Bitkraft Ventures — a game investor with European founders based in Denver, Colorado — recently closed its third fund at $275 million. This fund will focus on making seed and Series A investments in gaming studios and platforms that support game production, at a time when game investments have decreased by 72% year on year according to a recent Pitchbook report.
Founded by games industry veteran Jens Hilgers, Bitkraft currently has over 130 companies in its portfolio and manages over $1 billion in assets.
Bitkraft has invested in Frost Giant studio, a team working on the real-time strategy game Stormgate, with previous experience in building StarCraft. Hilgers is excited about their potential success and sees them as an example of the type of companies Bitkraft invests in.
Other notable investments by Bitkraft include Anzu, a in-game ad platform; Carry1st, a mobile gaming platform focused on Africa; InWorld, a social platform; Karate Combat, a martial arts league; and Immutable, the creator of the Gods Unchained crypto-based game.
Bitkraft’s LP base consists of family offices and institutional funds, with a major global sportswear player as a notable LP. The firm’s investment strategy from their successful second fund involves approximately 30 to 35 companies, with an average ticket size of $4 million, split evenly between initial capital and follow-on investments, yielding a top decile ranking in the latest Cambridge Associates report.
Bitkraft can be compared to Play Ventures in Singapore, which has raised $222.9 million across 4 funds and also invests in various game platforms.
