Kate Irwin

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Crypto gaming and investment firm Animoca Brands now has a <a href="https://x.com/animocabrands/status/1953789549437452740">financial stake</a> in Cool Cats, that 2D pastel cat PFP collection from the 2021 NFT boom that most of you probably forgot about a couple of years ago.



Cool Cats, considered by some to have been at one point a “blue chip” NFT collection, will now be part of the Mocaverse. The <a href="https://ysiu.medium.com/the-meaning-of-tokens-and-the-purpose-of-the-mocaverse-22b134ca3bc7">Mocaverse</a> is Animoca’s ambitious vision to give everyone their own crypto-powered identity and tie that into games and other experiences.



<figure class="wp-block-image is-resized"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcutHV4eyLtILpktRaxiqfRYsk9ekXBFjmYhVk0UB01S3japweFkc76tbVzDs2sQj_rIFnTouaPXtCaYl2c1ZjIHOFOKF3iCisTqMhPOgmNgbrEgMXHc8s2XPhMA3hQHNVYlIMDTA?key=zU2bGX4hrwcEG8YhzIEcdA" alt="" style="width:537px;height:auto"/></figure>



Animoca’s investment (of an undisclosed amount) means that Animoca and Coin Operated Group now own a majority interest in Cool Cats Group. Cool Cats community member Ken Cron is the chair and CEO of Coin Operated Group.



“We share a vision for a future where Web3 fuels creativity and community,” Cron said in a statement.



The NFT collection’s total volume traded has spiked roughly 400% in the past week, per NFTPriceFloor data. It also saw an expected floor price spike in the day after the announcement.



But that’s still just a blip in the grand scheme of things:



<figure class="wp-block-image is-resized"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXd3mXW-qwPdHvhHdj_WIljshYB08es6J4qZeVu8mkAbB1ozv-dLHYKFRVAGRp0qU4U0bL1ZxTYBOOeIUTHojCZrVft8uNKEIjdwMDsu_ubyR6Tx5dBmG3ofR-ndT2uHmR4fzC7hSA?key=zU2bGX4hrwcEG8YhzIEcdA" alt="" style="width:657px;height:auto"/><figcaption class="wp-element-caption">Image: Cool Cats floor price over time in USD. The collection has a $22 million market cap as of Monday morning.</figcaption></figure>



If I’m being honest, the news isn’t all that surprising, considering Animoca and the Cool Cats worked together <a href="https://x.com/coolcats/status/1578419928830726145">before</a> back in 2022.



In a statement, Animoca executive chair and cofounder <a href="https://blockworks.co/news/animoca-brands-yat-siu-crypto-gaming-comeback">Yat Siu</a> framed the move as a way to connect the Cool Cats’ community to the <a href="https://blockworks.co/news/animoca-moca-chain-mainnet-launch">Moca Network</a>.



“Cats have always been the darlings of the Internet, and Cool Cats is one of the most recognized digital brands out there, perfectly exemplifying the global appeal of digital felines,” Siu said in a press release.



Siu and Moca Network project lead Tyler Durden are also joining the Cool Cats board.



If you ask me — a self-proclaimed crazy cat lady — I’d argue the Cool Cats don’t lean into their feline inspiration nearly enough.



Yes, there was Cooltopia, a basic web game with a MILK token years ago. But otherwise the Cats could really stand to benefit from a <a href="https://blockworks.co/news/pudgy-penguins-luca-netz-nft-comeback">Pudgy Penguins</a>-esque social media brand building blitz to re-establish themselves as cute, relevant and actually about cats (their Instagram hasn’t posted a reel since February).



Back in 2022, Cool Cats’ future looked promising when it signed with top Hollywood talent agency CAA. But the collection also faced some <a href="https://decrypt.co/102920/what-happened-cool-cats-rise-fall-future-ethereum-nfts">controversy</a> around its then-CEO, who some community members believed wasn’t very in-touch with what the NFT owners wanted.



You also have to get people who don’t already own one of the 9,999 2021-era NFTs to care about the Cool Cats, too, in order to bring the brand back. 



As Animoca builds out its “Mocaverse” plans — which pivoted away from being a “metaverse” per se in recent years — it’ll absolutely have to compete with the Pudgy Penguins and the consumer-focused Abstract ecosystem.



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Animoca

Could Animoca Brands’ investment bring the Cool Cats back?

This is a segment from The Drop newsletter. To read full editions, <a href="https://blockworks.co/newsletter/thedrop" target="_blank" rel="noreferrer noopener">subscribe</a>.



