South Korean blockchain venture capital firm Hashed has revealed it plans to raise more money to support GameFi projects after it lost more than $3.5 billion in the Terra Luna crash in May.
Hashed CEO Simon Seojun Kim told Bloomberg in an interview that he remains optimistic about the crypto asset and will continue to support promising industry projects despite the huge loss his company suffered two months ago.
Hashed confirms $3.5 billion in damages in Luna crash
Hashed was founded in 2017 by a team of serial entrepreneurs and engineers. Since then, the venture capital firm has backed several well-known blockchain projects, including The Sandbox and Sky Mavis’ play-to-earn game Axi Infinity.
The VC first invested in Terra in 2019, making it one of the earliest investors to back the project. In the years that followed, Hashed increased its exposure to the Terra ecosystem, and in 2021, the venture capital firm participated in TerraForm Labs’ $25 million fundraiser.
According to Kim, the VC bought 30 million LUNA tokens in the early days of Terra. The company’s LUNA holdings were worth $3.6 billion when the cryptocurrency traded at an all-time high in April 2022. However, Hashed lost everything during the crash, as the CEO stated that the firm kept 99% of its tokens during the entire fiasco.
Kim remains optimistic
Unlike many firms that have gone underwater due to exposure to Terra, Hashed has managed to stay afloat and move forward with shock.
“In the tech sector, there is no such thing as a portfolio that guarantees success, and we make our investments with that in mind. We believe in community growth, and that has never changed,” said Kim .
The CEO also revealed that Hashed has already deployed half $200 million Picked it up in December. Once it has used up the remainder of its old capital, the firm plans to secure fresh funding.
The company wants to increase its investment in the GameFi sector. GameFi refers to a play-to-earn blockchain game that rewards users for playing games. These games also combine blockchain concepts such as non-fungible tokens (NFTs) and the metaverse to give players an immersive experience. P2E games became popular in 2021, with Axie Infinity and Gods Unchained (GODS) being the most profitable.
Kim believes that the P2E gaming metaverse will integrate with the real world as blockchain gaming projects explore ways for users to exchange assets between the virtual and real worlds.
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