Web3 Gaming Startup Neon Machine Raises $20 Million

Neon Machine, a Web3 gaming developer, has secured $20 million in Series A funding to develop its highly anticipated extraction shooter, Shrapnel.

This round of funding follows a $10.5 million seed round completed in June 2021. The Series A funding was led by Polychain Capital and included investment from Griffin Gaming Partners, Brevan Howard Digital, Franklin Templeton, IOSG Ventures, and Tess Ventures.

Neon Machine has described Shrapnel as an ambitious AAA game, a term used for video games with top-tier production value, budgeting, and marketing.

Neon Machine’s YouTube page and the game’s website reveal that Shrapnel is a multiplayer, first-person shooter. The game is yet to undergo pre-alpha testing, but the developers claim competition will center around “extraction” mechanics.

Players will have to escape with any loot found in-game to keep those items. Early gameplay videos show similarities to Call of Duty: Warzone. The popular free-to-play extraction shooter developed by Microsoft’s Activision Blizzard studio has a similar gameplay loop.

Shrapnel stands out from other AAA games because it integrates with Web3 and blockchain technology. While games such as The Division 2 allow players to get valuable items to bolster their characters and profiles, Shrapnel took a further step by connecting its assets to the blockchain, giving the players full ownership and control over their in-game items.

In addition, A modding toolset will be available in Shrapnel, a feature that let players and developers integrate other blockchain assets into the game world, leading to exciting possibilities for seasonal competitions and tournament play.

In December, Shrapnel will be available for early-access testing for paid subscribers. After the testing phase ends, the game will be launched as a free-to-play title in 2024.

Neon Machine, the game’s developer, has also revealed plans to license its Web3 developer’s API platform, GameBridge, after Shrapnel’s launch.