Web3 gaming and investment firm Animoca Brands plans to go public through reverse merger with Currenc Group, a global leader in digital assets and blockchain innovation.
It’s an important deal in Web3 games, considering that 171 of Animoca’s 628 investments are in Web3 games such as The Sandbox.
The deal would create what the two firms describe as “the world’s first publicly listed digital assets conglomerate” on the Nasdaq exchange. According to the non-binding agreement, Animoca Brands shareholders would hold approximately 95% of the merged entity, while Currenc shareholders would retain around 5%. There is no info yet about the exact value of the transaction.
Asked about the value of the deal, the company said in a message to GamesBeat, “The market will determine the appropriate valuation once the actual transaction closes, as the proposed merger structure lays out a ratio of approximately 95:5 Animoca Brands to Currenc shares ownership. It’s important to note this is a non-binding LOI and rigorous due-diligence will take place in the months ahead and is contingent on definitive agreements, financial updates, and regulatory and shareholder approvals. However, thanks to firms like Coinbase, Galaxy, Figure, and Circle, U.S. investors now value crypto companies by the strength of their business, not just the price of bitcoin or any digital asset class.”
Once completed, the combined company would operate under the Animoca Brands name, focusing on digital asset investments, real-world asset tokenization, and blockchain applications for both consumer and institutional markets.
Animoca Brands currently manages a portfolio of companies in the digital asset space and maintains a treasury that includes Bitcoin, Ethereum, Solana, and other major cryptocurrencies.
“The proposed merger with Animoca Brands represents a milestone for Currenc. This proposed transaction provides a compelling path forward for the evolution of both companies and would unlock significant value for our shareholders,” said Alex Kong, CEO and executive chairman of Currenc Group, in a statement.
As part of the planned merger, Currenc will divest certain AI-driven financial solutions and its digital remittance platform, which will be spun off to existing shareholders prior to closing.
In a letter to shareholders, Yat Siu, executive chairman of Animoca Brand, said in a statement, “Reflecting on the past several years, I am proud of how the company has grown and evolved during good times and also when market conditions were challenging.”
He added, “Seven years ago we began announcing our investments and partnerships in the blockchain space, including acquiring The Sandbox, co-launching an accelerator with Hedera Hashgraph, and launching various early crypto consumer products at a time when the digital asset industry’s market cap was less than $200 billion, with the value of Bitcoin hovering around $5,000 – $6,000, and that of Ethereum around $200.”
Since those initial steps that took Animoca Brands into the cryptosphere, the market cap for crypto has grown exponentially to approach nearly $4 trillion even while facing significant challenges, he said.
“Throughout this remarkable growth period, Animoca Brands not only expanded but also played a pivotal role in shaping the development of blockchain and tokenization,” Siu said. “Our roots in blockchain gaming and NFTs have blossomed into an extensive ecosystem that spans infrastructure, AI, real-world assets (RWAs), stablecoins, DeFi, and beyond—serving as an engine that helps to power the entire crypto ecosystem.”
Among the company’s investments are some of the most successful ventures in crypto, such as Ledger, Igloo Inc., Humanity Labs, Telegram Open Network, Opensea, Aethir, Polygon, Layer Zero and many others, he said.
“We support and develop crucial infrastructure and services that advance the mission of crypto, including digital identity solutions, innovative education-focused blockchain infrastructure and services for accreditation, AI-powered educational agents, and student loans. Our work empowers millions of people worldwide, creating new opportunities and helping to create entirely new economies,” he said.
He said the collaborations extend into various ventures at the forefront of innovation: Anchorpoint, a stablecoin joint venture; NUVA, a platform we are creating with Provenance Blockchain Labs to accelerate access to RWAs; and a strategic partnership with SK Planet, one of South Korea’s largest information and communications technology platforms. These initiatives exemplify the ongoing evolution of Animoca Brands as a forward-thinking, institutionally-minded organization, he said.
“We recognized quite early on that our company needed to become more institutional in its approach and identity. In September of last year I wrote a piece arguing that it is in the best interests of Web3 projects to seek to be grounded and professional (see “How Web3 projects can stand out from the crowd”), and the intervening year has only strengthened my belief in this strategy,” Siu said.
Currenc is a Nasdaq-listed fintech innovator spanning digital payments, cross-border finance, AI-driven financial services, e-wallets, and data centers. In 2024 alone, Currenc processed over $5.4 billion and facilitated more than 13 million cross-border transactions.
He said that Animoca Brands’ mission to champion digital property rights arises from the conviction that true digital ownership is fundamental to shaping a better future for all people.
“We strive toward the fulfilment of our vision to grow Animoca Brands into one of the most impactful, valuable, and mission-critical companies in the crypto industry – not only because we are focused on building value, but also because we believe that we can spur world-changing progress,” Siu said.
He thanked friends, partners, supporters, shareholders, fellow Animocans, the Animoca Brands family, and (of course) every one of our millions of token holders and customers.
“Your support has been instrumental in our journey and motivates us to work tirelessly toward a future in which the ownership of digital property is a universal reality” Siu said.