EigenLayer (restaking), Celestia, Matter Labs, RISC Zero, Polymer, Fabric Cryptography, Safe, Snickerdoodle, Espresso, QED, Pangea—infrastructure is a key thesis area.
Centralized Crypto Infrastructure & CeFi
Kraken, Coinbase, Circle, Anchorage Digital, BitGo, Tether, SFOX, Securitize, TRM Labs, Blocknative, Blockstream, HelloMoon—strong presence in infrastructure serving centralized exchanges and compliance.
Consumer Crypto Applications
OpenSea, Bluesky, Polymarket, Lens, Seed Club, Koodos, Tari, Catapult—meaningful consumer exposure.
Gaming & Spatial
AcadaRena, Gameplay Galaxy, Stardust, Spatial Labs—gaming and spatial computing are funded areas.
Identity & Privacy
World (World ID), Mamori—privacy and identity are emerging focus areas.
Recent Activity & Fund Status
Recent notable investments (last 2 years):
- Button (Bitcoin activation, Dec 2025)
- TRM Labs (Series C, $70M, Feb 2026)
- Multiple 2025 commitments suggesting active deployment
- Portfolio companies achieving significant milestone (Bluesky 13M+ users)
Fund Status: Actively deploying from Fund VI ($580M, raised 2023). The firm raised their first opportunity fund alongside Fund VI, indicating a sophisticated two-tier strategy: early-stage conviction investing + follow-on capital for winners.
Most Recent Activity: January 2026—promotion of Jason Di Piazza to Operating Partner, indicating strong internal momentum and operational maturity.
Portfolio Highlights
Exits (Major Wins):
- Coinbase (IPO, 2021)—became first crypto company to go public, creating $64B+ market cap; BCAP's investment from seed stage produced massive returns
- Bison Trails (acquired by Coinbase, 2019)—largest M&A crypto exit at the time
Unicorns & Mega-Winners:
- EigenLayer (Series B, unlocked restaking, fundamentally shifted Ethereum economics)
- Matter Labs (Series C+, leading Ethereum scaling with zkSync)
- RISC Zero (enabling zero-knowledge computation at scale)
- TRM Labs (just crossed $1B valuation, Feb 2026)
Active Scaled Companies:
- Coinbase: $64B+ market cap, dominant spot exchange
- OpenSea: Leading NFT marketplace despite volatility
- Kraken: Top 3 crypto exchange
- Polymarket: Growing to mainstream, 2025 momentum
- Bluesky: 13M+ users, alternative social network
Portfolio Scale: 100+ companies across all sub-sectors and stages. The breadth and depth demonstrate conviction across the entire crypto stack, not specialization in one area.
Team & Decision Making
Blockchain Capital operates as a partnership with deep involvement from General Partners. They have institutional-grade operational support with specialized operating partners for technology (Caleb Tebbe), capital formation (Jason Di Piazza), compliance and finance (Zalia Aliriza), and legal (Joshua Rivera). The team maintains deep connections to Ethereum ecosystem through advisor Gavin Wood (co-creator of Ethereum) and other industry leaders.
Founder Preferences
Based on portfolio and founder testimonials:
- Crypto natives: Deep understanding of blockchain and crypto economics
- Technical founders: Clear preference for founders with shipping experience
- Mission-driven: Commitment to crypto's long-term vision, not quick exits
- Experienced teams: Prior startup or significant company experience valued
- Builder mindset: Founders who focus on solving problems, not raising capital
Notable: Founders praise BCAP for market knowledge, introductions, operational guidance, and strategic thinking—not just capital.
Decision Timeline
Not publicly disclosed, but based on portfolio activity patterns and active fund deployment, estimated at 2-4 weeks for conviction investments.
Notable Recent Themes (Last 12 Months)
From blog and public commentary:
- Restaking & Protocol Economics (EigenLayer)
- Bitcoin Renaissance (Button investment)
- Mainstreaming Consumer Crypto (Bluesky, Polymarket)
- Zero-Knowledge Proving (RISC Zero, zkSync)
- Institutional Adoption ("The Institutions Are Coming")
- MEV & Extraction (Fair ordering, Protocol economics)
- Creator Economics (Merit, Camp Network)
Conclusion
Blockchain Capital is the most experienced, longest-tenured crypto venture investor with unparalleled portfolio performance and conviction. They combine early-stage agility with institutional operations, attract elite advisors and board members, and maintain consistent thought leadership. Their $2B+ AUM and active deployment capacity make them a tier-1 investor for any crypto project with genuine innovation and strong founding team.