Gaming-focused venture capital firm Konvoy Ventures has raised $150 million for Konvoy Fund III.
Around 20% to 30% of the fund, which reportedly puts Konvoy at $250 million in assets under management, will go toward blockchain and crypto-related games.
Co-founder Josh Chapman said Konvoy will look into making investments based on tokens rather than shares. The firm will also look to fund more traditional gaming firms, including those working on the fashion, education, and healthcare industries.
“One hundred percent exposure to crypto would not be the right strategy for us, but 0% would also be the wrong strategy,” Chapman said.
Konvoy plans to invest in gaming startups at various stages of development.
Since launching four years ago, Konvoy Ventures has invested in 35 companies across North America, Europe, the Middle East, Africa, and Southeast Asia.
- Konvoy backed Sky Mavis, the developer of Axie Infinity, which is an NFT-based virtual world.
- The firm has also invested in Sipher, Genopets, and Ready Player Me.
Crypto Crisis
The new fund comes as cryptocurrency continues to draw criticism in the gaming industry.
A blockchain network used by Axie Infinity was hit by a $620 million hack in March. Earlier this year, Terra’s stablecoin collapsed, making it difficult for users to cash out gaming rewards and for games to stay within the Terra ecosystem.
