Animoca Brands acquires most of educational content platform TinyTap
Hong Kong blockchain powerhouse Animoca Brands has acquired more than 80% of TinyTap, an educational content technology company, looking to build a blockchain-based platform for educators to create their own content while generating income.
Animoca Brands acquired 80.45% of TinyTap’s stake for US$38.875 million in cash and shares, according to its announcement on June 16. The Hong Kong-based company now holds a 84.13% stake in TinyTap.
Founded in 2012, TinyTap runs a platform that allows teachers and parents with no coding experience to create and distribute their own educational content while earning a revenue share based on use rates. The company has 30 employees and has raised US$13 million from investors including Aleph Venture Capital, Inimiti, Reinvent VC, Omega Group Enterprises Ltd., Radiant Ventures HK, including Animoca Brands and others.
Yat Siu, co-founder and executive chairman of Animoca Brands, said that educators generally struggled with funding and resources despite the fact that teaching is among the most important professions. Animoca Brands’ goal was to mitigate some of the challenges faced by teachers worldwide, Siu said.
“With our acquisition of TinyTap – a strong and proven leader in the field of UGC [user-generated content] education – we will leverage blockchain to make new opportunities available to educators worldwide, allowing them to generate equity from their creations while offering parents enhanced learning opportunities for their kids,” he said.
Yogev Shelly, chief executive of TinyTap, said that by becoming a part of Animoca Brands, it would leverage blockchain to advance its vision and build a new education system independent of schools and governments, and that is owned and led by educators.
“Since inception, TinyTap has worked to free educators from the limitations of traditional education systems and inadequate budgets. We empower educators to create engaging learning activities that can reach millions of kids directly and that enable them to earn based on the success of their creations.”
Animoca Brands said TinyTap became an effective option for remote learning during the COVID-19 pandemic, when school classes and other activities were widely disrupted.
According to Animoca Brands, TinyTap has generated revenues of US$17.6 million from 2019 through 30 April 2022. The iOS version is one of the top 10 grossing kids’ apps in the US App Store.