Decentralized autonomous organization (DAO) Merit Circle has announced the successful completion of its seed round, raising $4.5 million from a select group of venture capitalists and strategic partners. The oversubscribed round reflects strong confidence in the organization's mission to revolutionize the play-to-earn (P2E) gaming model through community-driven governance.
Investor Lineup and Selection Principles
Notable investors in the round include DeFiance Capital, Mechanism Capital, Spartan Group, Maven11, OP Crypto, Dialectic, CitizenX, Yield Guild Games, and Bitscale Capital. Merit Circle emphasized that it selected backers based on four core principles: experience in industry and governance, industry connections to foster collaborative metaverse growth, diversification across global regions (Asia, Europe, Australia, and the United States), and a sustainable long-term vision to help the P2E sector mature.
Play-to-Earn Ecosystem Expansion
Merit Circle’s journey began with Axie Infinity, a blockchain game that grew from a small operation in March 2018 to over 2 million daily active users, becoming the largest P2E title to date. The DAO now plans to invest in other high-potential games still in development, such as Star Atlas, Illuvium, Hash Rush, and NyanHeroes. It aims to conduct thorough research, recruit skilled players, and acquire significant NFT assets to enter these metaverses effectively.
DAO Governance and Token Launch
Merit Circle will establish a governance forum in the coming weeks, leading up to the launch of its native token. The organization also plans to announce details of a public investment round in the near future. By leveraging a global network of scholars and team members, Merit Circle seeks to build a diverse and knowledgeable community that can guide the DAO’s long-term success. The global gaming industry, valued at an estimated $335.5 billion (including software, hardware, content, and IP), presents a massive opportunity for P2E innovation.
With its seed round secured, Merit Circle is poised to become a dominant player in the play-to-earn space, driving value for players, developers, and investors alike through decentralized governance. The DAO’s next steps include finalizing its governance structure, token economics, and expanding its partnership ecosystem.