The CEO of a new blockchain startup company called High Fidelity, Philip Rosedale, has managed to secure a total of $35 million USD in a recent funding round for the development of its project. The company is focused on virtual reality (VR) and it uses blockchain technology as well.
Companies like Galaxy Digital Capital Management invested $20 million USD in this round, while other investors are also high profile companies like Blockchain Capital, Breyer Capital, IDG Capital Partners and Vulcan Capital.
High Fidelity Already Has More than $70 Million USD in Capital And Is Currently In Beta
While the platform has not even properly launched and it is currently on Beta testing phase, the company has managed to gather a total of more than $70 million USD in investments. According to Rosedale, the headsets that you should use to access the company’s product are still not on the market, so a lot of the early focus of the company is on location-based facilities.
How has Rosedale managed to get so much money? If you like online games, you might remember that he was a creator of Second Life, a popular 3D virtual world that launched in 2003 and has generated over $4 billion USD in transactions during its life, so this man knows his business and the industry really trusts him.
According to the company, the money will be used primarily to hire more talents for the company’s team and for research and development. An office will be open in Seattle to expand the development of the technology.
According to the main investor of this round. Sam Englebardt, which is the head of strategic partnerships in Galaxy Digital Capital Management, blockchain platforms still did not have its “killer app” and virtual reality might be the answer.
The High Fidelity Coin
As usual, High Fidelity will have its own cryptocurrency, after all, that is what all the companies are doing right now.
The token will be a stablecoin called High Fidelity Coin and it will be backed by the US dollar, meaning that it will not be an investment but rather a utility token to be used on the VR ecosystem that is being developed by the company. This measure was taken to avoid volatility, a known characteristic of the cryptocurrency market.
According to Rosedale, VR must rely on the blockchain technology to be really decentralized. He believes that he VR market will expand a lot in the next ten years and get about a billion users all over the world.