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TEXXR

Chronicles

The story behind the story

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Solana-based NFT marketplace Magic Eden raised a $130M Series B led by Electric Capital and Greylock at a $1.6B valuation, after a $27M Series A in March 2022

- Magic Eden has scored a $1.6 billion valuation in its latest funding round.  — The Solana-based NFT marketplace plans to launch on more blockchains.

The Block Yogita Khatri

Context & Ripple Effects

Magic Eden reached this round only months after its $27M Series A for a gaming vertical, moving quickly from a Solana-focused product buildout to financing a broader marketplace footprint. Its $1.6B valuation also places it near the valuation attached to OpenSea's earlier Series B, making cross-chain expansion a competitive priority rather than a side project.

The later record shows the expansion strategy extending beyond Solana: Magic Eden opened a Bitcoin NFT marketplace alongside its SOL, ETH, and MATIC offerings.

First-order effects

  • Magic Eden gains $130M from Electric Capital, Greylock, and other backers to pursue launches on additional blockchains, reducing the immediate constraint of being tied to a single chain.
  • Electric Capital and Greylock acquire exposure to Magic Eden at a $1.6B valuation, while Magic Eden's Solana users face a marketplace whose product roadmap is no longer Solana-only.

Second-order effects

  • OpenSea and other NFT marketplaces face a better-funded competitor seeking sellers and buyers across multiple blockchain ecosystems rather than competing only for Solana activity.
  • Wallet providers and NFT creators operating across chains become more important to Magic Eden's expansion, since marketplace liquidity must be connected across the networks it adds.

Third-order effects

  • If leading NFT marketplaces continue adding chains, marketplace competition shifts from chain-specific destinations toward multi-network distribution, where wallet support and cross-chain liquidity are core advantages.
  • The comparable late-stage valuations for Magic Eden and OpenSea suggest investor backing was concentrating around a small set of marketplace brands capable of pursuing that broader footprint.

The trend: NFT marketplaces are evolving from chain-native venues into multi-chain distribution platforms, with capital funding the race for cross-network liquidity.

Discussion

  • @magiceden @magiceden on x
    gm, dropped a Series B and we're now a $1.6B company after 9 months. We don't take any of this growth for granted. YOU, the creators and communities, have made our wildest dreams possible. @GreylockVC @electriccapital @lightspeedvp @paradigm @sequoia https://www.bloomberg.com/...
  • @alex @alex on x
    this surprised me https://techcrunch.com/...
  • @tomgara Tom Gara on x
    I have no idea what this business does but I'm going to make a blind bet here that a company called “Magic Eden” has a questionable business model https://twitter.com/...