March 29, 2024
Sports Betting

3 Biggest Funds Focused on iGaming Sector 2022

3 Biggest Funds Focused on iGaming Sector 2022

Companies and venture capital firms are now moving on to find big projects in the iGaming sector. There has been a lot of movement in the industry lately, so let us look at the biggest fundings focused on the iGaming sector in 2022.

Royale Finance Raises $1.45 Million

Royale Finance raised $1.45 million to help bring decentralized finance to the iGaming industry. Right now, many iGaming companies are still using fiat, and Royale Finance wants to support the shift to DeFi.

The project introduces liquidity pools for gaming companies like GG.bet casino online that use provably fair algorithms.

The goal of this venture capital investment is to merge DeFi with iGaming. As such, it would be easier for iGaming companies to exchange services with blockchain technology. The target is the multi-billion gaming markets that include online casinos and sports betting.

Those that operate poker sites, lotteries, and even prediction markets can also benefit from this move. Royale Finance offers a Defi solution, which will provide funding for startup companies in the iGaming sector.

The firm supports innovative companies that want to keep up with the changing landscape of the iGaming industry.

Here are some of the contributors to the fund:

  • Alphabit Fund
  • AU21
  • Capital 
  • Fomocraft Ventures
  • Kyros Ventures
  • Vendetta Capital

The move is timely, as the online gambling industry is growing. Expectations from experts indicate that by 2027, the industry will hit a high of $127.3 billion. The compound annual growth rate of the industry is 11.5 percent.

There will be a rise of digital assets, which includes blockchains and secure digital payment. These innovations will contribute to the overall growth of the online gambling industry.

Royale Finance is targeting companies that use provably fair algorithms. The system will randomize number generation to ensure that players experience a fair game. These systems are called random number generators, and they are certified by third-party labs.

If iGaming wants to access the liquidity of funds from Royale Finance, they must prove that their RNG systems are certified and also show their operating license.

Makers Fund Raises $500 Million

The venture capital firm Makers Fund announced recently that it is investing more in the iGaming sector. This time, they raised $500 million to invest in games, including interactive entertainment and other technologies.

The founders stated that they believe with conviction that the world is entering the golden age of interactive entertainment. Therefore, they want to support early-stage founders of people who will bring to life this vision.

The industry will make $170 billion in 2021. Consumers are now keen on adopting new technologies for entertainment. The founders of Makers Fund want to expand their demographics and geographies, and they want to support game creators from start to finish.

They also had two funds where they raised $460 million back in 2017 and 2020. They used the funds to invest in more than 90 companies. Included in this investment is a massive interactive live event from GenVid. This investment proved to be a hit on the Facebook platform.

They also have investments in Dream Games, Avia Games, and other platforms like Medal.TV and VR Chat.

The long-term goal of the fund is to keep on raising funds to support many tech company founders. They are looking for bright ideas and innovation, and they also want to work with people from different backgrounds.

Makers Fund is based in San Francisco, and the $500 million they raised is for their third round of raising capital or investments.

Sharp Alpha Advisors

Sharp Alpha raised $10 million in its effort to invest in sports betting and other online gambling technologies.

Lloyd Danzig, the founder of Alpha Investors, launched the company in 2020. The organization serves as a financial advisor to startups and other gambling organizations that want to understand the sports betting industry better.

 Recently, Danzig made a bold move and raised $10 million so the group could invest in early-stage tech companies that want to enter the online gambling market. Their investment is focused on online betting and online gambling.

The fund is aptly called Alphas Sharp I, and it has so far made 11 investments. There will be some follow-up rounds to the portfolio, and they will invest all the capital by 2023.

Danzig noted that the online market for sports gambling would grow. By 2033, the industry will produce revenue of $40 billion. Today, there are many major players that are first focusing their efforts on customer acquisition and dealing with state regulations. Because of this, companies like DraftKings and FanDuel cannot make their own technologies.

Danzig saw this as an opportunity and decided that there are companies out there that will provide services to DraftKings and FanDuel. As such, he wanted to invest in these startups to get in early.

The purpose of the fund is to acquire startup companies or licensing technologies. From here, the venture firm will earn revenues from clients like DraftKings.

Eventually, these operators will want to acquire these tech companies rather than build their own. Danzig believes that many operators will follow this model, and he wants the fund to be used in investing in these startups that will later be sold to online gambling operators.

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