Binance and Animoca Launches US$200 Million Fund for GameFi

Binance Smart Chain (BSC) and Animoca Brands have partnered to launch an investment program of US$200 million for incubating gaming projects built on BSC.

Binance Smart Chain (BSC) and Animoca Brands have partnered to launch an investment program of US$200 million for incubating early cryptocurrency-focused gaming projects, built on BSC. On December 6, both BSC and Animonica have announced that the companies will be co-investing up to US$200 million (US$100 million each) for supporting gaming projects in the GameFi sector (Game decentralized Finance or monetization of decentralized gaming platforms). GameFi works under a play-to-earn model in place of the play-to-win model.

Reports say that Binance Smart Chain (one of the largest blockchain ecosystems currently) is going to make the investment from its accelerator arm (a whopping US$1 billion) for DeFi (decentralized finance), GameFi (Gaming Decentralized Finance), and NFTs (nonfungible tokens). The US$1 billion funds were set up earlier in 2021 for extending the services of the BSC ecosystem and at the same time drive mainstream adoption throughout the fintech sector.

Animoca Brands, on the other hand, is a major entity in the sector of blockchain gaming and the open metaverse. They work to provide property rights through gaming and nonfungible technologies. The company has reportedly invested in all major NFT-related projects including:

  • Axie Infinity
  • OpenSea
  • Bitski
  • Harmony, and many more 

Gwendolyn Regina, the director of BSC investment, has said 

“With this co-investment, projects building on BSC will get the opportunity to gain insights and expertise from leading gaming giants such as Animoca Brands, along with collaboration opportunities with blockchain experts from the BSC Community.”

BSC and Animoca Brands are not the only brands working towards investing in GameFi. Other major crypto companies and investment firms investing in GameFi sector include FTX, Solana Ventures, Huobi crypto exchange, Sanctor Capital, and many more.