The American tech-focused investment manager Coatue Management has marked down its stake in OpenSea by nearly 90%, according to documents reviewed by The Information.
Coatue reduced its previously valued $120 million stake in the NFT platform to $13 million in the second quarter of 2023, The Information reported. The move suggests that OpenSea is valued at $1.4 billion or less.
Along with OpenSea, Coatue also marked down its stake in web3 infrastructure firm MoonPay by 90%.
Trouble on the OpenSea
OpenSea had been valued at $13.3 billion last year when it raised $300 million in Series C funding in a round that Coatue Management had co-led. However, by April of 2023, the crypto bear market spurred shareholders to sell off their OpenSea shares.
On Nov. 3, OpenSea's CEO Devin Finzer announced that the firm cut 50% of its staff across all departments amid a company redirection prioritizing upgraded technology, reliability, speed, quality and experience. The new OpenSea team will be flatter and have fewer middle managers, Finzer added.
OpenSea and Coatue did not respond to requests for comment from The Block.
© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.