Arcade2Earn has raised $4.8 million in a private token round ahead of a public ARC sale.

Arcade2Earn recently moved away from Solana and established itself as a play-to-earn gaming platform. Ethereum ETH

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Avalanche has raised $4.8 million in a new funding round led by Crypto.com Capital.

Other investors include Solana Ventures, Shima Capital, KuCoin Labs and GSR, Arcade2Earn said Tuesday. “These funds were realized through a simple contract for future tokens,” Josh Poole, co-founder and CEO of Arcade2Earn, told The Block. Poole said the fundraising effort will take about a year and be completed by the end of 2023.

Arcade2Earn will also be holding a public token sale. “Our public token sale will be for $ARC tokens on Ethereum starting February 27th and lasting 72 hours on the Fjord Foundry platform,” Poole said. Poole added that the project will sell 1.875% of the total supply of tokens. This is 15 million tokens out of 800 million.

According to Poole, Arcade2Earn is not planning any more such public token sales in the near future. “The way other tokens are distributed is through some community incentive programs,” he said.

Investors in the private token round will see a six-month cliff starting from the token creation event on February 27, followed by an 18-month linear vesting period, Poole added.

Earn working hours at Arcade2Solana

Arcade2Earn was previously building a gaming platform on Solana when The Block completed a $3.2 million seed funding round in October 2022. The project built “the majority” of its applications on Solana, but after about a year of development, some of the application’s technical requirements were better suited to Ethereum.

“This was a difficult decision since we had already built most of our products on Solana, but it was important to us not to push too hard on functionality,” he said.

However, Arcade2Earn has not retired the Solana code and plans to use it for future multi-chain scaling, Poole said.

Arcade2Earn moves to Ethereum and Avalanche.

Arcade2Earn is currently being built on Ethereum and Avalanche. “Our primary liquidity token is on Ethereum (ARC) and our synthetic platform token is on Avalanche ($xARC),” Poole said.

“We made this decision to ensure that our leading liquidity tokens can build on the liquidity depth, security and stability of Ethereum while leveraging the speed, low transaction costs and high throughput that Avalanche offers,” he added. .

Arcade2Earn has been in development since its founding in 2021. However, according to Poole, the launch was delayed due to several factors, including the transition from Solana and gaming partners asking for more time.

Last month, Arcade2Earn launched a private alpha version of its platform and has amassed about 1,500 unique users through community airdrops and partner activations, Poole said.

“We are planning numerous other airdrops between now and our token creation event, with the goal of adding thousands more during that time,” he added.

How Arcade2Earn Works

Arcade2Earn provides access to its games through a system called “Mission Pool,” where gamers do not need to own non-fungible tokens or NFTs to play and earn money. The system includes a Mission Pool Operator (MPO) and a Mission Pool Contributor (MPC).

For MPOs, which can include gaming guilds and individual gamers, users play Web3 games using NFTs lent to the arcade vault or platform. Meanwhile, MPCs, which are essentially arcade token holders, deposit $xARC tokens into mission pools to support specific MPOs and in-game activities, with rewards distributed based on mission success, Arcade2Earn said.

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