Aavegotchi creators raise over 30$ million for web3 gaming development
On Monday, Pixelcraft Studios, the developers responsible for the widely acclaimed Aavegotchi metaverse game, reported raising $30 million through a multiyear token sale. The funding round represents one of the largest amounts generated in the Web3 gaming industry this year, and it was achieved without any venture capital or investor involvement.
Most of the funds will go to the DAO
Aavegotchi is a GameFi project that harnesses the potential of non-fungible tokens (NFT) and decentralized finance (DeFi). The game has witnessed a surge in popularity over the past few months, as interested players and investors flocked to participate in the token sale.
During the token sale, Pixelcraft Studios will be granted 25% of the total treasury, equating to $7.5 million, whereas the protocol’s decentralized autonomous organized (DAO) treasury will acquire the remaining $22.5 million. Coder Dan, who is also a co-founder and CEO of Pixelcraft Studios, regarded this as a momentous achievement for the decentralized fundraising industry:
“The successful conclusion of this sale represents a watershed moment for the decentralized fundraising space and, we hope, a model for responsible fundraising for projects in the future.”
As part of the token sale that commenced in September 2020, the Aavegotchi token, GHST, was offered for purchase. To obtain GHST prior to the conclusion of the token sale, users utilized a decentralized funding mechanism developed by Ethereum founder Vitalik Buterin. This involved depositing the stablecoin DAI into a smart contract.
Banking collapse cut the token sale short
In light of the Silicon Valley Bank’s collapse and the subsequent depegging of stablecoin DAI, there were concerns regarding token instability, leading the community to conclude the token sale earlier than initially planned. Despite this, the sale generated substantial investor interest and was deemed a success.
The triumph of the token sale serves as a substantial catalyst for Pixelcraft Studios and the Aavegotchi ecosystem. The infusion of fresh capital will enable the team to persist in their efforts towards game development and extend their influence in the Web3 domain.
“We are thrilled to have such a strong and passionate community behind us and are excited about the potential of AavegotchiDAO receiving the lion’s share of this raise.” said Coder Dan, co-founder and CEO of Pixelcraft Studios