Animoca Brands Seeks Broad Altcoin Exposure for Future Public Listing

nimoca Brands founder Yat Siu outlined the company strategy to give investors broader exposure to altcoin projects, Web3 applications, and emerging crypto sectors. The comments were reported by Cointelegraph following an interview with Siu, who confirmed that Animoca intends to go public through a reverse merger next year.

Good to Know

• Siu stated that Animoca aims to position itself as a diversified altcoin investment vehicle
• The company intends to pursue a public listing via reverse merger
• Gaming accounts for the largest portion of Animoca investment portfolio

Siu told Cointelegraph that he views altcoins as a collective asset class with the potential to outperform Bitcoin over the long term. He compared Bitcoin to gold, noting that no individual company matches gold market capitalization, yet the combined market value of all public companies surpasses gold by a wide margin.

“We believe that altcoins, ultimately, over the largest space, are going to outperform Bitcoin as a collective,” Siu said.

He noted that Bitcoin serves primarily as a reserve asset for Animoca, rather than a tool for daily use within the company investment operations.

“We don’t join crypto because we want to hold Bitcoin, only holding Bitcoin as a reserve asset, but I don’t use it, right?” Siu said, highlighting the broad utility of altcoins across gaming, DeFi, gas fees, and decentralized physical infrastructure networks.

Altcoins as the Equivalent of Early Internet Growth Companies

Siu described most Web3 applications as altcoins in functional terms. He added that even memecoins fall under that definition, despite their limited utility. Animoca intends to build a diversified treasury spanning a wide range of crypto assets connected to Web3 ecosystems.

“All of these applications are actually altcoins, right in the classical definition, even, you know, to a lesser extent, but perhaps even more meaningfully, before, memecoins are also altcoins,” he said.

Siu drew a comparison between Animoca current investment strategy and early-stage opportunities during the rise of the internet. He referenced Amazon, Google, eBay, and Alibaba as examples of major companies that benefited from widespread investor exposure in the early 2000s.

“We feel that we’re pretty well positioned for that,” he said, explaining that the crypto sector is unlikely to produce a single dominant project.

Capturing Future Crypto Leaders

Animoca intends to maintain a broad investment footprint across sectors in order to capture future high-performing projects. Siu said the size of Animoca portfolio increases the probability of holding exposure to successful assets and protocols.

Gaming remains the largest category within Animoca investments, representing 230 of the company 628 portfolio holdings. Other sectors such as infrastructure, artificial intelligence, and decentralized finance continue to expand within its investment mix.

Siu told Cointelegraph that Animoca can access altcoins at much earlier stages and lower valuations than general investors and intends to transfer that benefit to shareholders.