The popular Web3 gaming and metaverse platform Animoca Brands recently announced that it has invested in the decentralized electronic signatory firm, EthSign.
The investment will allow EthSign to continue building its token management system, TokenTable.
Investing In Token Development
According to the company’s statement, EthSign revealed that the investment from Animoca Brands would accelerate the development of its token management system named TokenTable, which is still awaiting a public launch. As revealed by EthSign, TokenTable is currently in its beta phase and has allowed users to manage the issuance and distribution of digital assets.
However, the investment amount is yet to be disclosed by the two parties, with EthSign’s co-founder, Potter Li stating that the company’s total funding amount to date currently stands at $14 million. Previously, EthSign raised $12.65 million from two funding rounds suggesting that Animoca Brands may have plunged $1.35 million into the firm.
Meanwhile, Animoca Brands has declined to comment on the amount involved in the investment. The launch of the beta round for TokenTable took place last week as it provides Web3 founders, players and investors with a glimpse of what to expect after managing to hold the token on-chain.
However, EthSign revealed that the existing token management process is too stressful as founders are required to distribute and observe token allocations manually. In contrast, investors and employees in the Web3 space must keep track of all dates of token unlocks, which is time intensive.
On the other hand, TokenTable leverages blockchain technology for its record-keeping, transactions and agreement enforcement, added EthSign. The token management system also integrates terms of legal agreements into smart contracts, which ensure that all investment terms from every agreement signed on the platform are implemented.
According to EthSign, this signifies a significant step toward boosting transparency with the rule of the code.
Terms And Benefits
Animoca Brands benefits from TokenTable’s versatile features due to its investment in over 380 companies and its regular recipient of asset allocations. According to Yat Siu, the co-founder of Animoca Brands, most projects use excel spreadsheets to keep track of token allocation, which is an inefficient and insecure method.
Siu noted that EthSign’s TokenTable would address the challenges faced by crypto projects and enable adopting a standardized operational system for Web3 enterprises. Meanwhile, TokenTable is built on the Ethereum and Polygon networks, with EthSign disclosing plans to expand to other Ethereum virtual machine (EVM) compatible networks and Layer 2 protocols.
Moreover, EthSign has continued positioning itself as one of the crypto industry’s leading token management solutions providers.