Veterans from the established gaming world flock to web3. Whether they’re doing it out of fear of missing out or out of genuine belief in blockchain technologies, the trend seems irreversible for now as more and more investment is made in the industry.
Oasys, a Japan-Singapore-based startup building a blockchain for game developers, just raised $20 million. The round was led by Republic Capital with the participation of Jump Crypto, Crypto.com, Huobi, Kucoin, Gate.io, Bitbank and Mirana Ventures.
Instead of a traditional equity round, the capital came in a private token sale, which “will not dilute the equity of our project we strongly believe in” and “allows us to reach a broader base of donors than a traditional fundraiser.” for stocks.” Daiki Moriyama, president of Oasys, told TechCrunch.
The founding team is deeply rooted in the Japanese gaming industry, but chose Singapore as the company’s other home because Japan has “regulatory issues related to crypto assets,” the executive says. Singapore has emerged as a crypto hub in Asia in recent years.
Some of the biggest obstacles to blockchain-based applications are slow transactions and high gas costs, the costs incurred when adding a transaction to a blockchain. Infrastructure developers such as Solana, Avalanche and Polygon are trying to make blockchain services more scalable.
Oasys, only five months old, has the same goal. For most games to be “fun” or “good” in the blockchain, they need to be highly scalable with high transaction speeds and low or zero gas costs for users, Moriyama suggests.
With a focus on blockchain games, Oasys has attracted a list of well-known names in the gaming world to be “validators” on its blockchain. The network uses the “proof-of-stake” consensus mechanism, a less energy-intensive alternative to the “proof-of-work” method used in the Bitcoin chain. In PoS, a validator “bets” its tokens in the network and is responsible for ensuring that the data stored in the network is valid.
Oasys’ early validators include Bandai Namco Research, a research arm of the Japanese entertainment conglomerate; SEGA, a Japanese console giant; French games group Ubisoft; South Korean video game companies Netmarble, Wemade and Com2uS; as well as Yield Guild Games, an a16z-backed outfit in the Philippines that allows users to play games to earn tokens that can be cashed out.
Ultimately, Oasys hopes to allocate more governance power to its community and move into what is called a decentralized autonomous organization. Unlike a traditional company with a board of directors that determines the direction of the business, a DAO has no central authority and relies on blockchain-based smart contracts to execute decisions agreed upon by the community.
With the new financial infusion, Oasys plans to strengthen partnerships with game developers, digital asset exchanges and others in the gaming and crypto industries. It will also spend the money on marketing, business development and hiring. The company has about 20 employees in Singapore, Japan, South Korea and the US
Asked about possible partnerships with Oasys crypto exchange investors, Moriyama explains, “There is, of course, a firewall between the investment team and the listing team, but the fact that the investment team thinks we are worth investing in is likely to become very important.” valued by the listing. team as a result.”
Oasys is actively working to list its tokens on various crypto exchanges.