Solo GP Jed Breed raises $15 million for his second early-stage crypto fund
Breed VC, led by solo general partner Jed Breed, has raised $15 million for its second crypto fund to invest in startups at the "day zero," pre-seed and seed stages.
Fund II's backers include FalconX, Hutt Capital and Arrington Capital, as well as Nic Carter of Castle Island Ventures, Rob Hadick of Dragonfly and Jake Brukhman of CoinFund. Breed began raising the fund last year and closed it earlier this year, he told The Block.
Breed said he intentionally kept the fund small to focus on returns to investors rather than fees from managing a larger fund. He said the small fund size also helps Breed VC with "high-conviction deal access to competitive Tier-1 rounds."
Despite being small, the fund plans to write checks of $250,000 to $750,000 per startup. Asked why it targets checks of that size, Breed said they give the firm "real skin in the game." Each check represents about 2% to 5% of the fund, he said, allowing Breed VC to work closely with founders alongside lead investors.
The raise comes at a difficult time for early-stage crypto funding. Smaller crypto fund managers have also found it harder to raise money. Some larger firms have continued to raise substantial funds. A16z crypto announced a $2.2 billion fifth fund in May, Haun Ventures announced $1 billion in new funds that month, and Framework Ventures raised $400 million for its fourth fund in June.
Breed VC's investments
Breed VC's first fund, launched in 2023, is fully invested and has begun returning capital to investors, Breed said. He declined to disclose the fund's size. Its portfolio includes Monad, Ethena, Exo Labs, Agora, MyPrize and Nous Research.
Breed said the first fund tracks among the top 10% of comparable 2023 venture funds based on Carta's Q1 2026 benchmarks, without providing specific performance figures.
Breed's second fund has already invested in Silicon Data, which provides pricing and performance data for AI computing; 3Jane, an onchain lending platform; M1X Global, which works on blockchain-based sovereign debt; and USD.AI, a synthetic dollar protocol focused on financing AI infrastructure.
Breed said Fund II is still early in its investment period and expects to deploy it over the next three to four years. The fund will focus on investing in decentralized startups, including open financial infrastructure and decentralized AI.
Before starting Breed VC, Breed was head of digital assets at Circle, where he helped launch USDC, and later led a crypto market-neutral fund at Accomplice VC. Breed VC is based in Boston and currently consists of Breed and investment partner Nick Garcia.
Breed remains positive about investing in the current market. "Tourist capital and mercenary projects have washed out, entry valuations have rationalized, and the founders building today are in it for the long term and focused on real problems that need to be solved," he said.
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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