The funds will be used for investing in web3 gaming and NFT-focused projects built over Immutable X, the firm’s Ethereum-based layer-2 scaling solution. Immutable will provide grants in a mix of cash and Immutable X native tokens to potential projects.
Games require a large number of transactions, and Immutable X’s use of roll-up technology to bundle transactions in an energy-efficient way has the ability to power the next-gen blockchain games.
Platforms that already use Immutable’s scaling solution include GameStop, TikTok, OpenSea, Illuvium, and many more. Immutable has a separate $100 million fund in partnership with GameStop for budding crypto game developers.
Robbie Ferguson, President and co-founder of Immutable said:
“We see gaming being one of the biggest opportunities in web3 to have ever existed.”
He added:
“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 believes the gaming market will grow at a CAGR of 10% in the coming years, and digital ownable assets like videos, music, and wearables that end up inside games will further push the value.
The fund will work in tandem with other web3-focused partners, including GameStop, Animoca Brands, King River Capital, BITKRAFT, Arrington Capital, AirTree, and Double Peak.
Immutable last closed a Series C $200 million funding in March led by Singapore-based Temasek, valuing the company at $2.5 billion. The firm’s current portfolio of web-3 investments includes PlanetQuest, StarkWare, Topology, and Stardust.
In the next 12-24 months, Ferguson expects a larger penetration of mid-sized gaming studios into web3. “It’s the perfect time to start really building long-term games that will have true in-game economies that will get a hundred million to a billion players on web3,” he said.
