Spartan Group announces $200 million metaverse fund with an emphasis on 'digital ownership'

Episode 17 of Season 4 of The Scoop was recorded remotely with The Block’s Frank Chaparro and Jason Choi, General Partner at The Spartan Group & Host of The Blockcrunch Podcast.

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Spartan Group — an Asia-based consultancy and venture capital firm — is set to close a new $200 million fund aimed at the metaverse, according to Jason Choi, a general partner at the firm.

The new fund, which will close less than a year after Spartan announced its $110 million DeFi fund, will focus on projects building in the metaverse, specifically virtual worlds that support “digital ownership" as Choi described in an exclusive interview on The Scoop.

As Choi explained during the interview:

“We only care about the metaverse or games where the users are empowered through ownership so you can own the in-game assets. You can own your characters, you can own part of the game, you can share in part of the value that you create for the game. We pretty much spend most of our time studying protocols like that and investing in teams that are building into that vision.”

To be sure, Spartan is far from alone. A series of big-name investors have recently raised and deployed capital in this space, including a $100 million fund backed by Alan Howard and the Winklevoss twins.

The latest market entrance represents a shift for Choi, who was not always as focused on digital ownership. As a self-described fundamentalist investor, Choi wasn’t interested in metaverse projects until the fees generated by Axie Infinity caught his eye in late 2020.

“We were pretty skeptical of the sustainability of the game itself,” Choi said. "But the numbers were proving us wrong. And from that experience, it ki