Web3 gaming and IP studio Animoca Brands announced on September 11 that it has successfully completed a funding round, raising $20 million to further develop its Mocaverse platform.
At the heart of the successful raise is the development of Moca ID, a key component of the Mocaverse platform, which will serve as a “digital ID” through and through an NFT collection that allows users to participate in and navigate Mocaverse.
The funding round was led by CMCC Global, with additional contributions from GameFiVentures, Liberty City Ventures and Kingsway Capital. It also included investments from Animoca’s co-founder Jat Siu (in personal capacity), founder of Sky Mavis Alexander Larsenand founder of Yield Guild Games Gabby Dizon.
The Mocaverse project aims to provide Web3-native infrastructure tools to help users and developers build gaming and other entertainment products.
The Moca ID naturally provides access to Animoca’s extensive portfolio of more than 450 companies and projects, opening a user network of more than 700 users.
Mocaverse, according to Animoca, will allow users to “build reputation” and “earn and spend loyalty points.” Moca ID embraces a DAO approach and will also serve as a digital identity, reputation and loyalty system for decentralized organizations.
The funding round, led by Asian blockchain VC investment vehicle, CMCC Global, is another testament to Siu’s ability to continue to lead strategic investments and innovative growth in the emerging Web3 space.
The $20 million was reportedly raised through the issuance of Simple agreements for future equality (SAFEs) at a price of A$4.50 per share (A$31.3 million).
What is a “SAFE?”
A SAFE traditionally involves an investor like CMCC Global, who provides funding to a startup in exchange for the right to receive shares at a later date – under certain conditions, such as a valuation limit, discount rate, And conversion trigger.
Unlike other traditional investment agreements, SAFEs are more flexible because they do not require interest payments or a maturity date because they are not considered a loan that must be repaid.
As between Animoca Brands and CMCC Global, the SAFE does contain a conversion trigger, whereby the SAFEs are automatically converted into common shares after six months. These “triggers” are typically followed by an event that triggers the conversion of the investment into equity – for example, a future financing round or acquisition.
“Yat Siu has proven time and time again his ability to lead Web3 in creative new directions and we are excited to once again support him and the Animoca Brands team as they venture into the Mocaverse,” said Martin Baumann, co-founder from CMCC Global. , in a statement to VentureBeat.
Baumann went on to characterize Mocaverse as a unique identifier in Animoca’s investment portfolio, where the project will ultimately become “a portal for hundreds of millions of new users” looking to access Web3 and other metaverse ecosystems.
Editor’s note: This article was written by an employee of nft now in collaboration with OpenAI’s GPT-3.