Immutable secures $500M to fund Web3 gaming and NFT firms

Immutable, a scaling firm focused on non-fungible tokens (NFTs), has raised a $500 million fund. The developer and venture investment fund will go towards supporting companies operating in the Web3 sector and NFTs.

Immutable’s $500M fund

Robbie Ferguson, the co-founder and President of Immutable, said the company focused on supporting innovative projects in the Web3 gaming sector. Therefore, the firm was committing $500M to help developers create blockchain games and NFT startups.

Ferguson was speaking in an interview with TechCrunch where he said, “We see gaming being one of the biggest opportunities in Web3 to have ever existed, 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 is also bullish on the Web3 sector. He predicted that the industry could hit a $1 trillion valuation in the future. Such growth levels would be achieved if other industries, such as film and music, focus on Web3.

The $500M fund was realized from different areas. Ferguson noted that venture capitals had allocated part of the funds. Immutable’s balance sheets and grants made to the foundation also contributed to this fund. Some Web3-focused investors like Animoca Brands, Arrington Capital, and GameStop contributed to the fund.

“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. I have strong conviction that the first hundred million users will come from a [Web 2.0] game,” Ferguson added.

Ferguson also said that it took time to adopt Web3 and that the best games took time to develop. Therefore, if the sector wanted to achieve growth, it would so over the next few years when “Triple-A games” are developed.

Immutable at a $2.5B valuation

In March 2022, Immutable announced a $200 million Series C funding round that raised its valuation to $2.5 billion. The funding round was led by a Singapore-based Temasek investment firm. Some other firms that also invested in the funding round include Arrington Capital and ParaFi Capital. Immutable has also invested in several Web3 firms like Topology, Stardust, and PlanetQuest.

Immutable is a web3 gaming firm based in Australia. The company has said it will use the recently raised funds to grow its team and support its gaming studio. Some of the notable blockchain games within the company include Guild of Guardians and Gods Unchained.