Norway-based Fantasy Chess has secured pre-seed funding from investors SNÖ Ventures, Coatue, and funds led by billionaires Yuri Milner and Peter Thiel. The startup, created by chess world champion Magnus Carlsen, aims to bring fantasy sports to the ancient game of chess. Fantasy Chess has raised $3 million in initial funding and plans to expand beyond traditional fantasy games by creating new content for chess and offering more streaming capabilities.
Fantasy Chess hopes to attract current fans and bring more people to the game by producing its own content and potentially hosting tournaments and events. With only six employees and no official product launched yet, the startup is capitalizing on the recent popularity of chess in pop culture, thanks to shows like “The Queen’s Gambit” and popular streamers like Hikaru Nakamura. Carlsen’s involvement as a cofounder is a major advantage for Fantasy Chess, considering his status as the world’s highest-ranked chess player.
Carlsen’s interest in fantasy sports dates back to about 10 years ago when he founded a mobile game company, Play Magnus AS, to develop a chess app. After the success of Play Magnus AS, Carlsen teamed up with Norway Chess and a startup studio to launch Pawn, a fantasy chess app, which eventually evolved into Fantasy Chess. The startup is looking to monetize through advertising and potentially offering premium statistics and insights, while keeping its games free-to-play.
Investors in Fantasy Chess are betting on the combined backgrounds of Carlsen and CEO Mats André Kristiansen. The startup plans to focus on providing fans with new ways to engage with top chess players and is not prioritizing betting as a revenue stream. With Carlsen expected to defend his titles in the FIDE World Rapid and Blitz Championships in December, Fantasy Chess is under pressure to launch a product in time to capitalize on his success.
A recently announced film project about a chess scandal involving Carlsen could generate more buzz for the startup. Despite the challenges of being a novice startup with no revenue, Fantasy Chess is optimistic about its future and is confident that its unique approach to fantasy chess will attract a wider audience to the game. The team is excited to work with other elite players and content creators to enhance the chess experience for fans and players alike.
