Expanding the metaverse is not an easy feat. Other than the strategies that need to be implemented and the networking required to successfully launch a project, there is also a need for capital to establish such projects. Despite the rough winds and storms the crypto community is currently experiencing, various parties are still showing their support for the industry.
Web3 gaming company, Animoca Brands, has decided to raise a $2 billion fund in order to support metaverse projects. The news was announced by the company’s co-founder and executive chairman, Yat Siu, in an interview with the biggest financial newspaper, Nikkei Asia.
The 2 billion-dollar fund will be dubbed Animoca Capital and will be used to fund various projects starting from next year. Animoca Capital will center its efforts on NFT and Metaverse projects that are concerned with digital asset rights.
Unlike its peers that seek a quick return on their investments, the fund will be used to fund projects that are making their entry into the Web3 space. Hence, it will be more concerned about equity optimization, rather than quick returns.
Additionally, investors will be attracted to such projects funded by the blockchain organization, especially those who are quite keen on investing in budding companies. In comparison to established startups that are more prone to risks, growing companies are considered the safer option for these people.
Notable Activities by Animoca Brands
Animoca Brands has been quite studious in its efforts to guarantee the safety of Web3’s future.
In September, the Web3 gaming provider raised $110 million in a strategic funding round, which will bolster its efforts to “fund strategic acquisitions, investments, and product development, secure licences for popular intellectual properties, and advance the open Metaverse, including through its efforts to promote digital property rights for online users”.
Just recently, Binance launched the Web3 Industry Recovery Initiative after its issues with FTX. Animoca contributed a whopping $10 million to that cause.
Last month, the developer of The Sandbox announced its release of NFT-backed bikes.
Animoca Brands also worked together with the recently acquired TinyTap to auction the first set of education publisher NFTs.
Clearly, Animoca has been quite busy with numerous projects in the Web3 space.