Gaming giant Nazara Technologies has teamed up with blockchain startup Lysto to launch The Growth Protocol, a blockchain-driven protocol aimed at revolutionizing digital marketing and growth applications within the Web3 ecosystem.
The partnership was formalized through a letter of intent, with the protocol designed to improve transparency, fairness, and rewards for users involved in Web3 marketing.
According to Nazara’s official exchange filing, The Growth Protocol will be built as a Layer-1 (L1) blockchain and will feature a proof-of-concept loyalty decentralized application (dApp) specifically for game marketing.
This marks a significant step toward integrating blockchain technology into digital marketing strategies, allowing for more equitable engagement between brands and users in the rapidly growing Web3 space.
Nazara’s CEO, Nitish Mittersain, expressed excitement over the collaboration, emphasizing the company’s commitment to innovation in emerging technologies such as Web3, virtual reality (VR), and artificial intelligence (AI).
This announcement follows Nazara’s earlier investments, including a 8.5% stake acquisition in Web3 gaming platform Circle of Games (COG) for $500K (about INR 4.17 Cr) earlier this year.
The company’s strategic expansion into Web3 is part of a broader move to diversify its gaming portfolio and capture new growth opportunities.
In addition to The Growth Protocol, Nazara’s recent financial moves include plans to increase stakes in three of its subsidiaries: Nodwin Gaming, Absolute Sport (parent company of Sportskeeda), and Datawrkz, as well as investments in kids’ play center Funky Monkeys and edtech platform Learntube.ai.
Nazara also secured INR 855 Cr ($101.3 million) in a private placement round in late November, with key investors like SBI Mutual Fund, Caratlane founder Mithun Sacheti, and Aamara Capital contributing.
The influx of capital will support Nazara’s ongoing expansion strategy, which includes a series of acquisitions.
On November 29, Nazara acquired gaming agency and platform Trinity Gaming for INR 24 Crore.
In 2024, Nazara has continued to make waves with multiple acquisitions, including stakes in Pokerbaazi, Paperboat, STAN, Fusebox, Ninja Global FZCO, Freaks 4U, and Circle of Games.
On the financial front, Nazara reported a consolidated net profit of INR 16.24 Cr for the September quarter of the ongoing fiscal year (Q2 FY25), though this marks a 33% decline from INR 24.18 Cr in the same quarter last year.
Despite the dip, Nazara’s aggressive expansion strategy and increasing involvement in Web3 technologies reflect the company’s ambition to stay at the forefront of the digital gaming and tech industries.
With its sights set on growth and innovation, Nazara Technologies is positioning itself as a key player in the evolving Web3 and blockchain space, potentially reshaping how digital marketing is conducted in the gaming industry.
