Fantasy Chess, based in Norway, has raised pre-seed funding from investors SNÖ Ventures, Coatue, and funds led by billionaires Yuri Milner and Peter Thiel. The startup was created by Magnus Carlsen, who decided not to defend his chess world championship title last year because he wasn’t having fun. Instead, he decided to bring fantasy sports to the game of chess, leading to the creation of Fantasy Chess, now a venture-backed startup.
Led by CEO Mats André Kristiansen, Fantasy Chess has raised $3 million in initial pre-seed funding and has big plans beyond just building a fantasy game. The startup aims to create new content for the game of chess and present it in a better way. They also plan to offer streaming capabilities, produce their own content, and possibly host tournaments and events to attract more fans to the game.
Despite having no official product and only six employees, Fantasy Chess is looking to capitalize on the growing popularity of chess in pop culture, thanks to shows like “The Queen’s Gambit” and the rise of popular streamers like Hikaru Nakamura. The startup also benefits from having Magnus Carlsen as a cofounder, which gives them a unique advantage in the market with his expertise and reputation.
Carlsen’s interest in fantasy sports began about 10 years ago when he played different fantasy sports leagues with friends. His involvement in fantasy sports and his experience founding a successful chess app company have led him to venture into the world of fantasy chess with Fantasy Chess. He hopes to bring more excitement and engagement to the game through innovative ideas and content.
Investors in Fantasy Chess are betting on the combined backgrounds of Carlsen and Kristiansen, seeing it as an unfair advantage in the market. While the startup currently has no revenue, it plans to monetize through advertising and premium statistics while keeping its games free-to-play. Betting is not a priority for the startup at the moment, as they focus on building a platform for fans to engage with the best chess players and content creators.
With Carlsen expected to defend his titles in the upcoming FIDE World Rapid and Blitz Championships, there is pressure on Fantasy Chess to launch a product in time to capitalize on the event. The startup is also looking at partnering with other elite players and content creators to expand its reach and attract a larger audience. Despite the challenges ahead, Carlsen remains optimistic about the future of Fantasy Chess and the opportunities that lie ahead.
