Leading cryptocurrency venture capital funds, including Paradigm, Pantera Capital, and a16z, have experienced a substantial decrease in their portfolio values due to a major market downturn in 2025 and capital distributions to investors. a16z crypto's four funds saw their total assets under management (AUM) drop nearly 40% from 2024 to 2025, reaching $9.5 billion, despite distributing capital to limited partners at market peaks, with its first crypto fund achieving a DPI of 5.4. Multicoin Capital's AUM halved to approximately $2.7 billion, impacted by Bitcoin's price decline. Pantera Capital returned funds to investors following the public listings of five portfolio companies, including Circle and BitGo.