Web3 gaming investors more ‘chosen’ in crypto winter – Animoca’s Robbie Yung

Animoka Brands CEO Robbie Yung said investing in the Web3 play through an experimental cryptocurrency bear market requires extreme caution.

Speaking at the European Blockchain Convention in Barcelona, ​​Yung, founder of the popular Metaverse platform, highlighted more robust check boxes when considering Web3 gaming investments.

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According to the CEO of Animoka Brands, investment proposals involve finding passionate teams with specific skill sets who can develop product ideas with clear marketability:

“Now that we're in the midst of a crypto winter and an economic recession, from an investor perspective, we can be very selective because obviously there's very little capital.”

Yung added that the development level of the projects that Animoca Brands is considering investing in are more mature compared to the standards of a few years ago.

As a result, investors look for tangible growth in projects seeking to raise capital:

“You have to have an alpha build. Ideally, when you first go out and you're looking for outside capital, you have some kind of user testing. It's very difficult to collect based on a business plan in this market.

While investors may be more cautious, Yung admits that the companies will continue to raise funds and the second half of 2023 is a testament to that, with several deals being done:

“It has improved a lot, but it was a flight to quality.”

According to Yung, user access remains a barrier for the Web3 gaming space due to challenges around games distribution. He pointed out the reluctance of major gaming platforms to list games with Web3 infrastructure:

“We've historically been uncomfortable with most traditional game distribution platforms, mobile app stores, Steam or console platforms.”

Yung believes that major players are uncertain about the implications of incorporating Web3 infrastructure into their offerings, which is knee-jerk first.

“I think the idea of ​​putting in a Web 3 infrastructure just goes beyond their business model at what they charge for distribution.”

The CEO of Animoka Brands added that the conclusion has prompted players such as Steam, EA and Epic Games to learn more about the opportunities and engage with the Web3 community to find solutions that will help the wider gaming market.

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