From ASX-listed Pariah to Privately Owned Global Unicorn

Context

Animoca Brands didn’t just survive the crypto winter – it marched through it with the discipline of a battle-hardened unit, recalibrating its formation as digital mines went off all around. Founded in 2014 by Yat Siu, the Hong Kong-headquartered outfit has become a commander on the Web3 battlefield, wielding investments, advisory firepower, and technological agility to push forward its campaign for digital property rights and an open metaverse.

With over 540 blockchain-related companies under its wing, including the likes of Yuga Labs, OpenSea, and Axie Infinity, Animoca’s three-pronged battle plan includes building native Web3 projects such as The Sandbox and Open Campus, investing in high-potential startups, and offering strategic advisory on digital assets. It’s a sprawling operation that demands sharp leadership and adaptability.

Real-Life Story

The early days of COVID-19 were a blitzkrieg on operations. Remote work restrictions, acquisition integrations, and logistical gridlock threatened to fracture the lines. 

Yet, like any well-drilled army, Animoca adapted. In 2020 alone, deferred revenue surged over 400%, from US$6.95m to $27.89m. 

It wasn’t smoke and mirrors – the firm’s revenue recognition method deferred income until services were delivered, a prudent manoeuvre for the long-term nature of blockchain projects.

Navigating the Fog of War: The Pandemic and The Crypto Collapse

As crypto markets imploded post-FTX, Animoca faced its darkest hour. Bookings dropped from $402m in 2022 to $280m in 2023. But rather than retreat, the company executed a strategic withdrawal on non-essential fronts and doubled down on efficiency.

By late 2023, it began cutting operating expenses – streamlining command chains across subsidiaries, using AI to trim the fat in product development, and reining in discretionary fire.

The result was a leaner, faster fighting force. In Q1 2024, bookings rose 72% year-on-year to $90m – a clear signal that the worst of the storm had passed.

Strategic Command: Reshuffling the C-suite and Marshalling New Troops

Leadership was not left to chance. The appointment of Evan Auyang as group president brought fresh eyes and battlefield-tested instincts to Animoca’s top brass. His arrival during a phase of rapid expansion shored up operational discipline and offered strategic cohesion across far-flung units.

To fuel growth and man the trenches, Animoca launched initiatives like Open Campus, recruiting new talent and embedding them within its diverse portfolio of projects. In 2024 alone, the company backed over 70 new ventures, expanding its reach and reinforcing its ability to respond swiftly across sectors and geographies.

Weaponising AI: Cutting costs, Boosting Firepower

If Web3 was the terrain, artificial intelligence became Animoca’s secret weapon. By integrating AI across its war room – be it investment analysis, logistics, or game development – the company reported efficiency gains of up to 80%. It also trained proprietary AI agents using its in-house IP, helping streamline decision-making and cut operational drag.

These gains weren’t just tactical – they were strategic. In a climate where many Web3 firms were bleeding capital, Animoca maintained strong liquidity. As of early 2025, it held $293m in cash and stablecoins and $538m in digital assets, with an additional $2.9bn in off-balance-sheet token reserves. That kind of war chest is rare, even among crypto’s elite regiments.

Holding the Line in Hostile Territory: Delisting and Regulatory Repositioning

In 2020, Animoca made a bold move: delisting from the Australian Securities Exchange (ASX). Some saw it as a retreat, but in reality, it was a tactical pivot – freeing the company from regulatory red tape and allowing for more agile private market manoeuvres.

By early 2022, the move paid off: Animoca had achieved unicorn status. It also navigated global regulatory landmines with precision. As US regulators tightened the screws on crypto firms, Animoca repositioned towards friendlier jurisdictions such as Hong Kong, Japan, and the European Union.

This shift wasn’t just about survival; it was about gaining the high ground in regions where blockchain adoption was actively encouraged.

Scars and Setbacks: The Cost of Command

No campaign is without casualties. The implosions of Luna, TerraUSD, and FTX sent tremors through the Web3 ecosystem. Though Animoca reported only “non-material” exposure to FTX, investor sentiment across the sector soured. Plans for a $3bn Web3 fund were scaled back to $1bn.

Internally, challenges mounted. Fines for late filings and the departure of a top auditor raised questions about governance. Integrating hundreds of portfolio companies strained capacity, and the cultural complexities of managing decentralised, global teams proved a persistent thorn in the side.

Yet, the company maintained momentum where it mattered. Its Digital Asset Advisory (DAA) arm, initially a side operation, saw 116% year-on-year growth in 2024, pulling in $165m. The signal was loud and clear: Animoca wasn’t just building the metaverse – it was advising others on how to build their empires, too.

Long-Range Strategy: Capital Raises and Public Ambitions

Even under fire, Animoca proved its prowess in securing reinforcements. In 2022, it raised $75m mid-year, followed by $110m later in the same campaign. Heavy-hitting backers like Temasek and Mirae Asset lent credibility to the firm’s long-term vision, which included shaping the metaverse and tokenised economies from the ground up.

Now, all eyes are on its next campaign objective: a public listing in the US market. If successful, it will signal not just resilience, but dominance. A chance to reload with institutional capital and reinforce its outposts in gaming, NFTs, and decentralised finance.

PostScript: Animoca Brands has endured everything from pandemics to protocol collapses – an unrelenting theatre of chaos that tested even the hardiest players. Yet through battlefield cunning, capital discipline, and a relentless commitment to mission, the firm has not only survived but re-emerged as a commanding force in the Web3 world.

In this fog of financial war, Animoca didn’t wait for clarity. It moved fast, took calculated risks, and trusted in its chain of command. The crypto winter may have frozen weaker troops in their tracks, but Animoca marched on, battle-scarred but unbroken, ready to redraw the lines of the digital future.

Key Lessons

1) Fire on Multiple Fronts, But Never Lose Sight of Your North Star

Amid chaos, Animoca Brands maintained a laser-sharp focus on digital property rights and the open metaverse. While it backed over 500 ventures and juggled product, investment, and advisory arms, its unifying vision ensured no bullet was wasted. In wartime, having a clear strategic objective turns scattered skirmishes into a coordinated campaign.

2) Don’t Just Build Fortresses – Dig Escape Tunnels

Delisting from the ASX was less a retreat and more a tactical repositioning. Freed from public market scrutiny, Animoca found agility in private capital markets, laying groundwork for long-term manoeuvres like a future US listing. Sometimes, survival hinges on knowing when to change the battlefield entirely.

3) Diversify Your Arsenal to Outlast a Siege

The crypto market’s implosion didn’t bring Animoca to its knees, because its firepower was spread across 540+ investments. When one flank failed, others held strong. In wartime business, concentration can be a death trap – diversification is your insurance against being surrounded and starved.

4) Use the Fog of War to Build Behind the Scenes

While the world focussed on collapsing tokens and exchanges, Animoca ramped up its advisory services – growing revenue by 116% in that unit alone. WarTime CEOs exploit market noise as cover to reinforce and retool. The best moves are often made when no one’s watching.

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Until next week, may the force be with you.

Kevin

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