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Yuga Labs raises $450 million at a whopping $4 billion valuation

Updated: Aug 30, 2024
Published: Mar 22, 2022
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Yuga Labs, the company behind the Bored Ape Yacht Club NFT collection, is said to have raised $450 million in funding at a $4 billion valuation.

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Bored Ape Yacht Club creator raises $450 million

The funding round was led by Andreessen Horowitz. Other backers include MoonPay Coinbase, FTX , LionTree, Sound Ventures, Thrive Capital and Animoca Brands. The funding round is one of the largest to date for an NFT company and demonstrates institutional interest in the NFT industry.

The announcement comes just a few days after the launch of ApeCoin (APE), the governance token of the NFT collection Bored Ape Yacht Club (BAYC). Although Yuga Labs claims they are not the creators of Apecoin, the start up has a 9.75 percent stake in the token and interestingly, backers of the funding round such as Amy Wu of FTX Ventures, Yat Siu of Animoca Brands, Maaria Bajwa of Sound Ventures are on ApeCoin DAO’s board.

Yuga Labs is working on a virtual world

Yuga Labs is also planning a virtual world focused on games called Otherside. A teaser video released last Saturday showed Yuga Labs NFTs such as Mutant Ape Yacht Club and the newly acquired CryptoPunks and Meebits, but also NFT collections not owned by the startup, such as World of Women and Cool Cat. This could indicate that this virtual world will likely be open to many other NFT collections as well.

The NFT startups has been financially successful so far. According to a leaked pitch deck, the company made $137 million last year, mostly from participating in deals with its NFT brands and sales revenue from its collections, with a profit margin of a whopping 95 percent. However, it appears that Yuga Labs will need to expand into more than just NFTs in order to maintain its valuation and become something bigger by expanding into gaming and other sectors in 2022.

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