Immutable raises $500 million to support web 3 gaming and NFT projects The Australian NFT scaling platform — Immutable — introduced an inaugural $500 million developer and venture investment fund. The funding will be distributed to companies that are developing the Web3 ecosystem or projects using non-fungible tokens (NFT).
The Half-Billion Dollar Fund
In a recent interview for TechCrunch, Robbie Ferguson — Co-Founder and President of Immutable — asserted that the company’s primary goal is to integrate innovations in the Web3 gaming sector. Accordingly, the company will provide $500 million funding to developers of blockchain-based games and NFT startups. “We see gaming being one of the biggest opportunities in Web3 to have ever existed. The total addressable market is going to be enormous and much bigger than what gaming is today — a $100 billion industry for in-game items alone,” Ferguson stated. Furthermore, the executive thinks the sector could grow to $1 trillion in the future if the film and musical industries are interested and become part of its ecosystem. The fund in question was amassed from venture partners of Immutable and cash backed on the firm’s balance sheet: “There’s obviously all our venture partners who are using their balance sheets and VC allocations to come in on these deals, there’s cash-backed on [Immutable’s] balance sheet, and there’s also the foundation’s grants, which are specifically designed for this purpose to incentivize and build the Immutable ecosystem.” The financing also involved prominent investors like GameStop, BITKRAFT and Arrington Capital. Ferguson believes that the next few years will see middle-sized gaming companies catch up with the top-growing ones in the market. Additional blockchain-based games are expected to join the Web3 Universe. “The main thing is that it takes time to integrate Web3 and takes time to build a good game. There’s going to be a huge influx of Web3 games in eight to 12 months, and there’s going to be hundreds of Triple-A games over the next few years.”
The Past Fund
Immutable completed a $200 million round of funding in March 2015, led by Temasek, a Singaporean investment firm. Arrington Capital and Princeville Capital were also among the other renowned investors who participated in the round. Immutable stated that it will use the funds for expansion and strengthening its gaming studio. This includes popular blockchain games such as Guild of Guardians or Gods Unchained. The initiative boosted the company’s valuation to $2.5 billion.