Binance smart chain and Animoca brands set up a $200M program to sponsor GameFi projects

Global cryptocurrency exchange Binance has reportedly set up a $200 million fund that will directly invest the company’s stake in the emerging crypto gaming and metaverse sector of the digital space.

As per the official blog post, Binance will be collaborating with Hong Kong-based Animoca brands through Binance smart chain $1B growth program.

Binance and Animoca Brands to invest in blockchain gaming ventures

Binance smart chain $1B growth program intends to sponsor and “incubate” early gaming startups that are built on Binance Smart Chain protocol.

As per the official post, Binance and Animoca brands will be contributing $100 million each to the program, allowing the shortlisted gaming projects to accelerate and expand their crypto niche in the GameFi domain.

According to Animoca Brands’ co-founder Yat Siu, the gaming projects that will be shortlisted via this initiative will also be entitled to receive additional benefits apart from funding.

“Early GameFi projects require funding to build their products, and need industry expertise for open-world gameplay and tokenomics, as well as networking opportunities to establish growth in the blockchain gaming and open metaverse. This investment program will provide these necessities to the projects that we think have the potential to make blockchain mainstream.” Siu added

The program aims at helping early GameFi projects that require early phase funding to create their products. The program will help such projects acquire steady momentum in the market and will help increase their visibility in the emerging GameFi and metaverse sector.

Binance has recently become a hub for increased user activity after the network had undergone a significant network upgrade. The official post also outlines how Binance has become one of the leading crypto exchanges hosting over 2.1 million active addresses.

“BSC is one of the largest blockchain ecosystems with over 2.1 million daily active addresses in the past weeks. In 2021, games and play-to-earn opportunities on BSC have gone through a significant uptick in traffic and unique wallet interactions.” the post further reads.

This is not the first time when Binance has actively invested in a fund to boost crypto activities. In October, Binance had created a $1 billion fund for BSC to increase the adoption of crypto assets globally.