The thesis-driven crypto investment firm Multicoin Capital has lost nearly 95% of its investment in an NFT project named “Loot”, as per the announcement by its co-founder Kyle Samani.
Kyle Samani is one of the members to watch over the company’s investment in cryptocurrencies and non-fungible tokens. After observing a sharp fall in the Loot NFT project, he came forward to address the loss in their NFT investments.
“Being willing to lose 100% of capital at risk is *very* important to our long term success,” said Kyle.
However, the company stated that the proportion of the investment in NFT projects is very small in comparison to crypto investments. Amid the downward momentum in the Loot NFTs’ price, the company is still going to hold NFTs.
The Loot Project was launched in August 2021 by Vine founder Dom Hoffmann.
According to sources, the company invested 8 figures-around $10 million in the Loot project after seeing the immersive potential in September 2021. This was the first investment of Multicoin Capital in NFTs ever. Kyle Samani stated investment reasons in the Loot as it was “the first investable crypto-native game”.
Unfortunately, the investment has not proven fruitful for Multicoin Capital. Since September, the floor price has taken a downward momentum, which is still continuing. According to data on OpenSea, in September, Loot’s floor price was around 9 ETH, which is now 1.1 ETH.
