Circle of Games, a Web3 multi-gaming platform, on April 17 said it has raised $1 million funding from Nazara Technologies and The Hashgraph Association, in an indication of a potential revival in the Web3 gaming space.
In an exchange filing, Nazara Technologies said it is making an investment of up to $500,000 in Circle of Games through its Dubai subsidiary, in return for 1,273 preferred shares that represents 5 percent share capital of the gaming startup.
Nazara Dubai will also receive an additional 891 preferred shares, representing 3.5 percent share capital of Circle of Games as advisory shares, the filing said.
The Hashgraph Association is a Swiss-based non-profit organization accelerating the broad adoption of the Hedera network across the world. Hedera is a distributed ledger technology.
Circle of Games plans to use the funds raised to fast-track its go-to-market strategy, improve its platform capabilities and expand its international presence in the US, European Union, Middle East and Africa this year.
Established by Rabilal Thapa, Rajeeb VC, and Rohit Tiwari in 2022, Circle of Games develops casual and skilled-based games on the blockchain, with play-to-earn reward mechanics. The company has a portfolio of six games which it intends to expand to over 10 games by Q4 2024, targeting consumers in the global casual and hyper-casual gaming community.
Circle of Games claims to currently have over 250,000 registered users. It has partnerships with prominent Web3 projects and ecosystems worldwide including Chingari, Solana, Foundership, KGeN/IndiGG Metarun, TheFishVerse, and Ninja Games among others, which the company says provides them "unique and immediate access" to a community of over 500 million gamers across over 50 countries.
Circle of Games, headquartered in the British Virgin Islands, plans to launch its native token - $COG Token - by the end of Q2 2024.
"Nazara will offer strategic guidance, support and access to its extensive network to help the company grow and Hedera will provide Circle of Games access to their vast collections of games, ecosystems, and substantial users and their cutting-edge technology" said Circle of Games CEO Rabilal Thapa in a statement.
Kamal Youssefi, President of The Hashgraph Association said “We are pleased to further empower the global Web3 gaming industry through our co-investment with Nazara Technologies in Circle of Games – the Web3 multi-gaming app aiming to onboard the next billion users onto the Hedera network.”
This is Nazara Technologies' second bet in the web3 gaming space, after backing former Nazara Technologies CEO Manish Agarwal's venture Kratos Studios in February 2023.
In March, the country's first publicly-listed gaming company said that it is earmarking $100 million (Rs 830 crore) for mergers and acquisitions over the next 24 months in a bid to strengthen its global presence.
Nazara Technologies said that it is scouting for investment opportunities in cutting-edge technologies such as web3, virtual reality, and artificial intelligence, besides areas such as gaming, esports, and adtech.
"We are particularly focused on investing in and acquiring gaming studios globally with a specific focus on India’s 500 million gamers as well as the large North American market," Nazara Technologies founder Nitish Mittersain said at the time.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
