Amidst Hong Kong's Corporate Downsizing, Animoca Expands Its Workspace to Over 10 Tennis Courts

Hong Kong is experiencing the aftermath of a slowing mainland Chinese economy, with its financial sector and professional services firms downsizing their real estate footprint to adapt to decreasing demand. In contrast, Animoca Brands, a prominent Web3 company known for its NFTs and GameFi divisions, has recently inaugurated a new 28,000 square-foot office spanning two floors in an emerging tech district on the south side of Hong Kong island, roughly equivalent to the size of 10 tennis courts. According to Evan Auyang, president of Animoca Brands, the company has expanded from 7,500 square feet to 28,000 square feet, seizing the opportunity presented by the current renter's market to create a collaborative space not only for itself but also for other companies within its portfolio. Despite the crypto market's bull run, Animoca faced a challenging 2023, marked by layoffs and a reduction in the target size of its metaverse fund from $2 billion to $800 million. Auyang emphasized that the company's culture of experimentation and embracing failure has driven its evolution, facilitated by the incorporation of talented individuals who naturally propel the company in new directions. Notably, Animoca's executive team boasts considerable experience, with most members in their 40s and 50s, having navigated numerous challenges throughout their careers. The company's decision to remain in Hong Kong was significantly influenced by government support, which Auyang described as 'invaluable,' citing the pivotal moment when the Financial Services and Treasury Bureau announced its support for Web3 alongside Animoca's co-founder and executive chairman, Yat Siu. Hong Kong's distinctive creative energy, fostered by its rich heritage in film, music, and art, is an element that Animoca believes cannot be replicated elsewhere. Although the company could theoretically operate from any location and had considered relocating during Hong Kong's prolonged Covid-19 lockdowns, it ultimately chose to remain in the city, with Auyang stating, 'We were born here. Hong Kong is part of our DNA.'