The startup will concentrate on developing free-to-play games in order to establish Web 3.0 gaming franchises.

Xterio, a blockchain gaming company, announced on August 30 that it had raised $40 million to develop Web 3.0 game franchises.

According to the press release, the funding was led by FTX Ventures, the venture capital arm of crypto exchange FTX, FunPlus, Makers Fund, and XPLA.

Switzerland-headquartered FunPlus is a video game developer and publisher best known for games like King of Avalon, State of Survival, and Guns of Glory.

FunPlus provides its technology stack to Xterio. Xterio, on the other hand, is FunPlus’s exclusive partner for the minting and distribution of non-fungible tokens (NFTs) for all current and future FunPlus game titles.

Animoca Brands, HashKey, Foresight Ventures, Infinity Ventures Crypto, and Matrix Partners also participated in the funding round.

According to the press release, Xterio will focus on free-to-play multiplayer games that prioritize gaming experience and player ownership.

The new funds will be used to publish games created by Xterio and other partners, create new intellectual properties (IP), and continue development on the Xterio platform, according to the company. The startup also stated that it is currently working on several games.

In a press release, Xterio co-founder Jeremy Horn stated:

“We believe that gameplay is enhanced by ownership, but we are most interested in creating long lasting franchises and rich gameplay experiences. We will build our games to be fun and engaging for both traditional gamers and the Web3 audience in a way that any type of player can enjoy.”

Horn previously worked as the vice president of strategy at game developer Jam City, and FunPlus was founded in 2010 by Xterio CTO Yitao Guan.