Discord chat app reportedly raises $50m investment

Discord, the video game chat application has reportedly recieved a large investment this past January.

According to reports from TechCrunch, venture capitalist firm Index Ventures led the round of funding, getting around $50 million. Based in San Francisco, Discord first started making an MOBA for iPad called Fates Forever, but following the lack of success from that title, the company repackaged itself to make the now popular chat app.

Discord, previously known as Hammer & Chisel has already had a lot of investment with an investment round also taking place in January 2016 with current backers Greylock Partners and Tencent. The app now has over 45 million users with 9 million using the app daily.

The company was reportedly vauled at $750 million for the investment round. The app, which has been available since 2015, is free to download (there is a $4.99 paid subscription option available) and is not currently selling advertising. However it is working on customisable options for game developers to adapt for their releases, becoming the preferred chat solution for video games both for consumers and developers.

CEO Jason Citron said to TechCrunch in a statement, "any investment we earn is poured directly into making Discord better and supporting the massive growth we’ve seen over the past year.” There are also indications from sources that talked to TechCrunch that shareholders on staff were offered buy outs if they wanted to cash in on the investment. Citron has previously developed chat software before having created and sold OpenFeint for $104 million in 2011, before being discontinued a year later.