Operator of cryptocurrency casinos MyPrize announced on Tuesday that it has raised $13 million in two rounds of funding, increasing its enterprise value to $140 million.
The company's "fully diluted equity capitalization, plus the implied fully diluted value of warrant" forms the basis of that valuation. MyPrize, a Miami-based startup founded by Zach Bruch, Paul Martin, Max Bruch, and James Seibel, is the first of its kind to receive support from Silicon Valley investors in the cryptocurrency, entertainment, and technology sectors.
"MyPrize offers a unique platform where players can play directly alongside their favorite creators and friends, allowing them to play with broader communities for the first time. MyPrize transcends boundaries, and gives players and fans what they have been desperately craving, a unified open platform that combines the best of both online gaming and streaming,” according to the company.
MyPrize is a web3 gaming platform that promotes communal gaming and teamwork, features that are sometimes absent from conventional gambling websites.
The Rise in Popularity of Crypto Casinos
The use of bitcoin and other digital currencies has grown thanks to the rise in popularity of crypto casinos in recent years.
Even though some of these gambling sites might be regarded as secure, many of them have licenses from regions other than Europe and North America and aren't as regulated as similar services provided by companies like BetMGM, Caesars, and DraftKings. Operators of online sportsbooks and casinos that conduct business in the United States are prohibited from accepting cryptocurrency as payment.
Digital fraudsters may target unregulated online gambling companies, such as cryptocurrency casinos, according to some experts. To MyPrize's credit, though, the creators have extensive backgrounds in the field of digital assets, which may indicate they have the know-how required to provide strong security features on the site.
Among the streaming services that MyPrize integrates with are Kick, LivePeer, and Twitch. The operator's website boasts that the crypto casino is accessible in 44 states in the United boasts.
Distinguished Investor Roster of MyPrize Sports
The list of investors in MyPrize resembles a Who's Who of cryptocurrency and gaming venture capital.
"MyPrize’s two rounds of venture financing were led by Dragonfly and Boxcars Ventures respectively, with participation from Mechanism Capital, Arrington Capital, Luca Netz (CEO of Pudgy Penguins), Peter Smith (Founder and CEO of Blockchain.com), a16z Scout, 640 Oxford, 2 Punks Capital (Marc Andreesen, Alexis Ohanian, Chris Dixon, and more), Breed VC, JST Capital, Steve Rosenthal (Co-Founder of casino giant, Jack Entertainment), the Kadoorie Family, Jeff Feng (Co-Founder of Sei), Jason Leung (former Global Head of Trading at Cumberland DRW), Tian Zeng (Founder and CIO of Nirvana Capital), Joshua Kaufman (Founder of Atly), Shiliang Tang (Former CIO of LedgerPrime), Spencer Noon, David Choi (founder of MetaStreet), and Joshua Lim (Former Head of Trading at Galaxy Digital & Circle),” according to the statement.
To name a few, Andreesen Horowitz, his venture capital firm, has supported a number of well-known businesses, including Facebook, Pinterest, Slack, Coinbase, and others.
