Photo Credit: Modhaus
K-pop fan engagement platform Modhaus draws an $8 million series A investment for its blockchain model, Cosmo.
Modhaus, a blockchain-focused K-pop fan engagement platform, has raised $8 million in a series A investment round led by US venture capital firm Sfermion. Along with Sfermion were prominent investors SM Culture Partners, Laguna Investment, Globalbrain (KDDI), and Foresight Ventures. This round puts Modhaus’ total fundraising to $12 million.
Aiming to distinguish itself from other entertainment companies, Modhaus enables fans to directly elevate and influence artists, as opposed to producing content strictly for consumption. Its Cosmo platform uses blockchain technology to allow fans to purchase digital photocards that double as voting tokens. With this system, Cosmo empowers fans to actively participate in significant idol group-related decisions.
“K-pop fans possess keen insights. With their sharp eyes for talent and trendspotting, we aim to enhance artist value through amplified fan involvement,” says Jaden Jung, CEO and co-founder of Modhaus.
“Superfans are emerging as pivotal players in the music sphere. Strengthening the direct connection between fans and artists not only elevates the fan experience but also introduces a new level of engagement,” adds Joseph Baek, EVP and co-founder of Modhaus.
The new funding will aid in Modhaus’ vision of expanding Cosmo into “the K-pop equivalent of LinkedIn or Kickstarter,” something venture capital firm Sfermion is excited about.
“We are thrilled to support Modhaus, a platform that has innovatively bridged the K-pop fandom with both tangible and digital realms through NFTs,” says Dan Patterson, general partner at Sfermion. “(The new) investment signifies more than just financial backing; it’s a venture into melding the energetic world of K-pop with the expansive narrative of the metaverse, (…) the convergence of K-pop’s charm with the boundless opportunities of the immersive market.”
“Just as media and streaming have transformed the music industry, it is anticipated that web3 will be the next game changer for the music industry,” concludes Simon Kim, CEO and managing partner at co-investor Hashed. “Modhaus is expected to become a success story in the entertainment industry by effectively adopting blockchain technology.”
K-pop groups that Modhaus has cited as success stories using its platform include tripleS, and former members of Loona who have formed the new group ARTMS, as well as the solo careers of the individual members.