1/2 We’ve been rethinking the stack of the post-AI economy. The usual map has four layers: energy, compute, intelligence, robotics. We see a fifth sitting between intelligence and action: finance, the layer that allocates, prices and transfers resources across agents, time and risk. The other four scale through engineering. Finance still scales through institutions built for people. As agents start making thousands of economic decisions a second, that’s where the bottleneck moves. AI gives machines intelligence. Robotics gives them physical agency. The missing layer is economic agency. Our thesis on the economic layer of AI 👇

Tokenization Does Not Automatically Create Liquidity One of the most persistent misconceptions in the RWA market is that putting an illiquid asset onchain somehow makes it liquid. It does not. A tokenized real-estate fund without buyers, financing or reliable price discovery remains an illiquid real-estate fund; the technology has changed, but the economics have not. This is why tokenization is likely to follow a liquidity gradient. The first assets to scale are those that already have transparent pricing, established custody, deep markets and recurring transactional demand: stablecoins, bank deposits, Treasuries, money-market funds and repo collateral. @BlackRock BUIDL, @FISV_ tokenized liquidity product powered by @sygnumofficial, and DTCC’s work around Treasury repo and collateral are not random starting points. They represent the monetary and collateral base on which broader tokenized markets can develop. Only after that foundation becomes sufficiently liquid and interoperable can the market expand effectively into private credit, private equity funds, real estate, commodities, receivables, intellectual property and other economic rights. Liquid instruments must arrive first because they provide the cash, settlement and collateral layer required to finance less liquid assets. This is also why distribution matters as much as issuance. @krakenfx xStocks, which has expanded to more than 160 tokenized U.S. equities and ETFs across over 110 countries, addresses a different problem from simply creating the token: it connects assets to users, venues and liquidity. Similarly, @OwneraIO is not competing to originate assets; it connects tokenized securities, custodians, cash rails and trading venues so liquidity can move across fragmented systems. Tokenization will not make every asset liquid. Its more credible near-term value is making existing liquidity faster, more mobile and more productive. After stablecoins, Treasuries and money-market funds, which asset class has the strongest conditions for meaningful onchain adoption?

1/2 Great to see multiple portcos in the latest @a16zcrypto stablecoin map 🫡This is where real usage is compounding while the rest of the market debates narratives

1/3 Given the recent narrative that “VCs are dead,” this is actually the moment to be clear: we are actively deploying. We stay consistent. Since 2018, our approach hasn’t changed: > fundamentals over speculation > applications over infrastructure > businesses over tokens > revenue over narrative We back companies that generate real revenue, solve real problems, and scale beyond crypto-native users. We are a strong fit for founders building for large markets, obsessed with distribution, and thinking in terms of businesses, not tokens. Seed to Series B stages. If your company works even if the word “crypto” disappears, we should talk.

6/6 To our founders: thank you. For shipping through uncertainty. For choosing resilience over drama. For defending your teams, your users, and your dignity in a very noisy industry. Proud to be on your cap table, and even more proud to be in your corner. 2026 - let's go! @0xmikko_eth @robiosss @g_arakelov @evgeth @eponomarev @hugfink @ivangbi_ @thesubmitter_ @wijuwiju0x @0xbilly @theaadedewe @dongossen @MarkSchmidty @YassineLanda @Mansa_mlk @BenedettoBio @jzconcepts @betashop @mbaril010 @0xbashalex @basilnas_ @s0xn1ck @davide @annoushka @evaaprotocol @theliondave @OwneraIO @SchorLukas @prash_speaks @luhelminger

1/6 If We Could Send One Web3 Gift To 2026, It Would Not Be Another Token The end of the year is when everyone posts charts. This thread is about PEOPLE.

9/9 We have been an early contributor and supporter of @0xbilly and @0xIntuition , and we have already been adding to the graph @zerion , @socialgraphvc , @Nevermined_ai , and others. Can’t wait to see what comes next👁️

1/9 Corporate algorithms are shaping your worldview, and you probably don’t even realize it. Google decides what you discover. Reddit curates what you see. Amazon controls what you buy. Now, LLMs are becoming the single source of “truth” for billions.

1/8 Cross-border payments still run on pre-funding. Capital sits idle in local accounts. Payouts drag. It’s one of the biggest bottlenecks in global finance. That’s why we invested in @ZynkLabs 🧵

The global remittance market is vast and growing, with increasing demand for lower fees and modern digital infrastructure. Proud to back @theaadedewe and the whole @kredete team again in their lastest Series A. @kredete is building a stablecoin-powered financial ecosystem for the African diaspora. Starting with remittances – a lifeline for some immigrant families – the platform is expanding to help users Send, Save, Spend, and Build Credit. From powering $500M+ in remittances to launching Africa’s first stablecoin credit card, they’re reshaping access to finance for 700K+ users, and now expanding to Canada, UK & Europe.

