Web3 Gaming Developers Continue To Be Favored by Investors
Web3 gaming startups continue a trend: Investors are seeing dollar signs
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Funding in cryptocurrency startups picked up this week. Almost $190 million went into industry startups this week, a significantly greater amount than the previous seven day period, which saw only $37 million injected into the ecosystem.
Of all the funding raises, Web3 gaming developer CCP Games, a Reykjavík-based startup, managed to secure the largest amount of cash over the same span.
It closed a $40 million seed round led by prominent venture capitalist firm Andreessen Horowitz (a16z). Participating investors included Makers Fund, BITKRAFT, Kingsway Capital, HASHED and Nexon, among others.
“With advancements made within blockchain, we can forge a new universe deeply imbued with our expertise in player agency and autonomy, empowering players to engage in new ways,” Hilmar Veigar Pétursson, CEO of CCP games said in a statement.
This round of financing will be used to accelerate the studio’s development of gaming in the virtual world.
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CCP Games was not the only Web3 gaming developer that took in fresh funding this week. NFT gaming protocol Aavegotchi also secured $30 million.
The open-source protocol first launched a token sale in September 2020 in the form of a DAICO (Decentralized Autonomous ICO).
According to the company, the haul marks one of the largest fundraising rounds in the gaming sector this year where “no VCs or Angel Investors were directly involved in the raise.”
“The successful conclusion of this sale represents a watershed moment for the decentralized fundraising space and, we hope, a model for responsible fundraising for projects in the future,” Coder Dan, co-founder and CEO of Pixelcraft Studios said in a statement.
Funding will be shared across community participants. Developers will receive 25% of the funding, with the remaining amount controlled by the DAO treasury. Funds are expected to be used to continue development, as well as spent on marketing and other protocol initiatives.
Other notable funding rounds this week:
- Decentralized multi-chain wallet BitKeep secured $30 million from Bitget at a $300 million valuation.
- Animoca Brands led a $28 million Series A for social platform OP3N, bringing its valuation to $100 million.
- Auros secured $17 million from VivCourt with participation from BitDigital, Trovio, Epoch Capital and Primal Capital, plus a handful of senior alumni from Optiver.
- Layer-1 DeFi protocol Radix secured $10 million in funding from DwfLabs.
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