Venture capital firm White Star Capital has managed to secure $120 million in funding for its second Digital Asset Fund (DAF II). The fund will invest in crypto networks and early-stage blockchain and Web3 businesses.

The raise was led by game publishing giant Ubisoft which will take a particular focus on DeFi and gaming. Ubisoft will invest $7 million in each of the 20-25 companies in North America, Europe and Asia.

The increased focus to DeFi, Web3 and blockchain-based technology could indicate that it will begin to support companies that develop metaverse solutions as well.

White Star Capital's previous investments from its first Digital Asset Fund included Stacks-based DeFi protocol ALEX and the decentralized exchange ParaSwap.

On Monday, Fortnite creator Epic Games announced it had raised $2 billion from Sony Group Corporation and Lego Group holding company KIRKBI in order to commit more to the development of virtual games for the metaverse.