Dragonfly Capital Partners Research
Investment Thesis
Dragonfly Capital Partners is a leading global crypto-focused venture capital firm dedicated to backing "the best researchers and builders who will push the entire crypto ecosystem forward." Founded in 2018, Dragonfly operates as a bridge between Western and Asian crypto markets with deep networks in both regions. The firm believes in supporting foundational blockchain technologies, innovative DeFi protocols, and breakthrough applications that will define the next generation of digital economies.
The fund's investment philosophy centers on identifying early-stage projects with exceptional technical teams and transformative potential. Rather than focusing narrowly on specific sectors, Dragonfly takes a portfolio approach across the entire crypto ecosystem, from infrastructure and scaling solutions to novel DeFi mechanisms and native crypto applications.
Investment Stage & Check Size
Dragonfly invests across all stages of blockchain and cryptocurrency development:
Stage Focus:
- Pre-seed: Very early projects with exceptional teams
- Seed: Proof-of-concept stage projects, $1M-$10M funding range
- Series A: Products with initial traction, $5M-$20M+ range
- Later stages: Follow-ons and growth-stage crypto companies
Typical Check Sizes:
- Seed investments: $1M-$10M (common range $2M-$5M)
- Growth-stage: $10M-$50M+ (as seen in recent leads like Mesh $75M Series C in Feb 2026)
- The firm has demonstrated capacity for large checks, with recent investments including Agora Finance ($50M), Rain ($58M), and Codex ($16M seed with $14M from Dragonfly)
Dragonfly scales its check size with company maturity and impact potential. The firm leads quality rounds but will also participate in promising investments where other tier-1 VCs are leading.
Sector & Focus Areas
Primary Sectors:
- Blockchain Infrastructure & L1/L2s - Layer 1 protocols (Polygon, Ethereum alternatives), Layer 2 scaling solutions (Monad, MegaEth), rollup technologies
- DeFi (Decentralized Finance) - Lending protocols, derivatives, AMMs, yield aggregators, crypto-native financial primitives (Uniswap, Compound, MakerDAO historical investments)
- Crypto Infrastructure - Developer tools, smart contract platforms, security solutions, wallet technologies, API infrastructure
- Payments & Financial Services - Crypto payments, stablecoins, institutional infrastructure, cross-border settlement (Rain, Conduit Pay, Mesh)
- Applications & Ecosystems - Gaming, NFTs, social, creator economy, consumer crypto
Fund Overview
Fund III (Current Active Fund):
- Closed: April 2022
- Size: $650M (oversubscribed against $500M target)
- Focus: Crypto infrastructure, DeFi, smart contract scaling, breakthrough applications
- Deployment status: Actively deploying through 2025-2026
Fund IV (Fundraising):
- Target Size: $500M
- Announced: September 2024
- Focus: Early-stage crypto projects with transformative potential
- Status: Actively fundraising
Total Assets Under Management: Approximately $1.15B+ when combining Fund III and deployed capital
Recent Investment Activity
Dragonfly has been highly active in 2025-2026. Notable recent investments include:
- Mesh Network - $75M Series C (Feb 2026) - Crypto payment network reaching $1B valuation, led by Dragonfly
- Inversion Labs - $26.5M Seed (Sept 2025) - Blockchain infrastructure, led by Dragonfly
- Rain - $58M (Aug 2025) - Stablecoin infrastructure
- Codex - $16M Seed (April 2025) - Blockchain development, $14M from Dragonfly
- Agora Finance - $50M (July 2025) - DeFi financial services
- Conduit Pay - $36M (May 2025) - Crypto payments
The firm's deployment pace reflects a move into growth-stage capital allocation while maintaining seed-stage sourcing.
Portfolio Highlights
Notable Portfolio Companies:
- Polygon (MATIC) - Ethereum scaling solution
- Consensys - Ethereum infrastructure
- Uniswap - Decentralized exchange
- Compound - DeFi lending protocol
- MakerDAO - DAI stablecoin
- Animoca Brands - Web3 gaming leader
- NEAR Protocol - Layer 1 blockchain
- StarkWare - Cairo/Starknet scaling
- Amber Group - Crypto trading
- Mesh Network - Reaching $1B valuation (2026)
Total Portfolio: 160+ investments (as of Jan 2026)
Team & Decision Makers
Investment Leadership:
- Haseeb Qureshi - Managing Partner
- Bo Feng - Managing Partner
- Tom Schmidt - General Partner
- Rob Hadick - General Partner
- Gengmo Qi - Partner
- Omar Kanji - Partner
Support & Operations:
- Casey Taylor - Head of Portfolio Support
- Tony Li - Portfolio Support Partner (Asia)
- 30+ additional team members across operations, compliance, talent
Total team size: 40+ professionals
Investment Approach
Technical Depth: Partners conduct deep technical diligence on infrastructure projects, with team members having engineering and research backgrounds.
Active Investors: Beyond capital, Dragonfly provides strategic advice, institutional connections, market research, and founder support.
Founder Preferences: Teams with technical excellence, crypto-native thinking, execution track records, and clear vision. Founded by and for builders within the ecosystem.
Geographic Focus
Global with strong presence in:
- North America (SF Bay Area, NYC)
- Asia-Pacific (Singapore, Hong Kong, Shanghai, Tokyo, Seoul)
- Europe (Berlin, London, Zurich)
The firm bridges US and Asian crypto ecosystems with deep networks in both regions.
Market Positioning
Dragonfly is ranked among the top 5-10 crypto VCs globally, built on:
- Early institutional adoption (founded 2018)
- Strong portfolio returns and multiple unicorns
- Thought leadership from managing partners
- Access to Asian networks
- Operational excellence and compliance
Future Focus
Based on 2025-2026 investments, focus areas include:
- L1/L2 scaling solutions
- Crypto-native payments infrastructure
- Institutional on-ramp/custody solutions
- AI + Crypto convergence
- Regulatory-compliant solutions