Animoca Brands and Binance Smart Chain Launch Investment Program worth $200 million for blockchain games developed by crypto gaming startups.
Animoca Brands and Binance Smart Chain have joined hands to launch a $200 million investment program to support and facilitate crypto gaming startups.
The program also aims to significantly increase awareness and adoption of blockchain technology.
The investment program will invest and support GameFi projects that use cryptocurrencies and NFT's in games. The intersection between crypto, NFTs, and video games has resulted in a boom for decentralized game finance.
This upward trend in blockchain games helped Animoca Brands raise multiple rounds of investments.
Recently, Animoca Brands raised $65 million round at a $2.2 billion valuation!
NFT's and cryptocurrency both have their own way of working. NFT's use the digital ledger of blockchain to maintain uniqueness and identify in-game digital items. NFT's are also sold as limited edition collectibles for higher prices in the market.
As for cryptos, it is a bit complicated due to the requirement of a secure digital wallet for currency exchange.
Both NFT's and crypto's are yet to become a household item and are not embraced by the larger chunk of society. Video games are playing a vital role in this regard as it is helping NFT's and crypto reach mainstream users.
However, traditional video game companies are still reluctant to embrace blockchain technology due to several concerns like environmental pollution, stringent regulations, scams, and more.
Animoca’s executive chairman Yat Siu said, “Early GameFi projects currently require funding for a runway to build their products.” He further added, “They need support to increase their industry expertise for open-world gameplay.
Also for networking opportunities to establish growth in blockchain gaming and the open metaverse.”
Binance Smart Chain investment director said, “Gaming is one of the strong pillars of Web 2.0, reaching billions of users,” said Gwendolyn Regina.
“Its large-scale real-life use case makes it one of the core focus areas for crypto’s mass adoption to onboard retail consumers into the Web 3 world.”