SoftBank led a $680 million funding round for Sorare, a blockchain-based fantasy soccer game. The total value of the investment was $4.3 million.
SoftBank Vision Fund Eyes NFTs
SoftBank Vision Fund 2 raised the funds to continue its mission of supporting billion-dollar startups as well as promising, innovative companies. SoftBank’s Latin America fund contributed to the investment to help increase Sorare’s user base across Latin America.
Although this was the first SoftBank investment in Sorare, it wasn’t its first venture into NFTs. Softbank had already invested in Juggernaut and OpenSea, both NFT platforms.
Michel Combes (President of SoftBank Group International) discussed the investment decision.
NFTs are a paradigm shift in how assets can be collected, used, and engaged. This shift from physical assets to digital assets has many exciting business possibilities.
The Largest Sports-Based NFT Platform
Combes is right. In 2021, the NFT market was the hot topic in crypto. Digital gaming and collectibles related to sports are gaining the most attention. One such online game is Sorare, where NFTs regulate the trading and record-keeping of digital goods.
Players can purchase cards that represent soccer players and then create their fantasy soccer teams to compete against other fantasy soccer teams. The performance of each player in real-life matches determines the outcome.
Sorare appears to be a similar online fantasy league game as other games. The blockchain-based game relies on NFT technology for card trading. NFTs are used to trade cards, and their ownership status is recorded on the blockchain. Sorare is the biggest sports-based NFT platform in terms of sales volume. It plans to expand its online gaming offering into other sports than soccer. Sorare has sold $150 million in sales since January 2021. It accepts ETH payments as well as standard credit cards. On March 13, Cristiano Ronaldo’s card was purchased for $280,000.
Nicolas Julia, CEO and co-founder of Sorare has spoken extensively about the blockchain-infused nature the game.
“We saw the enormous potential blockchain and NFTs offered to allow football clubs, players, and fans to have a deeper relationship with one another. This is an enormous opportunity to build the next sports entertainment company.
Disclaimer: This article is intended for informational purposes only. This article is not intended to be used for legal, tax, investment or financial advice.