Author : Kenno
Date : Dec 20,2022
The gaming investor is putting together plans to create a sizable fund for Metaverse investments.
For a time now, Animoca Brands has been making waves in the NFT industry. The investor is currently preparing to launch a sizable Metaverse fund.
In the previous two years, metaverse investments have been incredibly popular, and Animoca Brands wants to take advantage of this development. To finance initiatives including blockchain, virtual reality, augmented reality, and other cutting-edge technologies, the company hopes to raise $2 billion from investors.
Future Plans for Animoca Brands
Yat Siu, a co-founder of Animoca Brands, revealed to Nikkei Asia on last Wednesday that the gaming investor is putting together plans to create a sizable fund for Metaverse investments. The money will be invested in and utilized to build promising Metaverse initiatives.
The fund, Animoca Capital, will make its first investment in the first quarter of 2023. Despite not having been raised yet, the fund's current aim is somewhere between $1 and $2 billion. But as more companies venture into the Metaverse market, the fund will probably quickly fill with investors.
What Goals Does the Metaverse Fund Have?
A global venture capital fund called The Metaverse Fund will invest in businesses that are creating platforms for the Metaverse. Among other advantages, the fund will give startups money to develop their goods and services.
Instead of focusing on generating profits, the major goal of these investments will be to build a Metaverse ecosystem and a thriving market with many participants.
The Animoca Brands team, led by Siu, believes that the Metaverse market is gradually beginning to hone. A separate investment entity is now necessary as a result of this. The fund's main objectives will be equity optimization and expanding investor access to Web3 enterprises.
This fund is open to traditional investors that want to participate in the Metaverse ecosystem.
Backstory of Animoca Brands
One of the major companies in the Web3 market since its establishment in 2014 has been Animoca. Since its founding, the organization has invested in more than 380 Web3-based companies, such as Dapper Labs and OpenSea.
Initially registered on the Australian Securities Exchange, the company was delisted from the exchange two years ago due to a failure to abide by the rules. Although they haven't yet disclosed any specifics, the founders have a strategy for delisting from the stock exchange.
GGV Capital, Mirae Asset Management, and Temasek are a few of Animoca's main financiers. These investors are based in South Korea, the US, and Singapore, as you may have seen. This is due to the fact that it constantly tries to keep a global presence and invest in projects from all over the world, not only from its home base.
The Sandbox, a Metaverse game that lets players really purchase virtual land plots, decorate them with NFTs, and exchange them, is produced by the Hong Kong-based Blockchain gaming collective.
Will the Fund Draw Significant Investors?
Animoca Brands is optimistic that the fund will be successful in spite of the recent instability in the cryptocurrency industry, which has included the collapse of FTX as one of the most prominent recent incidents. The business has been successful in luring numerous investors.
Animoca intends to raise $358 million in January and an additional $110 million in September.
Even though the project as a whole is more difficult, Animoca will continue to make a contribution to the Web3 industry. In order to help the ecosystem, the company actually intends to donate $10 million to Binance's Web3 Industry Recovery Initiative.