Reservoir Secures $14 Million in Series A Funding to Expand NFT Infrastructure

Reservoir Secures $14 Million in Series A Funding

Reservoir, a critical infrastructure provider for major NFT marketplaces such as Coinbase, MetaMask, and Magic Eden, has successfully closed a $14-million Series A funding round. The investment, led by Union Square Ventures (USV), aims to strengthen the company's infrastructure and broaden its reach across additional NFT platforms.

Expansion Plans and Market Impact

The funding round, which took place on February 5, also saw contributions from Variant, Archetype, and Square Peg Capital. Reservoir plans to use the funds to enable a wider range of blockchain networks to support NFT trading. The company will focus on developing advanced tools for token indexing, data management, and integration with decentralized exchanges. These tools are essential for facilitating seamless NFT transactions and are already relied upon by prominent platforms in the space.

Future Outlook for NFTs

Despite a significant decline in NFT market activity, with trading volumes and sales dropping 76% from their 2022 peak, industry leaders remain optimistic. Jason Maier, Reservoir's co-founder and COO, highlighted the enduring potential of NFTs to revolutionize digital ownership. Recent signs of market resurgence, including $877 million in NFT sales in December, suggest a potential rebound. Strategic moves, such as Yuga Labs' acquisition of Tokenproof, further indicate confidence in the sector's long-term growth.

Reservoir's funding and expansion plans position it as a key player in shaping the future of NFT infrastructure, ensuring robust tools and services for the evolving digital asset landscape.