The blockchain-games operator Animoca Brands has cut the target size of its metaverse fund by 20% to $800 million. Reuters, citing sources, reports this.
In November 2022, the company announced plans to launch a vehicle for investments in the realm of virtual worlds worth $2 billion. However, in early 2023 Animoca cut this figure in half—to $1 billion.
According to the statement, the fund will focus on a ‘open to NFT and metaverse’ business. First investments are expected this year.
According to sources, the changes in the company’s plans came after a sharp spike in volatility in the crypto market.
Despite the bear market, in July the blockchain-games operator raised $75 million, and in August — another $100 million. CEO Robbie Yung acknowledged that securing financing this time proved more challenging than in previous rounds.
Earlier he called the creation of virtual worlds a ‘long-term plan’. In his view, the development of metaverses could take more than ten years.
Back in September 2022, Animoca Brands announced the acquisition of WePlay Media, the studio behind MotoGP Championship Quest.