Non-fungible token (NFT) venture studio Metaversal has raised $50 million in a Series A funding round, the company announced in the first week of January 2022.
The US-based cryptocurrency-focused investment fund CoinFund led the funding round along with Foxhaven Asset. Dapper Labs, Rarible, Grayscale’s parent company Digital Currency Group, Collab+Currency, Franklin Templeton, Galaxy Vision Hill, Narwhal Ventures, NGC Ventures, and others also participated in this round.
“We are thrilled to welcome some of the foremost blockchain and technology investors into our mission to invest in the infinite stories of our culture,” Yossi Hasson, CEO of Metaversal, said in the statement.
Metaversal will be using the freshly raised funds to expand its portfolio by acquiring digital collectibles, funding other NFT-focused projects, and partnering with other market participants like Dapper Labs’ Flow blockchain and Rarible.
Last year, CoinFund revealed its plan to create Metaversal, a new investment vehicle to double down on the NFT market. With this fund, the idea has been to serve as both an investor and a development studio for NFT companies.
"NFTs are so much more than just the art, they’re so much more than just collectibles, think about contracts, think about other aspects of your life that are unique, anything that you can create an NFT out of," Vanessa Grellet, head of portfolio growth, said in an interview at the time. "So the sky's the limit.”
CoinFund has previously invested in the NFT marketplace Rarible and Dapper Labs, the creator of CryptoKitties and NBA Top Shots. Metaversal meanwhile was the first institutional investor in ConstitutionalDAO. The firm also owns over 750 NFTs and has invested in the Tezos ecosystem, media organization NFT Now, and Solana-based NFT storefront Holaplex.
NFTs, which exploded in popularity last year, surpassed $23 billion in trading volume in 2021. While before even moving into 2022, the broad crypto market has been showing signs of lethargy, NFTs have picked up volume yet again, ready to continue the winning streak of last year.
Besides seeing increased popularity as Profile Pictures (PFP), with Bored Ape Yacht Club hitting $1 billion in all-time sales, NFTs’ use case has since been expanded to cover staking as collateral against loans, play-to-earn (P2E) games, and more.