The Australian metaverse gaming firm Animoca Brands has raised close to $360 million in a funding round, valuing the company north of $5 billion.
As Reuters reported Tuesday (Jan. 18), the funding round was led by Liberty City Ventures, with participation from Gemini Frontier Fund, Sequoia China and Winklevoss Capital.
“Animoca Brands has built and developed leading brands in the decentralized gaming and metaverse space,” said Tyler Winklevoss, founder of Winklevoss Capital and Gemini. “We have tremendous conviction in its vision and are excited to support its mission.”
The company issued 111 million shares worth $358 million and says it will use the money for acquisitions and investments, and to develop products and purchase intellectual property licenses. Animico invests in and builds online virtual worlds, where users can purchase assets — land, accessories, etc. — in the form of NFTs.
See also: Gaming Platform The Sandbox Nets 25% Boost in SAND Token After Adidas Mention
Among those worlds is The Sandbox, one of the two biggest metaverses in the crypto world. As PYMNTS reported last year, The Sandbox’s SAND token saw a surge in its value after Adidas referenced a partnership with the company, and also jumped when Facebook announced it was changing its name to Meta.
Reuters notes that Animoca’s chairman and co-founder Yat Siu has been vocal in his option that the development of the metaverse will hinge on users being able to own blockchain-backed assets. His company typically gets about 7.5% of each transaction of its NFTs on the NFT marketplace OpenSea.
Read more: Microsoft’s $70B Bid for Video Game Maker May Test Market Definitions
The news arrives on the same day as reports that Microsoft was close to an almost $70 billion deal to purchase Activision Blizzard, the video game maker behind the “Call of Duty” series, in what would be the largest acquisition in the history of Microsoft and video games.
This deal was also seen as an indication of Microsoft’s interest in the metaverse, something CEO Satya Nadella has shown interest in.
“Gaming is the most dynamic and exciting category in entertainment across all platforms today and will play a key role in the development of metaverse platforms,” Nadella said.
