TL;DR
- Reservoir, an NFT infrastructure provider, closes a Series A funding round for $14 million, led by Union Square Ventures (USV).
- The funding will be used to expand NFT trading tools, including data indexing and connections with decentralized markets and exchanges.
- Despite the decline in the NFT market since its peak in 2021, recovery signs indicate that the sector still shows potential, with $877 million in sales in December 2024.
Reservoir, an NFT infrastructure provider working with major platforms like Coinbase, MetaMask, and Magic Eden, has closed a $14 million Series A funding round.
This funding aims to expand its infrastructure and facilitate the integration of more networks into the NFT ecosystem. The round was led by Union Square Ventures (USV), a well-known venture capital firm based in New York, which has also invested in projects like Polygon and Dune Analytics. Along with USV, other investment firms such as Variant, Archetype, and Square Peg Capital participated.
Reservoir has raised a $14M Series A round led by @usv.
We’re here to build the world’s best developer tools for token trading on every chain. pic.twitter.com/8ZukljMGNK
— Reservoir (@reservoir0x) February 5, 2025
The main goal of Reservoir with this new investment is to expand its tools for NFT trading. This includes solutions that allow for indexing token images and data and connecting with decentralized markets and NFT exchanges.
Jason Maier, co-founder and COO of Reservoir, explained that while blockchains enable digital ownership, the tools necessary to trade these assets are not available by default on blockchain networks. Therefore, they aim to simplify and strengthen the infrastructure required for platforms like Coinbase and MetaMask to operate efficiently in the NFT market.
Reservoir Aims to Simplify Access to the NFT Market
The NFT market was one of the most prominent trends in the crypto space between 2020 and 2022, reaching massive success in 2021 with record sales. However, the situation changed drastically in recent years, and by 2024, transaction volumes and NFT sales plummeted to levels similar to those of 2020.
Maier attributes this decline to the burst of the “NFT bubble” that followed a speculative period. Despite the slowdown, there are signs of potential recovery. In December 2024, NFT sales reached $877 million, suggesting that the market still has growth potential.
Additionally, the acquisition of the tokenization platform Tokenproof by Yuga Labs, the creators of the famous Bored Ape Yacht Club collection, indicates that NFTs remain an integral part of the crypto ecosystem
