Konvoy Ventures, an early-stage investment company, announced Wednesday that it had launched a multi-million dollar fund for nascent gaming firms targeted at various verticals, including Web3.
According to a statement, the new $150 million Konvoy Fund III (KFIII) will concentrate on pre-seed, seed, and Series A investing for businesses developing assets across numerous areas, including education and healthcare.
Konvoy predicted that its managed assets would increase to $270 million following the introduction of KFIII. Despite waning interest in Web3 technology, Konvoy hopes its newest fund will assist in connecting investors to ventures in both the nascent blockchain industry and established games companies.
According to Konvoy managing partner Jason Chapman, “the pandemic was an adrenaline injection to the gaming business because more and more individuals resorted to games as a source of pleasure and a method to stay social with their remote communities.”
Around that time, in 2020, the VC started its second fund with an estimated value of $65 million to take advantage of the gaming industry’s expansion.
Plans of Expanding in New Emerging Markets
With intentions to further expand into Latin America, India, South Korea, and South-East Asia, Konvoy, founded in 2017, stated its primary markets are North America, European, and Africa.
The portfolio of the Denver-based company includes 33 businesses that have generated a total of $450 million in follow-on funding. These businesses have supported blockchain game developers, including the once-lauded Sky Mavis, the brains behind Axie Infinity.
Last year, Konvoy took part in an $8.3 million investment round for the NFT game Genopets.
Not Their First Tryst With NFT Games
The weekly NFT sales volume on Axie’s platform has decreased by more than 99 percent from its high in November, from $753 million to $3 million, signaling the company’s near-collapse in recent months. The native token of Genopets, GENE, has dropped significantly since reaching an all-time high of $37.79 in November.
However, Konvoy claimed that a variety of additional chances existed for it to implement its “proactive and thesis-driven” strategy, including the $200 billion video game sector and the blockchain and cryptocurrency sectors.
Jackson Vaughan, another of Konvoy’s managing partners, stated that “this new fund will allow us to focus on additional geographic regions and new types of firms and technology.” If there is one thing we can take away from this [pandemic] period, during which the world has seen unprecedented disruption, there is such a tremendous opportunity.
By the end of 2023, Konvoy said it would double the size of its staff to between 15 and 20 individuals, and over the next 2.5 years, it would like to invest more money in about 30 early-stage businesses.