Seattle-based startup Loot Labs, the owner of the digital collectibles platform Boxed.gg, recently secured $6 million in seed round funding from investors led by global venture capital firm BITKRAFT Ventures. This funding will be used to expand Boxed.gg’s current business model as a gamified online marketplace for collectible cards to include tradable digital collectibles. The platform allows users to digitally purchase, draw, authenticate cards, and have physical merchandise shipped to them from a facility located in the U.S. Users can also trade unwanted cards back to Boxed.gg for site credit to purchase more cards on the platform.
With the goal of expanding and securing the collectibles market, Loot Labs CEO Milan Harris emphasized the importance of providing a trusted platform for fans of popular trading card games like Pokémon, Yu-Gi-Oh!, and Magic: The Gathering, as well as other collectibles. Harris envisions a future where game developers can tap into the digital collectibles market, allowing for secondary transactions while providing fans with a safe environment to collect and trade items in their favorite games. The company plans to launch a beta test on Oct. 28, which will allow users to trade for weapon skins in Valve Software’s Counter-Strike 2.
Initially, when Loot Labs announced its pre-seeding round in May 2023, Boxed.gg was positioned as a platform for virtual “mystery boxes” that offered digital collectibles like NFTs and unique avatars. However, the current focus of the platform is on securing and trading physical merchandise, rather than NFTs and other Web3 goods. Harris explained that the company’s vision is to bridge the gap between physical and digital collectible markets, with hopes for NFTs to play a role in the future of the platform as well. The company remains optimistic that digital technology will be a key component of the next big collectible IPs.
Boxed.gg offers users the opportunity to trade their unwanted cards for site credit, which can then be used to purchase more cards on the platform’s marketplace. By offering a gamified online marketplace for collectible cards, the platform aims to provide a safe space for collectors to buy, sell, and trade their favorite items. The funding from BITKRAFT Ventures will enable Loot Labs to expand its operations and include a wider range of tradable digital collectibles, starting with the beta test for weapon skins in Counter-Strike 2.
Overall, Loot Labs’ focus on expanding the digital collectibles market, while providing a secure platform for collectors to engage in trading, sets it apart from other platforms in the space. With the $6 million seed round investment, the company is well-positioned to continue growing and innovating in the world of collectibles. By offering a combination of physical merchandise and tradable digital collectibles, Loot Labs is poised to become a key player in the evolving landscape of collectibles and gaming.
