Crypto investment firm Polychain Capital is paying out large returns to investors in two of its four venture capital funds, Bloomberg reported. The San Francisco firm, founded by Olaf Carlson-Wee, began distributing 44% of the fund this week to investors in the Polychain Ventures II fund, which initially raised about $300 million in 2019, according to people familiar with the matter. The company also paid out about half the value of its first VC fund, a $175 million fund raised in 2018, earlier this year. However, while it is more challenging for crypto VC firms to raise large sums for new crypto bets than in previous bull markets, other venture capital heavyweights are still rushing to raise funds to cope with the correction in digital asset prices.