Partnered With:

Growth history of crypto fund Paradigm, achieving rapid growth in a short period of time.

Read this article in 6 Minutes

How did Paradigm, with only 60 employees, gain the trust of investors and attract attention in the cryptocurrency community?

Original Title: "A One-Minute Overview of the Growth History of Cryptocurrency Fund Paradigm, Favorite Project is Airdrop"

Original Author: Splin Teron, Cryptocurrency KOL

Translated by: PANews

Although there is currently little detailed information about the Paradigm Fund, it is well known that the fund invests in projects ranging from $1 million to over $100 million, exclusively in the cryptocurrency field. So how does Paradigm, with only 60 employees, earn the trust of investors and gain attention in the crypto community?

Paradigm was co-founded by Fred Ehrsam, co-founder of Coinbase, and Matt Huang, former partner at Sequoia Capital. The emergence of Paradigm was not accidental, but rather timely. It originated in the peak of the Bitcoin frenzy in 2017, when Fred Ehrsam decided to resign as CEO of Coinbase.

Paradigm Fund was launched in the challenging bear market of the summer of 2018. The two founders of Paradigm decided to leave their previous jobs and pursue what they believed to be more interesting.

Paradigm's initial funding came from some of the most conservative investors: universities. This includes donation funds from Yale University, Harvard University, and Stanford University.

In October 2018, Paradigm raised $400 million in funding from investors (note: all funds came from Yale University's endowment). By December 2018, Paradigm had mainly invested in Bitcoin and Ethereum, and successfully bought the dip in Bitcoin when the price was below $4,000 (note: as shown in the above chart, after buying the dip, Bitcoin's price mostly went up). This news led institutional investors (universities) to add an additional $350 million in funding.

Aside from obtaining startup capital, Paradigm has also been working in the university field and has made significant progress:

Popularize cryptocurrency.

Strengthening the discussion on necessary regulation of cryptocurrency

Support Gary Gensler (current chairman of the US SEC and former professor at MIT) in educating about blockchain and cryptocurrency technology

Does this mean that Paradigm has a connection with "market leader" (Gary Gensler)? It is unknown.

Paradigm's latest investment project is Friend.tech, which marks another launch of SocialFi narrative. Interestingly, Friend.tech is launched on the new Base network.

It is worth mentioning that before the Arbitrum airdrop, Paradigm was listed as one of the three most important airdrop investors in the cryptocurrency industry: Uniswap, Ribbon Finance, and dYdX. Perhaps this is also the reason why Paradigm is sought after by the cryptocurrency community during the airdrop boom. Some cryptocurrency KOLs have summarized which projects popular funds have invested in and how many of them have conducted airdrops, and Paradigm came out on top.

Below is the complete list of investments made by Paradigm, available at https://crypto-fundraising.info/funds/paradigm/:

Although Paradigm has changed its website description to focus not only on cryptocurrency but also on "cutting-edge" technologies such as artificial intelligence, Fred and Matt later stated that they firmly believe in staying in the cryptocurrency field for the long term. "Although some people may find it controversial, we believe that cryptocurrency will become an important trend. In fact, we believe it is the most important technology trend for the next 20 years."