Katie Haun, a former federal prosecutor, is currently focused on cryptocurrency investing. Her VC company has acquired $1.5 billion in capital.
Haun Ventures confirmed the launch of a $500 million early-stage fund and another $1 billion in funding for more established firms that are focused on Web 3.0, a decentralized vision of the Internet that is being powered by blockchain or distributed ledger technology (DLT), virtual currencies and non-fungible tokens (NFTs).
As reported by Bloomberg, the company’s launch has come at a time when there have been many other challenging situations that the crypto and DLT industry is facing.
After a dramatic surge that led to the Bitcoin price reaching an all-time high in November 2021, crypto-assets have now declined as the Federal Reserve has begun to increase interest rates following unprecedented inflation.
However, Haun noted in an interview that it is not really a “bad” time to establish a cryptocurrency-focused fund even though there are many challenges.
She remarked:
“The extreme volatility is reminiscent of the first two crypto funds I deployed. What I learned from those funds is that great founders and great projects are going to be built in every cycle,”
Haun, who had been working as a partner at Andreessen Horowitz, has been active in the crypto investing space since at least 2018.
The decline in the BTC price and other digital assets has not really discouraged the flow of capital into the nascent crypto economy and related venture funds.
Recently, Electric Capital secured $1 billion for crypto-focused investments. As covered, Bain Capital Ventures has introduced a $560 million crypto fund as well.
These raises came after venture companies invested around $32 billion in cryptocurrency-related startups in 2021, according to PitchBook data.
Haun initially learned about cryptocurrencies and blockchain as she went after bad actors using it while employed at the US Justice Department.
In 2013, Haun had assisted the US government with acquiring cryptocurrency while secretly working as an undercover agent (as a federal prosecutor).
Haun has gone on to establish the government’s very first crypto task force, and also notably led the US Justice Department’s probe into the Mt. Gox security breach and hack.
Haun had joined Coinbase‘s board back in 2017, where she had connected with Chris Dixon, with whom she had been overseeing a16z’s crypto-asset funds.
Haun is notably the first female general partner at Andreessen Horowitz when she had joined back in 2018.
She noted in an interview:
“I did not fit the mold of the traditional venture investor. I think we need more people who don’t fit the mold. I think web3 really needs those voices.”
Haun reportedly left the VC firm in December 2021, bringing several workers with her to launch Haun Ventures.
Haun confirmed that her funds would be allocated over a 2-year period and would be investing in crypto tokens, along with equity across projects in the decentralized-finance applications sector, NFTs and DAOs.
Haun Ventures has reportedly made less than 10 startup investments, which includes NFT firm Autograph, NFT marketplace OpenSea, blockchain developer Aptos and digital asset lender Moonwell.
Haun has been a member of OpenSea’s board since last year.