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Moca Foundation — the group behind the MOCA token affiliated with Animoca Brands’ Moca ID and Mocaverse — is launching <a href="https://moca.network/blog/what-is-moca-chain/">Moca Chain</a>.



The namesake L1 blockchain is focused on being a cross-chain identity layer and verification system. The MOCA token will be the chain’s native token.



In an X Space Wednesday morning, Animoca Brands cofounder and Chair <a href="https://blockworks.co/news/animoca-brands-yat-siu-crypto-gaming-comeback">Yat Siu</a> explained that for crypto users, Moca Chain can be an alternative to giving your personal data — and therefore identity — to big tech firms like Google and Meta. 



For businesses, it can be a way to reach target audiences without needing to see or store all of their personal data.&nbsp;



“Our digital identity is all over the place right now,” Siu said, adding that he sees Moca Chain as a way for crypto users to own and control their own digital data. In the future, he expects more “walled gardens” or closed tech/data ecosystems, like those belonging to Apple or Meta, to be forced to open up.&nbsp;



The blockchain’s testnet is <a href="https://x.com/MOCAFoundation/status/1937859074907144537">expected</a> to launch this year in Q3, with a mainnet launch near the end of this year in Q4. Moca Foundation <a href="https://x.com/MOCAFoundation/status/1937859068074590390">describes</a> the blockchain as both EVM-compatible and chain-agnostic, as well as modular.&nbsp;



Moca Chain will also offer decentralized data storage, a feature we’ve seen recently with the launches of protocols like <a href="https://blockworks.co/news/mysten-labs-walrus-decentralized-gaming">Walrus</a>. On the tech side, the Moca blockchain is also planning to use ZK proofs, zkTLS and an oracle for user identities.



These adds aim to keep user data private. Third-party Moca Chain issuers will be the verifiers of user identities, earning as they provide that service.&nbsp;



To me, Moca’s plans here sound like a crypto-powered alternative to Google’s single sign-on (SSO) offering that’s spread across the industry lately. For crypto firms like Immutable and Abstract, SSO has been an answer to the clunky legacy wallet onboarding processes of the past.&nbsp;



But not everyone necessarily wants to tie all their Google Search history, cloud storage and email account to a crypto wallet.&nbsp;



While we won’t be able to claw our data back from the big tech giants without substantial US regulation (similar to what the EU has done), I’d say an easy-to-use, decentralized digital-identity option that puts privacy first is always welcome.



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Animoca-linked Moca Chain plots Q4 mainnet launch

Shalini Nagarajan

Saudi Arabia&#8217;s NEOM initiative has proposed a $50 million investment in the Web3 gaming and investment company Animoca Brands.



NEOM&#8217;s investment division has teamed up with Animoca to further Web3 projects in alignment with Saudi Arabia&#8217;s Vision 2030 strategy.&nbsp;



According to an <a href="https://www.animocabrands.com/animoca-brands-and-neom-announce-strategic-partnership-and-investment">announcement</a> on Tuesday, half of the $50 million investment will come through convertible notes with a capped conversion price of $4.50 AUS per share, while the other half will be used to acquire Animoca shares from the secondary market.



Animoca’s share price is likely listed in Australian dollars as the firm was once listed on the Australian Securities Exchange (ASX). It was <a href="https://www.animocabrands.com/removal-from-official-list">delisted</a> from the ASX in 2020 due to non-compliance issues, yet it still trades on the secondary market.



The finalization of the financing agreement for the convertible notes is contingent on agreed conditions being met.



Read more: <a href="https://blockworks.co/news/web3-gaming-blockchain-security-blockaid">Crypto funding: Web3 gaming, blockchain security in focus</a>



Animoca Brands will collaborate with NEOM to develop <a href="https://blockworks.co/tag/web3">Web3</a> business services for global use, focusing on technological growth in the Saudi capital Riyadh and the NEOM area.&nbsp;



An Animoca Brands spokesperson did not reveal specific information regarding the projects they intend to undertake with the NEOM ecosystem, stating that the initiatives are still in the planning phase.



NEOM is an ambitious initiative launched by Saudi Arabia, and is designed to be a new-model international city and economic zone situated in the northwestern part of the country.&nbsp;



The project’s vision is for the city to be a hub for innovation, technology and sustainable development, seeking to diversify the Saudi economy away from its traditional reliance on oil.



Investing in Web3 initiatives would align with NEOM&#8217;s vision of being at the forefront of technological innovation.



