Animoca Brands, a digital entertainment, blockchain, and gamification company, has secured a majority stake in Los Angeles-based music metaverse gaming platform Pixelynx. Animoca Brands expects its acquisition will drive integration between gaming technologies and communities and Web3, the company announced in December. Financing terms for the acquisition were not disclosed.
Animoca indicated it would continue to invest in and acquire digital studios that would help in its efforts to integrate the music industry with Web3. This broad umbrella term refers to a future iteration of the internet built on blockchain technology-based. Already operating in five countries, Pixelynx is building an ecosystem that will blur the lines between music, games, and Web3 in both the physical and digital worlds.
Ultimately, the Pixelynx ecosystem aims to give artists control over how they build experiences with fans, partners, and platforms and create innovative ways for music lovers to create, share and monetize music. Integrating music and technology has a promising and profitable future. According to research from Goldman Sachs, global music revenues are expected to reach $131 billion by 2030.
Web3 technologies and the music industry slowly integrate, creating new opportunities and revenue streams for creatives and music companies. As more musicians and executives integrate Web3 tools like non-fungible tokens (NFTs) to turn audiences into active communities, the connection between Web3 technology and music will likely grow stronger.
In September, global music and entertainment company Warner Music Group announced a partnership with NFT marketplace OpenSea to provide select music artists with a platform to build and grow their fan base in the Web3 community.