Animoca Brands has acquired majority stake in PIXELYNX, a music metaverse and gaming platform founded by deadmau5 and Richie Hawtin.
As Web3 continues to merge with the traditional entertainment sector, Animoca Brands and PIXELYNX will work together to build and invest in the next generation of Web3-powered gaming and music metaverse technology.
“Animoca Brands has established itself as a dominant player in building the shared vision of an open metaverse,” states PIXELYNX CEO, Inder Phull. “This deal marks the beginning of a new era in the music industry in which Web3, gaming, and transmedia content will unlock new formats, revenue streams, and business models that support artists, fans, and labels.”
Los Angeles-based music and gaming firm PIXELYNX operates across five countries. PIXELYNX is creating a physical and digital ecosystem for artists and fans by building products that blur the lines between music, gaming, and Web3 (a decentralized ecosystem based on blockchain technologies).
PIXELYNX’s ecosystem will provide artists control over how they build experiences with fans, partners, and platforms to create new ways for music lovers to develop, share, and monetize music.
Animoca Brands mentioned in a press statement shared with AlexaBlockchain that it will ‘build, invest in, and acquire studios, infrastructure, and technologies’ that will ‘power the future of the music industry’ through integration with gaming and Web3 technologies and communities.
PIXELYNX operates LynxLabs, a new investment program to develop the next wave of music and entertainment ventures by offering them access to funding, artists, celebrities, token design, and technical support. LynxLabs has already invested into Volta XR and Oorbit.
PIXELYNX’s upcoming debut game ELYNXIR is a next-generation mobile gaming platform that will bring fans closer to their favorite artists through exclusive music content, in-game collectibles, and playable immersive experiences.
Powered by Niantic Lightship AR technology, ELYNXIR leverages advanced augmented reality and geolocation for players to discover games, music, artists, collectibles, and community-made content.
As an entirely new level of creative immersion and gameplay in the music metaverse, ELYNXIR aims to facilitate a new type of artist-to-fan collaboration that will transform how the music industry engages communities and monetizes content, giving fans the opportunity to be collectors, collaborators, influencers, and investors.
According to a study by Goldman Sachs, the global music revenue is expected to reach US$131 billion by 2030, more than 2-times of 2017 revenue. The study found that millennials and generation Z are spending more of their annual budgets on music.
From a strategic fit perspective, Animoca Brands and PIXELYNX will focus on developing new formats of music consumption that can be scaled across the metaverse to unlock new revenue opportunities through the access that both companies have to a global network of platforms, infrastructure, and rights-holders in the field of entertainment.
PIXELYNX’s ELYNXIR will be integrated into the Animoca Brands ecosystem with an emphasis on interoperability, open standards, and new interactive audio-visual formats.
“PIXELYNX is one of the new wave of companies that are paving novel pathways for the music industry amid a major technological shift from centralized to decentralized ownership,” Yat Siu, Animoca Brands’ Co-founder and executive chairman, said.
Animoca Brands had previously led a $4.5 Million seed funding round for PIXELYNX in December 2021 with participation from Solana Ventures, Alameda Research, Alumni Ventures’ Blockchain Fund, Hyperedge Capital, Republic Realm, SevenX, and Sfermion.
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