1SEC Inc., headquartered in Tokyo and based in Los Angeles, specializing in AI, 3D, and blockchain technologies, has secured 500 million yen in funding from Decima Fund, Kulture Fund, Ceres, and CIPS Fund. Led by Founder Hirokuni Miyaji, this funding marks a significant milestone for the company.
Background and Purpose of Fundraising
1SEC’s mission is to empower individuals and businesses globally with cutting-edge technology. Since 2019, the company has centered its efforts around the “PEEEPS” fan platform, allowing the creation of subscription sites. With a focus on AI-driven virtual human technology (“ONEAI”) and the initiation of the web3 project “1BLOCK” in 2021, 1SEC has developed innovative marketing methods for the new era, including “METADRIP” for AR try-ons and “OneDrip,” combining physical and digital elements through XR and NFT integration.
The purpose of the current fundraising is to further accelerate their mission by building a new ecosystem where value is fairly returned based on the contributions of each participant. The achievements of the “PEEEPS” platform, surpassing 25,000 paid members and achieving an average ARPU (Average Revenue Per User) of 2,256 yen, with an ARR (Annual Recurring Revenue) of 300 million yen in subscription revenue, highlight the success of their initiatives.
PEEPS Platform’s Key Features
1. Effortless Subscription Site Launch for Everyone
Enjoy a high return rate of over 80% on monthly revenue and comprehensive support not only for submissions and inquiries but also for handling commissioned tasks like events and merchandise production.
2. Implement Your Preferred Design and Features with No Code
Dedicated personnel will customize both the design and functionalities to align with your specific objectives. Launch your distinctive “Community,” “Fan Club,” or “Streaming Site.”
Access all essential features at no cost right from the beginning, including:
•Publishing videos, images, blogs, and announcements
•Live streaming (with gift functionality)
•Digital membership cards for members
3. Creation of a Unique Economic Ecosystem
By establishing a Fandom Economy, it becomes possible to grant incentives based on the contribution of fans. Additionally, incentives corresponding to the enthusiasm generated by PEEEPers (operators of PEEEPS) are also planned.
4. Innovative Sponsor Matching through AI
Utilizing our unique AI technology and big data, we offer a “matching” service between companies and PEEEPers based on the products or services that the companies wish to promote. Leveraging technology, we can match the preferences and favorite items of PEEEPers, which may not be apparent from their social media information alone.
In addition to our proprietary AI technology and big data, incorporating ChatGPT enables searches using abstract phrases.
“Find influencers who love using ○○.”
“Propose Instagrammers who frequently post about dining out.”
This approach lowers the barrier for searching influencers and allows companies to efficiently select the most suitable influencers without extensive time investment. Furthermore, brands can undertake sponsorship opportunities tailored to the hobbies and preferences of PEEEPers.
Comments from Each Investor (Excerpts)
Decima Fund, a web3-focused fund bridging Japan and the global web3 landscape, finds substantial potential in 1SEC’s existing brand achievements and its vibrant, web3-friendly user base. Investing with the aim of fostering mass adoption essential for web3 industry maturity, we wholeheartedly support 1SEC’s vision of “Create A New Era.”
Director, Decima Fund
At Ceres, we operate cryptocurrency exchanges through our group companies Mercury and Bitbank, actively investing in startups in the web3 and blockchain sectors as part of open innovation. Since our previous investment, 1SEC has entered the web3 market, leveraging insights and technology acquired from its existing business, and has achieved numerous successes. We are confident that the operation of their community “1BLOCK” and PEEEPS, which combines technologies such as blockchain and XR, will become a new fan community platform in the era of web3. Therefore, we decided to make additional investments.
Management Planning Office, Ceres
We’ve previously collaborated with 1SEC on projects like BABYMETAL’s NFT virtual sneakers. While the integration of AI, Web3, and XR with entertainment is in its early stages, we recognize its immense potential. Foreseeing a future where the convergence of technology and entertainment deepens, we aim to be pioneers in this space. With 1SEC’s proven track record and expertise, we see them as an excellent partner to explore valuable initiatives in the ever-evolving landscape of technology and entertainment.
Senior Executive Officer & Amuse CEO, Kulture
“1BLOCK” is a digital fashion label based in Los Angeles and Tokyo, specializing in developing and operating web3 projects. The 3D avatar collection, MetaSamurai, achieved the top position in the world’s largest NFT marketplace, Opensea, for NFT transaction volume. Additionally, it boasts the largest scale among domestic digital fashion communities.
Cryptocurrency not required:
Seamless issuance of wallets through OAuth authentication allows users to swiftly load and receive NFTs.
Acquiring untapped potential customer information and building communities:
Unlike traditional community building, where personal information such as email addresses needed to be obtained, stored, and authenticated, “ONEDRIP” allows authentication of purchases and recognition of users who were previously inaccessible. Additionally, it enables the creation of exclusive buyer communities while managing personal information with reduced administrative burden and security risks.
Manage as a digital asset:
Physical collection items are often challenging to carry and may risk damage. By utilizing “ONEDRIP” and storing items as NFTs, it not only digitally certifies ownership but also achieves efficient inventory management by producing items upon request.
•Exclusive benefits for digital asset holders:
Incorporating “ONEDRIP” into physical collection items allows customers to effortlessly receive digital assets. Leveraging this feature, benefits such as event access and exclusive gifts tied to ownership status can enhance customer loyalty.
METADRIP is a smartphone app available on the App Store that allows users to experience and virtually wear digital assets, including NFTs generated through 3DCG, using the camera of their smartphones in augmented reality (AR).
Future developments include a phased expansion of the app’s offerings, with a strategic evaluation of blockchain integration.
METADRIP enhances the utility of digital assets by enabling virtual wear through AR technology, fostering widespread adoption and practical engagement with brands and creators.
About “AI Human LAB”
AI Human LAB conducts research and development in cutting-edge virtual human technology, including ‘ONE AI,’ a Face-to-Face AI dialogue platform that integrates real-time graphics with AI technologies such as speech recognition, visual recognition, and dialogue-focused AI.
Company Name: 1SEC Inc.
【USA】Oppenheimer Tower, 10880 Wilshire Blvd, Glendon Ave, Los Angeles, CA 90024
【Japan】6th Floor, 1-6-13 Ohashi, Meguro-ku, Tokyo
Established: January 2019
Capital: 430 million yen (including capital reserve)