Blockchain-based games have been a hot topic in the cryptocurrency space over the past two years, accounting for considerable growth and daily activity on a number of protocols despite prolonged bear market conditions.
Market research estimates that Web3 gaming pulled in around $4.5 billion in funding in 2022 as asset managers, investment funds and venture capitalists look to cash in on the burgeoning sector.
In an exclusive interview with Cointelegraph, Animoca Brands co-founder Yat Siu highlighted the firm’s renewed optimism in the blockchain gaming sector and gave an update on its anticipated metaverse fund which grabbed headlines in late 2022.
Metaverse fund awaiting license
Animoca Brands originally earmarked up to $2 billion for a proposed metaverse fund in November 2022 which intends to invest in a variety of mid to late-stage startups building metaverse products and experiences.
The company was forced to scale back on its original investment target as per reports in 2023, reducing the amount to $1 billion in January. Reports citing unnamed sources in March then indicated that the fund would be further reduced to $800 million due to volatility affecting the cryptocurrency space.
Related: NFT games are ‘only scratching the surface’ of what’s possible — Animoca’s Yat Siu
When queried about the current state of the proposed metaverse fund, Siu told Cointelegraph that the firm was still awaiting a license before it can begin to put its money to work.
“That’s the gating factor. But Animoca has made many investments this year and we are over 450 portfolio companies today. That doesn’t come from sitting back and being passive.”
Siu added that Animoca continues to invest in a variety of early stage startups through its venture arm while the majority of investments still come directly from the company’s balance sheet.
Upcoming ‘AAA’ blockchain games on the horizon
While licensing remains a hurdle for Animoca’s Metaverse fund, Siu expects a number of ‘AAA’ titles in which the company has invested…
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