NFT gaming platform The Sandbox plans to raise $400M in a funding round

The Sandbox, a non-fungible token (NFT) gaming platform, plans to raise $400 million in a funding round. The platform plans to attract both new and previous investors to back the funding round.

The Sandbox plans a $400M funding round

According to a report by Bloomberg, the $400B funding round will be done at a $4B valuation. The Sandbox is a blockchain game developed and published by Pixowl. Pixowl is a subsidiary of Animoca Brands. The gaming giant obtained the majority stake at The Sandbox in 2018.

The Sandbox was released in 2011, and it allows players to exchange and monetize in-game virtual assets. The game is based on the Ethereum blockchain, and transactions are settled using the SAND token.

The Sandbox metaverse offers a virtual world for brands that want to create virtual experiences for their clients. The Sandbox metaverse and the games created within the platform are not controlled by a central authority.

The Sandbox comes with animated 3D objects, in-game visual scripting and NFTs. Players use the NFTs to transfer assets between players and games. The Sandbox attracted many investors during the previous funding round. Once this funding round is complete, it could see the company’s valuation make a significant gain.

IN November 2021, The Sandbox closed a $93M Series B funding round. The funding round was led by Softbank Vision Fund 2. The funds garnered from the funding round were used to boost the platform’s open metaverse development.

The Chief Operating Officer and co-founder of The Sandbox, Sebastien Borget, said that the company was planning for new funds that will allow it to increase its workforce and make strategic acquisitions.

News of this funding round has been bullish for SAND. Before the announcement, SAND was trading at around $2.55. It later made a 17%, and it was trading at around $3.01 at the time of writing.

Growth of The Sandbox

The Sandbox is currently the second-largest blockchain metaverse. The platform entered the metaverse world in 2018 after launching user-generated content. It later expanded into the sale of virtual land, merchandise and hosting virtual events. Warner Music Group is planning to have concerts in The Sandbox.

The Sandbox continues to expand beyond its gaming plans. Its metaverse has also attracted other leading names such as HSBC. The UK-based banking institution announced it would enter the metaverse through a partnership with The Sandbox. The bank also promised to buy a piece of virtual land within the metaverse.

Before the announcement of this funding round, it was reported that The Sandbox was planning to go public through an IPO. However, Borget has refuted these claims saying the company did not intend to go public.

The metaverse concept became popular towards the end of last year after Facebook announced it would rebrand into Meta. This caused a surge in the popularity of blockchain-based games.

Decentraland is currently the largest metaverse platform. Its virtual world has attracted popular forms, including JPMorgan. Decentraland also hosted a virtual fashion event that saw participation from leading fashion brands.