Read more: <a href="https://blockworks.co/news/busan-urban-blockchain-digital-asset-exchange-south-korea">Busan to build urban blockchain and digital asset exchange</a>



“We are honored and excited to partner with and receive investment from NEOM, one of the world’s most ambitious projects seeking to use innovation and technology to redefine how we live, work, and play,” Yat Siu, Animoca’s executive chairman, said in a statement.



“We have always referred to the growth of the Web3 ecosystem as the emergence of a new meta-nation, and now NEOM could well become the first region to fully harness the power of blockchain,” Siu added.



Saudi Arabia has earlier <a href="https://blockworks.co/news/saudi-arabia-fund-crypto-blockchain-vcs">disclosed</a> investments in about 40 US venture capital firms, many of which are involved in crypto, blockchain and Web3 ventures.&nbsp;



Sanabil, associated with Saudi&#8217;s sovereign wealth entity, annually allocates about $2 billion to support businesses with innovative models. 



This fund has stakes in firms such as Andreessen Horowitz (<a href="https://blockworks.co/tag/a16z">a16z</a>), Polychain Capital and Peter Thiel-backed Valar Ventures.

Saudi mega-project commits to $50M investment in Web3 gaming firm Animoca

Sebastian Sinclair

<div id="highlights-block_621edb3f6c7cb" class="highlights">
 <ul>
 <li>The gaming and metaverse giant said it wanted to avoid being &#8220;financially excluded&#8221; for fear of being associated with a sanctioned country</li>
 <li>It is unclear whether the company will block purchases of SAND, the utility token used within a metaverse produced by The Sandbox, Animoca&#8217;s subsidiary</li>
 </ul>
 
</div>



Blockchain and metaverse gaming giant Animoca Brands decidedly cut ties with its Russian users on Tuesday, citing sanctions by Western powers over the Ukrainian invasion as justification.



According to a <a href="https://www.bloomberg.com/news/articles/2022-03-01/animoca-breaks-with-crypto-peers-by-cutting-off-russian-users#:~:text=Animoca%20Brands%20Corp.%20Ltd%2C%20one,to%20the%20invasion%20of%20Ukraine." target="_blank" rel="noreferrer noopener">report by Bloomberg</a>, Animoca will no longer provide its services to customers belonging to the former Soviet power by blocking users and restricting access to its shares.



The move comes as Ukraine’s vice prime minister and minister of digital transformation, Mykhailo Fedorov, urged cryptocurrency exchanges in a&nbsp;<a href="https://twitter.com/FedorovMykhailo/status/1497922588491792386?s=20&amp;t=vpx6bGwfVpJ0KnBJkpRXvg" target="_blank" rel="noreferrer noopener">tweet</a>&nbsp;Sunday morning to block addresses belonging to Russian users.



Crypto businesses have been <a href="https://cms.blockworks.co/crypto-exchanges-weigh-blocking-russian-accounts-as-sanctions-intensify/" target="_blank" rel="noreferrer noopener">weighing up</a> a decision to follow through on the minister&#8217;s request, though most have reportedly <a href="https://www.cnbc.com/2022/02/28/binance-will-not-block-russian-accounts-after-ukraine-request.html" target="_blank" rel="noreferrer noopener">decided not to pursue</a> such measures. Animoca, by contrast, has become one of the few in the industry to comply.



It is unclear whether the company will attempt to block purchases of SAND, the utility token used within a metaverse produced by Animoca&#8217;s subsidiary The Sandbox. Animoca did not immediately respond to Blockworks&#8217; request for comment.



On Feb. 24, Russian troops were ordered to cross into Ukrainian territory by President Vladimir Putin following weeks of US intelligence warnings. The invasion was swiftly condemned by most of the Western world which also moved to sanction major Russian banks, oligarchs and businesses. 



Sanctions extended to Russian financial institutions&#8217; use of the SWIFT interbank settlement system, hindering their ability to operate effectively within the global financial system. 



In an interview with Bloomberg and cited in the report, Animoca co-founder Yat Siu said the company&#8217;s decision would likely affect subsidiaries such as Gamee and blockchain fitness company Lympo, although — given the low population of Russian users — it was unlikely the impact will be substantial.



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">“The legal advice we’ve been receiving is we now have to impose some restrictions,” said Siu. “It’s a sanctioned country on par with North Korea. The moment we end up doing business in those areas, we might ourselves become financially excluded from the financial system.”</blockquote>



Hong Kong-based Animoca was founded in 2011 with a focus on developing and publishing mobile games and applications. The company, which has since branched out to blockchain and artificial intelligence, has raised a total of $627.7 million in funding, according to data provider <a href="https://my.pitchbook.com/profile/65039-59/company/profile#deal-history/186770-35T" target="_blank" rel="noreferrer noopener">Pitchbook</a>.



