ParaFi, a New York-based digital asset manager, raised $125 million for a new venture fund. The firm, backed by KKR co-founder Henry Kravis, now manages about $2 billion.
The new fund will focus on startups working in stablecoins, tokenization, and onchain financial products for large institutions. ParaFi has previously invested in companies like Polymarket, Bitwise, Kyber Network, and Anchorage.
Despite the weak market, with Bitcoin down over 26% from its 2026 high, investors are starting to distinguish between short-term price swings and the long-term potential of blockchain-based financial infrastructure, according to ParaFi founder Ben Forman.