Crypto Game Developer Animoca Brands Raises $110 Million

LONDON, Sept 8 (Reuters) – Hong Kong-based blockchain game developer Animoca Brands has raised $110 million from investors, the company said in a statement on Thursday.

The company issued convertible notes in a funding round that values ​​it at around $5.6 billion, he said.

New investors include Singapore-based Temasek, global venture capital firm GGV Capital and China-focused asset manager Boyu Capital, the statement said, with some existing investors also contributing.

“Our new investors will bring strategic advice and perspective,” Animoca Brands co-founder Yat Siu said in a statement, describing it as a “special strategic fundraising series.”

Animoca Brands has invested in over 340 companies to build its vision of a blockchain-based “metaverse” where users can buy and trade digital assets in the form of non-fungible tokens (NFTs).

NFTs surged last year as speculators crowded into digital assets and the metaverse became a tech buzzword. But sales volumes have fallen sharply in recent months as investors have become more risk averse, cryptocurrency prices have fallen, and the much-hyped metaverse has shown few signs of materializing. Read more

An Animoca Brands spokesperson downplayed the impact of “crypto winter” – industry jargon for a time of depressed prices – which wiped around $1 trillion from the cryptocurrency market this year, according to data from CoinGecko.

Funds raised will be used to make further acquisitions and investments, as well as for product development and obtaining intellectual property licenses, according to the statement.

“We take a long-term view and also note that blockchain gaming has been relatively less affected by the cooling than some other sectors,” the spokesperson said, without giving further details.

Top blockchain game Axie Infinity, which is backed by Animoca Brands, has seen a sharp decline in monthly sales volume, number of buyers, and average selling prices since January, according to market tracker CryptoSlam.

Animoca Brands raised $75 million in July and $360 million in January. Read more

Reporting by Elizabeth Howcroft; edited by Jason Neely and David Evans

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