Crypto VC firm Paradigm has raised $1.2 billion (its third venture fund and fourth overall) with the goal of investing in the “technical frontier,” company founder Matt Huang announced Wednesday.

For Paradigm, the technical frontier will extend beyond its cryptocurrency investing roots. This fund is expected to expand its investment focus to include robotics and artificial intelligence. It’s not a surprising move given how hot the AI ​​market has become in recent years, while cryptocurrencies have faced challenges.

Paradigm is not abandoning cryptocurrencies entirely, according to a blog post written by Huang and the company’s managing partner, Alana Palmedo. The company will “continue to invest in cryptocurrency and the reinvention of markets and the financial system” and “will continue to research and build where it accelerates the industry, from blockchain tools (Foundry, Reth) to agent tools (Centaur) and security work (EVMbench, a collaboration with OpenAI),” the pair wrote.

But AI and robotics are also priorities. In an interview with Bloomberg, Palmedo said that “there’s a lot more going on right now that’s pretty hard to ignore.”

Paradigm’s Fund III has already made some investments, including drone delivery company Zipline and space startup True Anomaly.

The company, founded in 2018 by Huang, a former Sequoia partner, and Fred Ehrsam, co-founder of cryptocurrency exchange Coinbase, filed to raise the fund earlier this year, according to SEC filings. The size of the fund is slightly less than the $1.5 billion the Wall Street Journal reported in February the company was seeking to raise.