{"id":89320,"date":"2024-08-10T04:07:37","date_gmt":"2024-08-10T08:07:37","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=89320"},"modified":"2024-08-10T04:09:12","modified_gmt":"2024-08-10T08:09:12","slug":"animoca-brands-valuation-drops-75-in-two-years","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/animoca-brands-valuation-drops-75-in-two-years\/","title":{"rendered":"Animoca Brands’ Valuation Drops 75% In Two Years"},"content":{"rendered":"\n

Animoca Brands' valuation fell 75% in two years due\u00a0to the NFT market\u00a0<\/a>downturn, but the company continued to grow with a Lamborghini partnership.<\/p>\n\n\n\n

\"Animoca<\/figure>\n\n\n\n

Crypto conglomerate Animoca Brands has experienced a dramatic decline in its valuation, dropping over 75% in the past two years, as reported recently. <\/p>\n\n\n\n

The company\u2019s secondary shares are currently valued at just $1.5 billion, a sharp decrease from the $5.9 billion valuation held in July 2022.<\/p>\n\n\n\n

What\u2019s Behind the Drop in Animoca\u2019s Valuation<\/h2>\n\n\n\n

Concerns have surged over Animoca Brands'<\/a> valuation decline. Despite the firm reporting a total of $3.3 billion in crypto, cash, and equities in its financial results for the first quarter ending in March, the secondary market has reacted differently. <\/p>\n\n\n\n

According to Animoca\u2019s executive chairman, Yat Siu, the company\u2019s shares are now trading at a $1.5 billion valuation, marking a significant 75% decrease from the $5.9 billion valuation when it raised $75 million in July 2022.<\/p>\n\n\n\n

Siu\u2019s assessment of Animoca\u2019s current trading value matches data from Bulletin, which tracks information on crypto companies via brokers and trading platforms. <\/p>\n\n\n\n

A major factor contributing to this steep drop could be the significant slowdown in the NFT market, where Animoca holds a strong position. <\/p>\n\n\n\n

Although the broader crypto market <\/a>has recovered from the 2022 crash, the NFT sector has not. <\/p>\n\n\n\n

NFT trading volumes, which were around $6 billion in January 2022, have now plummeted to $430 million as of July 2024.<\/p>\n\n\n\n

Despite these challenges, Animoca has managed to navigate the downturn and is even considering an IPO. <\/p>\n\n\n\n

Siu noted that if the company were publicly traded on Wall Street, the difference between its current valuation and the net value of its assets would likely correct itself. <\/p>\n\n\n\n

\u201cIt\u2019s just an information mismatch. If we were actually properly listed, that would probably error correct,\u201d Siu explained to DL News\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a>.<\/p>\n\n\n\n

Partnership With Lamborghini<\/h2>\n\n\n\n

Amid these difficulties, Animoca Brands continues to pursue its objectives in the NFT market. <\/p>\n\n\n\n

The company recently partnered with the Italy-based luxury car manufacturer Lamborghini to “drive automotive brand engagement.” <\/p>\n\n\n\n

In an official blog post, Animoca stated that this collaboration aims to combine the expertise of both companies to create \u201cunique experiences for Automobili Lamborghini\u2019s fans and customers.\u201d<\/p>\n\n\n\n

Lamborghini is also expanding its presence in the blockchain industry. In August 2022, the automaker partnered with NFR Pro to launch a series of company-branded non-fungible tokens.<\/p>\n","protected":false},"excerpt":{"rendered":"

Animoca Brands’ valuation fell 75% in two years due\u00a0to the NFT market\u00a0downturn, but the company continued to grow with a Lamborghini partnership. Crypto conglomerate Animoca Brands has experienced a dramatic decline in its valuation, dropping over 75% in the past two years, as reported recently. The company\u2019s secondary shares are currently valued at just $1.5 […]<\/p>\n","protected":false},"author":56,"featured_media":89323,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[11383,21,11409],"tags":[5023,202,776,1105],"class_list":["post-89320","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","category-news","category-nfts","tag-animoca-brands","tag-blockchain","tag-crypto-market","tag-non-fungible-tokens"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2024\/08\/Animoca-Brands-Valuation-Drops-75-In-Two-Years.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/89320","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/56"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=89320"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/89320\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/89323"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=89320"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=89320"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=89320"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}