The company received $358.89 million of development capital in January via Liberty City Ventures, Delta Blockchain Fund and 10T Holdings, among others, boosting the company&#8217;s pre-money valuation to $5.44 billion.



That, in turn, had doubled from a $267.8 million private equity deal in October where Animoca was valued at $2.2 billion.



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Blockchain Gaming Giant Animoca Brands Halts Services to Russian Users

Jacquelyn Melinek

<div id="highlights-block_620a848d47e60" class="highlights">
 <ul>
 <li>A Guild Accelerator Program will provide up to $500,000 for each early-stage startup selected</li>
 <li>Crypto-focused gaming grew exponentially over the last 12 months, and market players expect it to continue this year and further crypto adoption</li>
 </ul>
 
</div>



The Sandbox’s parent company, Animoca Brands, has partnered with venture accelerator Brinc to launch its Guild Accelerator Program and expand the global play-to-earn ecosystem.



The two companies will provide a total investment of up to $30 million over the next two years in increments of $500,000 or less for each early-stage group accepted into its <a href="https://www.brinc.io/guild/" target="_blank" rel="noreferrer noopener">program</a>.



The program aims to help millions of people globally generate income by participating in the play-to-earn (P2E) gaming world through crypto gaming.



Priority will go to applicants committed to sustainability, including projects that “support and give back to player/scholar communities, place emphasis on energy-efficient proof-of-stake protocols and side chains, and have lower overall physical footprints,” according to the announcement.



Brinc closed a <a href="https://www.prnewswire.com/news-releases/brinc-closes-us130m-funding-led-by-animoca-brands-to-launch-web-3-0-focused-accelerators-and-fuel-global-expansion-301444835.html" target="_blank" rel="noreferrer noopener">$130 million funding raise</a> led by Animoca Brands two months ago, aiming to focus on expanding its accelerator programs.



“Web3-enabled guilds provide an on-ramp for the future of earning in a way that Web2 and traditional industries never could,” Manav Gupta, founder and CEO of Brinc, said in the release. “Guilds can help transform education, skill development, agriculture, R&amp;D and almost any industry where access to tools and assets historically prevented anyone with time to innovate, up-skill and thus earn a living.”



Animoca incubates and backs NFT, blockchain gaming and metaverse projects as well as supports development on blockchains including Flow and Polygon. It has previously backed over 150 NFT- and metaverse-related companies, including OpenSea, Dapper Labs, Axie Infinity and Yield Guild Games. Last month, the firm raised <a href="https://cms.blockworks.co/the-sandbox-parent-animoca-brands-raises-359m-to-build-out-open-metaverse/" target="_blank" rel="noreferrer noopener">$358 million</a> to build out the open metaverse.



“As the world enters a new era of work and play, the play-to-earn guilds space has enormous potential for growth,” Yat Siu, the co-founder and chairman of Animoca Brands, said in a statement.&nbsp;



<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow">“The management of digital assets in games and in the open metaverse represents a significant source of income for hundreds of millions of people,” Siu commented.</blockquote>



In general, crypto-focused gaming grew exponentially over the last 12 months, and market players expect it to continue this year and <a href="https://cms.blockworks.co/2022-prediction-gaming-will-lead-to-further-crypto-adoption/" target="_blank" rel="noreferrer noopener">further crypto adoption</a>.



The popular P2E game Axie Infinity initially anticipated an “aggressive target” of 250,000 users by the end of the year but finished 2021 over 1,000% higher at 2.9 million community members, Blockworks previously <a href="https://cms.blockworks.co/axie-infinity-program-lead-2022-will-be-all-about-gameplay/" target="_blank" rel="noreferrer noopener">reported</a>. By the end of 2021, the game’s total revenue reached about $1.3 billion, compared to $18.8 million six months earlier.



Separately, capital flowed into the P2E gaming space over the past few months with initiatives like Mechanism Capital’s <a href="https://cms.blockworks.co/mechanism-capital-launches-100m-fund-focused-on-p2e-gaming/" target="_blank" rel="noreferrer noopener">$100 million fund</a> and a joint fund, also <a href="https://cms.blockworks.co/?s=gaming#:~:text=GameStop%2C%20Immutable%20to%20Launch%20%24100M%20Joint%20Fund%20for%20Gaming%20NFTs" target="_blank" rel="noreferrer noopener">$100 million</a>, announced by GameStop and Immutable for gaming NFTs (non-fungible tokens).



Animoca Brands and Brinc were not available for comment Monday.



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