Top 7 Venture Capital Firms Investing in Video Games Startups

For founders in the video games industry, knowing which investors to approach is a crucial part of raising capital. Pitching to generalist VCs who don't understand the specifics of gaming can be a frustrating distraction from building your company.

To help you connect with the right partners, our team at Rho has curated this guide to the top venture capital firms investing in gaming. Use it to quickly identify investors who are a good fit for your startup, whether you're at the seed stage or raising a Series A.

Rho provides access to business banking, corporate cards, and bill pay—built for startup teams moving fast.

Key Takeaways

• Securing venture funding gives your gaming startup the capital to build and release new titles, and it connects you with experienced advisors who understand the industry.

• Firms like The Games Fund, BITKRAFT Ventures, Powerhouse Capital, and Valhalla Ventures are some of the most active backers of gaming startups, specializing in this specific market.

• If you're raising or have just closed a round, Rho helps you manage your capital with fast business banking, corporate cards, and automated bill pay.

Which VC Firms in Video Games Are Right for Your Stage?

From your first round to a future exit, knowing who to approach for funding is key.

This overview shows which VC firms specializing in video games invest at different stages of a company's growth.

Pre-seed and Seed VC Firms in Video Games

This initial funding stage is for turning an idea into a minimum viable product, building your core team, and finding early market fit. For founders seeking seed venture capital, firms like The Games Fund, Transcend Fund, and Valhalla Ventures specialize in backing video game startups from the very beginning.

Early Stage VC Firms in Video Games

Early-stage funding, which includes Series A and Series B rounds, is meant to help you scale operations, grow your user base, and prepare for significant market expansion. Gaming venture capital firms like Powerhouse Capital and Crush Ventures are known for backing companies at this growth phase. Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

Late Stage VC Firms in Video Games

Late-stage capital is for established companies looking to solidify their market position, pursue acquisitions, or prepare for an exit like an IPO or M&A. Among late-stage VC firms, both Shanda Group and Powerhouse Capital have experience with private equity and later-stage deals.

It's also worth noting that some of the most active video game venture capital firms, such as BITKRAFT Ventures, invest across all stages from seed to late-stage rounds.

To help you find the right investors, here is a closer look at the top VC firms focused on video games. We've outlined their investment stages, geographic preferences, and what makes each one a compelling choice for founders.

1. The Games Fund

Founded by video games industry veterans, The Games Fund is an early-stage VC firm that invests exclusively in gaming startups. They specialize in providing seed and early-stage capital to help new studios get off the ground.

The firm’s approach is product-centric, backing teams with a strong creative vision and technical skill. They often lead rounds and have invested in notable companies like Dark Passenger, a studio founded by developers who previously worked on titles like The Witcher 3 and Cyberpunk 2077.

The Games Fund is a good fit if you are an early-stage founder with a background in game development and a clear plan for your first title. They are particularly interested in teams building new intellectual property with strong commercial potential.

• Investment stages: Seed, Early Stage Venture
• Industries of focus: Video Games
• Geographical presence: Los Angeles, California
• Founded: 2020
• Team background: Founded by video games industry veterans
• Notable investments: Dark Passenger, Drama Studios (creator of UNRECORD), and Layer AI
• Portfolio size: 28 investments

You can refer to their website here.

2. BITKRAFT Ventures

BITKRAFT Ventures is one of the most active investors focused on gaming, esports, and interactive media, investing across all stages from seed to late-stage rounds. Their portfolio shows a clear focus on backing category-defining companies, including investments in Epic Games and the communication platform Discord.

The firm's track record also includes a notable exit with CCP Games, the studio behind EVE Online, signaling their ability to support companies to a major exit. This makes BITKRAFT a strong potential partner if you are building a company with high-growth potential anywhere in the gaming ecosystem.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture, Late Stage Venture, Initial Coin Offering
• Industries of focus: Video Games, eSports, Digital Entertainment, Virtual Reality
• Geographical presence: San Francisco, California
• Founded: 2015
• Notable investments: Epic Games, Discord, CCP Games, Immutable, Yield Guild Games
• Portfolio size: 190 investments

You can refer to their website here.

3. Powerhouse Capital

Based in Los Angeles, Powerhouse Capital invests across technology, media, entertainment, and interactive gaming. The firm is active from seed rounds to later-stage private equity, giving them a broad view of a company's lifecycle.

What's notable is their track record of backing consumer brands that become household names and achieve major exits. Their portfolio includes the podcast network Wondery, acquired by Amazon, and the subscription sports site The Athletic.

Powerhouse is a strong potential partner if you are building a company with mass-market appeal and a clear path to acquisition. Their experience with high-profile exits suggests they know how to support founders aiming for market leadership.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture, Late Stage Venture, Private Equity
• Industries of focus: Media, entertainment, and interactive gaming
• Geographical presence: Los Angeles, California
• Founded: 2019
• Notable investments: Wondery, The Athletic, MasterClass, and the meditation app Calm
• Portfolio size: 24 investments

You can refer to their website here.

4. Valhalla Ventures

Valhalla Ventures is an early-stage venture firm that backs companies building what it calls "enduring moats." While the firm invests in gaming, its focus is broader, extending to deep tech sectors like biotechnology, advanced materials, and space travel.

The firm’s strategy centers on businesses with strong defensive advantages, from proprietary technology to unique market positions. This is reflected in a portfolio that includes companies like K2 Space, which builds satellite platforms, and Biofire, the developer of a biometric smart gun.

