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The partnership between Framework Ventures and Merit Circle will involve locking up BEAM tokens to receive USDC usable for investments.
Gaming and metaverse-focused decentralized autonomous organization (DAO) Merit Circle has announced a partnership with San Francisco-based venture capital firm Framework Ventures.
According to the announcement, Merit Circle’s collaboration with Framework will see the latter invest in Merit via BEAM tokens. After the acquisition, BEAM tokens will be sent to the treasury, with some sold to strategic investors. The announcement specifies that the tokens will be diversified so that some trusted parties can access a discount if they lock up the funds. This ensures their dedication to the cause over the long term.
After receiving BEAM, investors will then send USDC to the treasury. The USDC received will then support Merit Circle’s endeavors, which involve new investment positions, launching new internal projects, or purchasing existing ones.
Speaking on the partnership, Framework Ventures General Partner, Vance, expressed excitement about BEAM. Vance said BEAM will help expand the general application and adoption of cryptocurrencies through gaming. According to the General Partner, “gaming is the future of crypto, and BEAM is on the frontier onboarding the billions of monthly gaming users that exist adjacent to our crypto ecosystem today. When other people said the gaming narrative was dead, they built software, community, and a real go-to-market strategy across the top gaming chains. We are truly so early, and Framework is excited to help usher in a new age of crypto use cases with Beam.”
Framework Is One of a Few Merit Circle Partners
Framework Ventures has joined a growing list of Merit Circle investors and infrastructure partners. The list already includes names like Pantera Capital, Avalanche, Polygon, and Immutable. Founded in 2019, Framework is one of the most renowned investors in the blockchain sector. The company brands itself as “a thesis-driven venture firm that builds alongside our founders”. Framework’s portfolio includes several major projects, including Yearn Finance, Optimism, Illuvium, and Chainlink.
Framework Ventures has been involved in multiple endeavors geared towards Web3 efforts. In April last year, the company raised $400 million for FV III, its third crypto fund. Per the announcement, most of the funds will go to blockchain-based gaming, while the rest will be channeled towards decentralized finance (DeFi) and Web3 in general. Months later, in September, Avalanche decentralized staking protocol GoGoPool received $5 million in a seed round co-led by Framework Ventures and CoinFund.
In April, Merit Circle launched the Beam subnet on the Avalanche blockchain to cater to gamers and developers. The blockchain is a base framework for many of the DAO’s launches, and is also home to several games. An official announcement from Merit Circle states that Beam boasts quick transaction settlements and low fees while still upholding strong security features. Another advantage of the Avalanche network is the ability to adjust block time and base fees to optimize in-game transactions.
Beam lets developers focus on their game creation, as it helps to seamlessly handle deployment. The platform provides everything from asset management to gas-powered optimized transactions and oracles for games and marketplaces.