Metaplex, a non-fungible token (NFT) protocol, has successfully raised $46 million in its latest funding round to expand blockchain-based gaming options and support its strategic pivot into metaverse applications.
In a January 19 announcement, Metaplex confirmed the successful completion of a $46 million investment round to expand gaming and Metaverse applications. This funding round confirmed how major blockchain networks intend to capitalize on Web3 technology in 2022.
The funding initiative was spearheaded by venture firms Multicoin Capital and Jump Crypto and saw the participation of Solana Ventures, Alameda Research, and Animoca Brands. Other participants in the funding included over 90 individual investors such as NBA legends Michael Jordan and Allen Iverson.
The Metaplex Foundation, which oversees the development of metaplex protocol, will use the secured funds to expand support for metaverse and gaming applications this year. The foundation has already used the metaplex protocol to develop more than 5.7 million digital collectibles for 85,000 projects.
In June 2021, Metaplex successfully partnered with cryptocurrency exchange FTX to launch its NFT market on Solana. The Metaplex platform aimed to provide infrastructure support to the nascent crypto sector and expand the NFT community.
Despite its recent slump, many people project that the NFT market will grow further this year. In 2021, Metaplex saw a record-breaking year, with creators generating over $17 billion in sales.
Metaplex Taps Metaverse
Metaplex intends to delve into the metaverse, which refers to a massive digital world that integrates technology and real life. Metaverse technology gained much traction after Facebook rebranded its name to Meta to capitalize on emerging markets. At the time, Vishal Shah, head of Metaverse at Facebook, said creators would have free rein to create different kinds of digital objects on the metaverse.
Interestingly, Metaverse and Non-fungible tokens (NFTs) are somewhat naturally related. NFTs add a certificate of ownership or authenticity to assets belonging to the digital world. Furthermore, proof ownership becomes more integral to metaverse applications as the digital world attracts more users.