Valhalla is a good fit if you're a founder in the gaming space creating foundational technology, such as a new engine or platform, rather than just a single title. They are looking for companies with a clear, long-term competitive edge.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture
• Industries of focus: Gaming, Space Travel, Biotechnology, Advanced Materials
• Geographical presence: Los Angeles, California
• Founded: 2020
• Notable investments: K2 Space (satellite buses), Biofire (biometric smart guns), and Jaza (off-grid solar utility)
• Portfolio size: 23 investments

You can refer to their website here.

5. Transcend Fund

Transcend Fund is an early-stage venture firm based in San Francisco that invests in gaming and the future of digital interaction. They focus on providing seed and early-stage capital to founders building new forms of entertainment.

The firm’s portfolio shows a clear interest in both game studios and the infrastructure that supports them. They have backed critically acclaimed developers like thatgamecompany (Journey) and foundational tech like Polygon, an Ethereum scaling network.

This makes Transcend a strong partner for founders at the seed or early stages, whether you are creating a new game or the technology that powers digital worlds. Their track record includes a notable exit with Singularity 6, developer of Palia, which was acquired by Daybreak Games.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture

• Industries of focus: Video Games, Digital Entertainment, PC Games, Console Games, Social Media

• Geographical presence: San Francisco, California

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• Founded: 2020

• Notable investments: Polygon, thatgamecompany, Singularity 6, Stress Level Zero

• Portfolio size: 32 investments

You can refer to their website here.

6. Shanda Group

Shanda Group is a private investment group founded in 1999. As a family investment office, its strategy is distinct from many traditional venture capital firms.

The firm invests across all stages, from seed rounds to post-IPO, and holds significant stakes in public companies like LendingClub. This shows a focus on both emerging tech and established brands in sectors like finance and healthcare, in addition to gaming.

Shanda may be a good fit if your company has a clear path to market leadership or aligns with their broader interests. They operate more as a strategic financial backer than a hands-on, sector-specific partner.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture, Late Stage Venture, Post-IPO, Private Equity
• Industries of focus: Finance, Financial Services, Gaming, Health Care, Robotics
• Geographical presence: Menlo Park, California
• Founded: 1999
• Notable investments: LendingClub, Legg Mason, Sotheby’s, and WhizAI
• Portfolio size: 35 investments

You can refer to their website here.

7. Crush Ventures

Crush Ventures is an early-stage firm that invests in companies where media and commerce meet. The Los Angeles-based team backs companies at the seed and early venture stages, with a focus on consumer-facing industries.

A key part of their strategy is backing brands with strong pop-culture connections and celebrity endorsements. Their portfolio includes companies like Dolce Glow, which is backed by Miley Cyrus, and AudioShake, an AI platform whose work with Green Day went viral on TikTok.

This firm is a good match for founders building consumer brands that can leverage cultural trends for growth. If your company has a strong brand identity and a clear path to mass-market appeal, Crush Ventures could be a valuable partner.

Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

• Investment stages: Seed, Early Stage Venture
• Industries of focus: Consumer Goods, Media and Entertainment, Music, Publishing, Social Media, Video Games
• Geographical presence: Los Angeles, California
• Founded: 2000
• Notable investments: Yola Mezcal, AudioShake, Dolce Glow, Dance Church
• Portfolio size: 28 investments

You can refer to their website here.

What This Tells Us About The VC Scene for Video Games Companies

This review of top firms shows a healthy and varied funding environment for the video games industry. There is a strong concentration of investors focused on seed and early-stage rounds, which is encouraging if you are a founder just getting started. At the same time, firms like BITKRAFT and Powerhouse Capital show there is significant capital available for later growth stages, suggesting a well-rounded market.

Geographically, the firms on our list are centered in California, particularly Los Angeles and the Bay Area. The investor types are also diverse, ranging from pure gaming specialists to broader media and deep tech funds. This variety gives you options, allowing you to find a partner whose expertise aligns with your business model. Once funding is secured, Rho’s integrated financial tools — including business banking, corporate cards, and automated bill pay — help startups manage and deploy capital efficiently.

Raise Confidently with Rho

Knowing which investors to approach saves you valuable time and energy during a fundraise. This guide is designed to help you focus your efforts on the firms most likely to understand your vision and back your company.

Once your round is closed, the work of managing that capital begins. Rho can help you set up your financial stack in minutes, so you can get back to building your business.

Our platform gives you the tools to manage your new funding with confidence. We offer integrated business banking, corporate cards, and automated bill pay to help you deploy capital efficiently.

FAQs about Venture Capital Firms Focused on Video Games

What are the top gaming venture capital firms in NYC?

While many top gaming VCs are on the West Coast, New York has a growing ecosystem. Firms with a broader media or consumer focus often have a presence there and may invest in gaming companies with strong market potential.

Are there many European venture capital firms for gaming?

Yes, Europe has a strong and growing venture scene for gaming. Firms like The Games Fund actively invest in the region, and many global VCs have partners dedicated to sourcing deals from Europe's established and emerging game development hubs.

What do Series A VCs look for in a gaming startup?

For a Series A, investors want to see clear traction beyond an initial concept. This includes data on user engagement, early revenue, and a solid plan for scaling your operations and marketing to capture a larger market share.

Should I pitch to a specialist or generalist VC for my game?

Specialist VCs offer deep industry knowledge, while generalists may have broader networks. The best choice depends on your needs. Once funding is secured, Rho’s integrated financial tools help startups manage and deploy capital efficiently.

How can Rho help after I close my funding round?

After your fundraise, our platform helps you manage your new capital with confidence. Rho provides integrated business banking, corporate cards, and automated bill pay, so you can focus on building your company instead of your finances.