Immutable launches $500M fund to boost web3 gaming adoption

techcrunch.com:

The crypto gaming industry is continuing to grow in popularity as more capital is deployed in the space and traditional Web 2.0 gaming studios look to enter the web3 market.

Immutable, an Australia-based web3 gaming firm, launched an inaugural $500 million developer and venture investment fund, Robbie Ferguson, president and co-founder of Immutable, exclusively told TechCrunch.

The capital will be used to fund projects building web3 games and NFT-focused companies on its layer-2 Ethereum-focused platform, Immutable X.

Immutable’s main goal is to enable the next generation of web3 gaming at scale, Ferguson said. Gaming developers and IP holders already building on its platform include GameStop, TikTok, OpenSea and Illuvium, to name a few.

“We see gaming being one of the biggest opportunities in web3 to have ever existed,” he said. “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 noted that the total addressable gaming market is compounding 10% year over year, so the industry could have a $1 trillion price tag for ownable assets under the assumption that movies, TV shows and music will end up inside of games.

The half-billion-dollar fund was pooled together from a “mixture of places,” Ferguson shared. “There’s obviously all our venture partners who are using their balance sheets and VC allocations to come in on these deals, there’s cash backed on [Immutable’s] balance sheet, and there’s also the foundation’s grants, which are specifically designed for this purpose to incentivize and build the Immutable ecosystem.”

Its fund will also collaborate with other web3 gaming and NFT-focused investors including BITKRAFT, Animoca