Animoca Brands, the parent company behind metaverse projects like The Sandbox, has announced plans to launch a $2 billion investment vehicle. The new fund will be focused on returns for potential investors who want to increase their equity exposure to Web3.
Animoca Brands Introduces Animoca Capital Fund
Animoca Brands, one of the biggest names in the metaverse and NFT space, has revealed its plans to launch a metaverse fund. This was conveyed by the company’s co-founders Yat Siu and Nikkei in a statement issued on November 29. The company is aiming to raise up to $2 billion for the new initiative.
Animoca Brands has already raised $804 million from various investors. Once the funds are raised, the company plans to invest in mid to late-stage metaverse platforms. This will enable partners to direct investments to more companies in the Web3 environment for more income.
Siu provided further insight on the decision in this way:
In a bear market, it is common for concentration to shift to market leaders. This is a very different investment from investing in a seed company, which is much more risky.
The fund is currently named Animoca Capital.
Fundraising
Metaverse and Web3 gaming are popular topics in the current climate. However, fundraising during this market situation or following the FTX collapse is a different matter. Siu believes that Animoca Brands can make this task easier. He commented:
In a bear market, it is common for concentration to shift to market leaders.
Siu further noted that Animoca Brands believes that the metaverse and Web3 gaming can be powerful channels for cryptocurrency adoption. Players are beginning to see these platforms differently from cryptocurrency traders and speculators.
Animoca Brands is not the only company looking into the potential of Web3 or metaverse gaming. On November 29, Game7, a DAO dedicated to gaming, announced the launch of a grant program to invest $100 million in various sectors of the Web3 Gaming Industry, including tools that help developers optimize their game development.
The company did not provide any other information about potential investors or the launch date for the fund.
What do you think? Is there a possibility for a $2 billion Web3 gaming fund or metaverse proposed by Animoca Brands? Let us know in the comments below.
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