Kunjit Gupta
Credits: https://decrypt.co/
As of Tuesday, the company’s overall capitalization reached $1.6 billion thanks to the most recent round of fundraising. Over the course of the last several months, the amount of funding allocated to Magic Eden has climbed by 130 million dollars.
During the Series B investment round, both Electric Capital and Greylock were critical in playing a leading role in the fundraising activities that were spearheaded. Sequoia Capital and Lightspeed Venture Partners now have additional investors in the company in the form of Lightspeed Venture Partners and Paradigm.
Through Magic Eden’s marketplace, users have the ability to generate, purchase, and accumulate non-fungible tokens (also known as NFTs). Since it first opened its doors in September 2021, the Magic Eden Launchpad has served as the company’s primary marketplace. Since then, it has been leveraged to facilitate the distribution of over 250 distinct projects. According to a statement released by the company, more than 92 percent of Solana’s non-fantasy trading (NFT) traffic travels to Magic Eden’s secondary market, which at the moment has over 7,000 collections posted for sale.
According to information that was made public by Crunchbase in March, Magic Eden was successful in securing $27 million in funding via a Series A round of financing. Because of the latest investment, the business is now being referred to as a “unicorn,” which is a prestigious title.
The last year has seen a rise in the number of people purchasing NFTs, which are also referred to as digital collectibles in certain circles. There is the possibility that digital assets, such as your first tweet or a meme in which you figure, might be converted into marketable digital assets in the future. On a blockchain, also known as a distributed ledger, the documentation of who owns these assets will be stored. The establishment of NFTs has opened the door for the conduct of operations of this kind. OpenSea has been successful in raising capital from a variety of investors, including Coatue, Paradigm, and Andreessen Horowitz, amongst others (you can read more about NFT marketplaces here).
According to estimates provided by Crunchbase, NFT companies raised a total of $3.3 billion in investment in only the preceding year. Recent market dips and cryptocurrency selloffs may have a negative impact on investments made in businesses that use non-fungible tokens, though.
Magic During the process of seeking funds for the firm’s Series B funding round, Eden said that the cash will be used to grow the key markets the company focuses on as well as invest in the staff and technology of the company.