Animoca Brands has released an interim report detailing key unaudited financial positions through April 30, 2023. The report revealed that the company has approximately $3.4 billion in assets and remains financially healthy despite recent reports of declining valuation.
Additional financial updates will also be released
In the update, the company highlighted the presence of a cash and stable balance of $194 (€178) million, liquid digital assets worth $566/€518 million (including reserves in The Sandbox tokens), and off-balance sheet tokens for value of $2.7 (€2.5) billion for all other Web3 subsidiaries in which Animoca Brands has a controlling interest.
The company has announced that additional financial updates will be released, starting with an audited financial statement for 2020. It has pledged to also release financial and business highlights for 2022 and the first quarter of 2023.
The update was released in response to rumors of financial problems at the company. On March 24, Reuters reported, citing anonymous sources, that the company had lowered its goal for the Metaverse fund to $800 million, resulting in a value drop from $6 billion to $2 billion.
In response to these reports, the company immediately responded and denied the allegations. On March 25, Animoca told Brands that the claims were false. The company played down suggestions that valuations fell and that it scaled back its target for the metaverse fund. Company co-founder Yat Siu stressed that the anonymity of the source makes it difficult to determine their motives.