Steve Cohen-backed NFT platform closes Series A at $333 million valuation

Riding the wave of interest in the market for non-fungible tokens (NFTs), a startup with support from hedge fund mogul Steve Cohen has closed a $50 million Series A. 

Founded by former DRW trader Zach Bruch and licensing expert Trevor George, RECUR is one of a growing number of startups operating in the NFT market where firms like Dapper Labs and OpenSea have achieved unicorn status. 

RECUR's raise values the firm at $333 million. Steve Cohen, the founder of hedge fund Point72, is joining RECUR's board and has invested in the company through DIGITAL, an investment vehicle that invests in the so-called Metaverse. Other backers of the firm include CMT Digital, Delphi Ventures, and Gary Vaynerchuk. To date, the firm has raised $55 million.

RECUR plans to leverage the funds to scale its platform, hire for more than 100 roles, and go to market with a newly launched collegiate NFT marketplace, dubbed NFTU.com. The firm has teamed up with CLC, a collegiate trademark firm, and Veritone, the licensing partner of the Pacific 12 Conference, to create NFTs of logos, video clips, and "all sorts of college collectibles," noted Bruch.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

The firm is starting with teams in the Pac 12. The firm says it has a number of licensing agreements similar to its deal with Veritone, which justified its hefty valuation, George said. 

"Our goal is to give fans the opportunity to own pieces of the stories and IPs they love, with real value retained across any future chain," the firm's founders said in a press release. "Further, we see a future where the standard for a decentralized recurring royalty is embedded, giving the creator due credit as assets are exchanged over and over again."

The firm declined to comment on whether any such agreement has been reached with Cohen's baseball team, the Mets. 

A spokeswoman for Point72 confirmed Cohen's investment through the billionaire's family office. Point72 made headlines earlier this year for leading data firm Messari's Series A. 

Update: The firm has raised $55 million since inception, not in this round.

About Author

Frank Chaparro is Host of The Scoop podcast and Director of Special Projects. He also writes a biweekly newsletter. Chaparro started his career at Business Insider, where he specialized in the intersection of digital assets and Wall Street, market structure, and financial technology. Soon after joining Business Insider out of Fordham University, Chaparro was interviewing top finance and tech executives, including billionaire Mark Cuban, “Flash Boys” star Brad Katsuyama, Cboe Global Markets CEO Ed Tilly, and New York Stock Exchange President Tom Farley. In 2018, he become a sought after reporter in the crypto world, interviewing luminaries such as Tyler Winklevoss, the cofounder of Gemini, Jeremy Allaire, the CEO of Circle, and Fundstrat head Tom Lee. For inquiries or tips, email [email protected].