Animoca Brands leads $7M funding round for Param Labs

Zoltan Vardai9 hours agoAnimoca Brands leads $7M funding round for Param LabsThe lack of Web3 gaming infrastructure remains the biggest hurdle for mainstream adoption, according to Param Labs’ CEO.3071 Total views1 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTJoin us on social networksGaming infrastructure developer Param Labs raised $7 million worth of funds in a “significantly oversubscribed” investment round.

The modular gaming ecosystem’s $7 million round was led by crypto venture capital (VC) firm Animoca Brands, with participation from investment firms including Delphi Ventures, Cypher Capital, P2 Ventures (formerly Polygon Ventures), Mechanism Capital, Merit Circle, TRGC Capital, Double Peak Group, and MH Ventures.

The funding will be used to address one of the most pressing shortcomings of Web3 gaming — the lack of underlying infrastructure. Modular gaming ecosystems like Param will be crucial for laying the groundwork for the next generation of Web3 games, according to Anthony Anderson, CEO of Param Labs and Kiraverse.

Anderson told Cointelegraph:“Unlike most Web3 studios that focus on developing single game titles, modular ecosystems offer a variety of products and components. This allows developers to build their own games from these modules and provides essential tools for other developers to utilize and integrate into their projects.”

The funding round precedes significant growth for the Param Gaming Platform, which recently surpassed 300,000 daily active users. The protocol’s X page also surpassed the 2.5 million follower mark before the investment round.

Animoca Labs co-founder Yat Siu and Face Clan founder Banks also made strategic investments in the protocol. According to Yat Siu, Param Labs could help materialize the vision of a truly open metaverse. Siu wrote:“We’re excited to partner with Param Labs to advance digital property rights in gaming, bringing us a step closer to realizing the vision of the truly open metaverse. This collaboration aligns with our shared vision to redefine the gaming landscape, ensuring that gamers are the true owners of their digital assets.”

Related:Binance develops ‘antidote’ to address poisoning scams after $68M exploitWeb3 gaming needs infrastructure for mainstream adoption

The lack of Web3 gaming infrastructure makes blockchain integrations difficult for developers, which is among the biggest challenges for mainstream adoption, according to Anderson:“[We’re] focusing on infrastructure is crucial, as it not only addresses the challenges in the games we’re developing but also has the potential to be applied to hundreds, if not thousands, of other experiences. This will significantly contribute to the adoption of blockchain gaming.”

The lack of blockchain gaming infrastructure became even more apparent this week after Wanderers game founder Nick Greenawalt shared a game preview in a May 15 X post, ironically dubbing it “the future of gaming.”

The video shows gameplay pausing every few seconds as a MetaMask wallet prompt pops up to record every single shot on-chain. While the video was perceived as a satirical post, not a true preview, it illustrates the need for seamless gaming infrastructure.this is the future of gaming - every shot is on chain pic.twitter.com/eFavYC0t4D— nick greenawalt (@motionbynick) May 15, 2024

To achieve true mainstream adoption, Web3 games need to organically incorporate crypto assets and Web3 technology without any disturbing friction points, according to Param Labs’ Anderson:“Gamers should be able to interact with on-chain assets without even realizing it, while still benefiting from features like trading assets with friends and monetizing their in-game time.”

Related:Crypto trader turns $3K into $46M in one month as PEPE price soars# Games# DeFi# Blockchain Game# Web3# GameFiAdd reaction