Web3 giant Animoca Brands plans to go public through a reverse merger

• Animoca shareholders are expected to own about 95% of the new Nasdaq-listed entity.
• A three-month exclusivity period has been agreed to finalise the merger terms.
• The new company will focus on digital asset investments and blockchain applications.

Web3 gaming firm and crypto investor Animoca Brands has revealed potential plans to go public through a reverse merger with digital assets company Currency Group.

As reported by Bloomberg, the deal marks a significant step for Web3 gaming, with Animoca holding 171 of its 628 investments in Web3 titles like The Sandbox.

The merger aims to form what both firms call “the world’s first" publicly listed digital assets conglomerate on Nasdaq. 

Although a letter of intent has been signed, the merger terms are still being finalised. Both firms have agreed to a three-month exclusivity period to complete negotiations. 

Under the non-binding deal, Animoca Brands shareholders would own about 95% of the new entity, with Currency shareholders holding 5%. The transaction’s value has not been disclosed.

Continuous growth 

As part of the merger, Currency will spin off its AI-based financial solutions and digital remittance platform to existing shareholders before the deal closes.

The new entity would operate as Animoca Brands, focusing on digital asset investments, real-world asset tokenisation, and blockchain applications for consumer and institutional markets. 

The merger would mark Animoca’s return to public markets after its 2020 delisting from the Australian Securities Exchange, which cited breaches related to the company’s crypto activities.

Animoca currently manages a broad digital asset portfolio and holds major cryptocurrencies such as Bitcoin, Ethereum, and Solana. The firm employs over 700 people and plans to open a new office in New York.