Web3 infrastructure firm Magic has raised $52 million in a funding round led by PayPal Ventures.
Magic is a Wallet-as-a-Service provider which helps onboard customers into Web3 through loyalty programs, digital collectibles for employees, ticketing and memberships.
Its software development kit allows users to create non-custodial crypto wallets using existing email, socials, SMS or federated logins.
It claims to have generated more than 20m unique wallets to date while its SDK is used by over 130,000 developers. It counts listed retailer Macy’s and global toy manufacturer Mattel among its clients as well as video game monetisation company Xsolla and layer 2 Ethereum scaling solution Immutable.
Silicon Valley-based early-stage venture capital firm Cherubic Ventures, Synchrony Ventures – the VC arm of NYSE-listed Synchrony Financial – KX, Northzone and Volt Capital joined the round.
Magic, founded in 2018, has now raised $80m in total.
“Our vision is to ignite new economic opportunities by enabling authentic digital ownership for everyone – starting with building the necessary infrastructure to onboard the next billion users to Web3,” said Sean Li, co-founder and CEO.
“With this new funding, we’re focused on expanding functionality and enabling growing use cases to continue delivering more value to our customers. We are also looking forward to making a deeper integration within the EU and APAC.”
Alan Du, partner at PayPal Ventures, commented: “Magic’s wallet creation service allows companies to reach millions of users on their apps and onboard customers who are new to Web3.
“We’re proud to be investing in Magic and believe the company will help drive the growing number of web3 use-cases amongst global brands.”