As blockchain technology continues to evolve and influence various sectors, venture capital firms like Animoca Brands are at the forefront of this innovation. Recently, they raised $20 million to further bolster their Web3 identity project, Mocaverse. The funding round saw contributions from various parties, including block-chain based venture capital company CMCC Global, along with other investors like Kingsway Capital and Liberty City Ventures.
This new project, backed heavily by the crypto community, is poised to be the gateway for hundreds of millions of new users to access Web3 and metaverse ecosystems. As part of the funding agreement, Animoca Brands issued Simple Agreements for Future Equity (SAFEs) at a price per share of $2.89, with a promise these would transform into ordinary shares within six months. Notwithstanding, it carries the scepticism around the delivery and execution of such promises.
The future implications of this capital infusion will steer the advancement of Mocaverse, with plans to funnel more resources towards product development, Web3 adoption, and the establishment of new alliances. The intention is to widen the Animoca Brands’ gaming, culture and entertainment ecosystem via a string of investments in Web3 companies and projects. The scepticism, though, breeds from the concern of spread-thin resources and the precarious balance between expansion and sustainability.
Mocaverse takes a novel approach to enrich user participation – it encompasses a membership non-fungible token (NFT) collection. Features like digital identities, loyalty points and reputation make it a unique offering in the market, fuelling user engagement while stoking concerns over data privacy and potential misuse.
A noteworthy move is their upcoming launch of ‘Moca IDs’, a non-transferable NFT collection projected to streamline user identity across Animoca Brands’ platforms. This step is both promising – promising seamless user experience – and somewhat concerning given the inherent limitations of non-transferable assets.
As per the company’s vision, Mocaverse is essentially an identity and point system for Web3 gaming, culture, entertainment. While this centralized approach has its advantages, the flip-side questions the extent of control and manipulation possible. What balances this partially is the claim that Mocaverse’s DAO-based approach ensures a community-centric focus, fostering innovation and collaboration across the broader Animoca Brands’ ecosystem. Whether the balance leans toward positive disruption or negative controversy, only time will tell.
Source: Cryptonews
