Web3 game publisher Fenix Games raised $150 million in funding to acquire, invest in, and distribute blockchain games. The funds will be used to create a game publishing company specifically for the mainstreaming of blockchain games.
The latest round of funding for Fenix Games saw the participation of investors including the Phoenix Group and Dubai-based venture capital firm Cypher Capital, local news outlet Jinse reported. Chris Ko, CEO and co-founder of Fenix Games, who previously ran Mythical Games, views his company “as a venture capital fund” to drive the next generation of blockchain gaming.
Sharing details on the post-funding game plan, Ko stated:
“We’re actually going to start with a huge capital base to invest in those (next-gen game) studios. We also want to use our balance sheet to acquire a bunch of existing games in the Web2 space to build a wallet.”
Ko also highlighted that the blockchain gaming market does not exist like that of traditional video games such as game consoles and mobile games. Fenix Games’ strategy going forward is to develop the gaming ecosystem through publishing initiatives.
GameFi’s ever-evolving model could make “today’s AAA game companies look like peanuts,” said Jack O’Holleran, CEO of Skale, an Ethereum-native multi-chain network that powers Web3 games.
However, finding a sustainable GameFi model remains a challenge. The user experience is one of the main problems in the sector, due to the high gas rates and the technical complexity involved in buying, owning and trading NFTs.
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