Cryptoys

OnChain Studios is a Miami-based digital/NFT studio whose flagship product is Cryptoys, a platform of fully digital NFT toys that consumers can buy, sell, collect and play with inside an immersive blockchain-based world. Each Cryptoy is designed to gain capabilities as it is played with, unlocking additional experiences, and accessories for the characters are themselves NFTs that can be bought, sold and traded. The company describes Cryptoys as an NFT-native platform combining interactive collectibles, play-to-earn games and related entertainment experiences, built on the Flow blockchain — the same chain used by Dapper Labs for NBA Top Shot.

The company's characters, including a panda and a corgi, are created in-house so that OnChain Studios owns the underlying intellectual property, while the platform is also intended to be opened to third-party toy companies and brands. Planned platform layers include mini-games and play-to-earn mechanics through which players earn in-game items and rewards as NFTs, plus games in which users can win NFTs to gain access to the platform. The company has described plans for a broader environment it calls the "cryptoyverse" and for issuing two tokens, Toyken and Binary Dust.

Founding story

Chief executive Will Weinraub, a Miami entrepreneur, began working on digital collectible characters as a weekend project with his young daughter, who was already interested in collecting rare physical toys. Interest in NFTs accelerated in late 2020 with mainstream launches such as NBA Top Shot, and the project became OnChain Studios, whose official launch was announced alongside its seed funding in October 2021. Weinraub has said his two oldest children act informally as the product's research-and-development feedback loop.

Business model

The company develops and sells digital NFT toys and related accessories directly to consumers, retains ownership of in-house created intellectual property, and plans to license platform access to other toy companies and brands. Monetization is also intended to involve two planned tokens, Toyken and Binary Dust, alongside play-to-earn game mechanics.

Sales of NFT collectible toys and NFT accessories to consumers, with planned platform monetization via its own tokens and play-to-earn features.

Traction

The company reported 22 full-time employees following its seed round and, by mid-2022, had raised a total of $30.5 million across seed and Series A financings and secured a partnership with Mattel.

Latest developments

In June 2022 the company closed a $23 million Series A led by a16z crypto with participation from Mattel, Dapper Labs, Draper & Associates, Acrew Capital, Coinfund, Animoca Brands and Sound Ventures, to be used to build out the "cryptoyverse" platform, play-to-earn features and its planned Toyken and Binary Dust tokens, alongside a partnership with Mattel covering classic toy lines.