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VC Firm Framework Ventures Raises $400M for Web 3.0, Gaming, DeFi

UTC by Bhushan Akolkar · 2 min read
VC Firm Framework Ventures Raises $400M for Web 3.0, Gaming, DeFi
Photo: Depositphotos

The venture capital firm said that half of the funds raised shall go towards gaming with the recent emergence of blockchain-based games, P2E games, and much more.

Crypto-focused venture capital firm Framework Ventures has recently secured a staggering $400 for its third crypto fund FV III. With this, the total assets under management for the company come to $1.4 billion. As per the plans announced by Framework Ventures, nearly heal of the fund’s amount shall go towards the blockchain-based gaming sector. The rest of it will go towards decentralized finance (DeFi) and Web 3.0.

Blockchain-based gaming has been gaining strong momentum in recent months. Besides, this sector has also witnessed notable investments with giants like Forte raising $725 million and Mythical Games raising $100 million. Speaking of the development, Framework Ventures co-founder Michael Anderson said:

“I believe the next stage of the blockchain industry will be entirely about onboarding new users, and we think gaming is by far the biggest top-of-funnel opportunity. As the economics of play to earn models converge with triple-A games that are actually fun to play, we expect an explosion of growth for this sector.”

Additionally, the VC firm has been an early investor in the decentralized finance (DeFi) space back in 2020. Some of the early investment picks of Framework Ventures Chainlink, Graph, and Aave. Back then the fund was only worth $100 Million.

Framework Ventures Highlights the Growth of Blockchain-based Gaming

Gaming is emerging to be one of the most hotly contested and competitive sectors for corporations. The online gaming industry has more than 3 billion active players as of now. As a result, blockchain-based gaming has also started gaining traction with applications of NFTs and crypto.

The blockchain world is witnessing strong growth with play-to-earn games as well as NFT integrations. Games like Axie Infinity and The Sandbox have garnered great interest within the crypto market. However, they are still far away from competing with mainstream titles in the market.

Additionally, the attempts to integrate crypto and NFTs into the top franchises haven’t gone smoothly with the gaming community. But the change is imminent over the next few years and Framework Ventures seeks to capitalize on it.

The VC firm remains confident that blockchain games with “hundreds of developers” are preparing for launch. The firm also predicts play-to-earn features merging with triple-A games that are “actually fun to play”.

Framework Ventures has already put funds towards gaming projects such as Stardust as well as Illuvium, an upcoming triple-A game.

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Bhushan Akolkar

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.

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