1/9 We’re excited to announce our investment in @TACEO_IO , an applied cryptography team building a private shared state network for the decentralized internet. @TACEO_IO is solving a problem that’s been blocking privacy adoption at scale 🧵👇

believe in somETHing 💜

1/6 Excited to join the Series A round to back @freenamecom team to accelerate the future of domains, digital identity, and Web3 infrastructure 🧵

1/2 Everyone’s talking about the Revenue Meta and Web3 protocols with strong fundamentals. It’s a good sign — the market wants to get rational. But let’s not kid ourselves: Even if we look only at protocols with meaningful onchain revenue (@tokenterminal universe), the average FDV/Revenue multiple is ~800,000×, median ~220x. Most tokens aren’t just overvalued, they’re catastrophically overpriced.

1/3 Most AI in crypto stops at insights. Great to see @senpi_ai going further — it can: – Analyze blockchain activity – Execute your custom DeFi strategies – Detect trends & anomalies – Monitor wallets/protocols – Run 24/7

1/7 Excited to announce our investment in @MANSA_FI! MANSA is transforming global payments with its liquidity platform, enabling real-time settlements and instant payouts via stablecoins. By eliminating banking delays and reducing costs, MANSA empowers payment providers to deliver faster, more efficient cross-border transactions — redefining the movement of money worldwide 👇

POLYMORPHIC CAPITAL WILL MOVE THE WORLD’S GDP ONCHAIN

1/7 Excited to announce our recent co-lead investment in @rise_pay's Series A investment round, supporting their Web3-enabled payroll and compliance solutions for the global workforce.

Read below a 🧵by @romdespoel on why we invested in @mbdtheworld

1/ Catch @eldar_pm at @EFDevcon 2024! We’re thrilled to see our portfolio companies actively engaging with the developer community at Devcon. Navigating the many side events can be challenging, so we’ve put together a list below of all the side events where you can find our portfolio companies

1/5 Thrilled to announce our investment in @NapthaAI’s $6M funding round to make decentralized AI accessible and user-friendly. Building, deploying, and using decentralized AI applications should be easy. More below 🧵

Using Folks xLending, you are now able to unify your portfolio under one account, combining the value split between all your crypto addresses. Come in from your fav blockchain, using a wallet you’re comfortable with, and deposit assets which will begin collecting yield immediately. After depositing, you can borrow assets on any connected chain. Simple and useful. Try it now.

1/5 Excited to announce our investment in @LiquoriceHQ’s $1.2 million pre-seed round alongside @greenfield_cap, @l2iterative, @HASHCIB and @HoradrimCapital. The team enhances convenience and capital efficiency for market makers in the Web3 economy, offering users better rates and reducing dependency on centralized exchanges. More details 🧵

3/9 Note that since the introduction of Frames, Farcaster's DAU metric has surged by 1,500%

1/9 As Farcaster continues to lead the way as the dominant decentralized social media, the future seems bright for solutions that allow builders to create new use cases in the realm of decentralized social media. And @airstack_xyz is no exception

👀 @safe

1/ 🚨 Portfolio Companies Hiring Update According to the latest DevReport from @ElectricCapital, there has been a 24% year-over-year decline in developers overall, with the exception being developers with 2+ and 1+ years of experience. This downturn is concerning given that "developers are a leading indicator of value creation.”

1/ To all FHE professionals, enthusiasts, builders, and all all-blockchain-related curious souls out there: @polymorphiccap and @FairMath join forces to bring FHE community together for the free online workshop “FHEllo, world” with incredible developers from @IBMResearch , OpenFHE, Cryptolab, @mindnetwork_xyz and @DualityTech . Join us on February 21st at 2pm CET for a chance to observe the developments within the FHE community, learn how you can engage, and directly address any questions you may have. Registration link: lu.ma/79h2gt52 More on the topics and speakers 👇

👀@safe

Embracing innovation lies at the heart of Polymorphic Capital. We're convinced that Fully Homomorphic Encryption (#FHE) is set to transform data security and privacy beyond conventional expectations. Explore the intricacies of this technology in @romdespoel's insightful article: mirror.xyz/pmc.eth/7WxTQ9oQw… Share your thoughts and feedback

We're diving into a sizzling autumn, hitting the hottest industry events! Catch us at: 1️⃣Permissionless II in Austin 🇺🇸 2️⃣Token2049 in Singapore 🇸🇬 3️⃣Dappcon in Berlin 🇩🇪 4️⃣Mainnet in NYC 🇺🇸 5️⃣Devconnect in Istanbul 🇹🇷 6️⃣ETHLisbon in Lisbon 🇵🇹 Who's joining? 😏

1/ We’re excited to announce our lead investment into @interfacedapp’s $1.4m seed round 🎉 Interface app reimagines the way users navigate the blockchain, offering a single platform that consolidates their entire on-chain presence and making it a human-friendly social feed 👇

Reading update! 📖✨ Explore the article by our associate @romdespoel on Fully Homomorphic Encryption, where the trade-off between data utility and privacy is overcome🔒 Don't miss out! Follow the link below. mirror.xyz/pmc.eth/2Axx5tLUP…

Meet our team at @BuildingBlock_s !