Singapore’s Temasek to Lead Animoca’s $100M Funding Round

The blockchain gaming powerhouse – Animoca Brands – has raised $100 million in a funding round from Singapore state-owned Temasek.

As per Bloomberg’s report, Temasek will be financing the round through convertible bonds.

The state fund does not directly invest in crypto-assets and is rather inclined to back service providers in the space instead. It has been an active investor leading several million dollars in funding rounds to well-known players in the digital asset market, including Amber Group and FTX.US, this year.

Animoca’s Expansion

Animoca transformed from a small mobile game publisher to one of the biggest blockchain investors in Asia in less than five years. During this time, the Hong Kong-based company brought together a portfolio of over 340 finance, gaming, and social media firms. A dramatic spike in valuation can also be credited to the 2021 NFT boom.

Earlier in January this year, Animoca fetched a $360 million fundraiser. The round saw participation from Liberty City Ventures, Winklevoss Capital, and Soros Fund Management. The firm doubled down in its aggressive expansion plans with the second part of the deal that involved the financing of $75 million.

The capital raise, however, wasn’t entirely smooth. It managed to retain some of the previous investors. However, KKR & Co., among a few others, backed out following the severe crypto market downturn.

The latest development comes days after Japanese subsidiary – Animoca Brands KK – raised $45 million infused by the parent company, as well as MUFG Bank, Ltd. (MUFG). As per the announcement, the capital will be poured in to secure licenses for popular intellectual properties and develop internal capabilities. The move was also part of Animoca’s plan to fortify its presence in one of the leading economies in Asia – Japan.

Metaverse Investments Growth

Despite the uncertain market conditions across the world, the metaverse gaming industry continues to attract significant capital. According to Fortune Business Insights, the global metaverse market is expected to increase from $100.27 billion in 2022 to $1,527.55 billion in 2029, with a CAGR of 47.6%.

The research also demonstrated that the COVID-19 epidemic was a major catalyst that spurred the demand for metaverse experiences across all geographic areas, including Europe, the United States, and the Asia Pacific.