Welcome to edition three of BACKED | by Improbable.

Looking back at August, our spotlight was on Somnia, a high-performance layer-one blockchain built for real-time, high-volume activity. As engagement shifts and growth slows across the global games industry, many Web3 platforms struggle to meet the speed and scale demands of modern applications. Consumer expectations are evolving toward richer, more interactive experiences, but the infrastructure for large-scale virtual worlds and open digital economies remains a bottleneck.

Somnia’s approach provides core infrastructure capable of supporting millions of concurrent users, complex in-world economies, and a new generation of microgames designed for more accessible engagement.

Featuring Somnia is about more than technical milestones, it’s about what this capability makes possible: worlds that feel alive because apps can respond instantly to on-chain events, and economies that grow because they can sustain real usage at speed.

This edition’s updates share a common thread: those building the foundations others will build on. We also spotlight momentum from the ecosystem, including Kallikor’s Gartner® recognition, MSquared’s first public experience built with the Otherside Development Kit, and Somnia’s launch of an incubator.

Thanks for reading!

Venture Spotlight |

Somnia is the first blockchain designed for large-scale virtual worlds and open digital economies.

Established as an independent foundation with its own Board, governance and leadership under CEO Paul Thomas, Somnia is designed to power the next wave of gaming, social and DeFi applications at a scale existing blockchains haven’t reached.

”I used to believe the best product always wins”, Paul says. “The truth is, without a great go-to-market, it doesn’t.”

From 70+ partners and 60 validators to 118 million wallets and ten billion transactions on testnet, Somnia has grown an ecosystem ready for scale. Now, Paul shares Somnia aims to set the foundation for open, reactive platforms, and why microgames might just be the key to bringing people in and keeping them there.

Building something ambitious?

We work with founders solving complex problems in AI transformation, the metaverse, and Web3 – the kind that don’t get built alone.

Last Month in the Venture Builder |

Kallikor recognised in Gartner® Hype Cycle™ for supply chain execution and logistics technologies 2025

Kallikor has been named a Sample Vendor in two categories of the Gartner® Hype Cycle™ for Supply Chain Execution and Logistics Technologies 2025: Digital Twins in Warehousing and Simulation and Modelling. To Kallikor, the recognition reflects the rising importance of simulation-led planning in building enterprise agility, resilience, and performance. “This recognition from Gartner validates what we recognise our customers to already be experiencing: that adaptive, experiment-led decision-making is the only way to navigate supply chain volatility and build long-term resilience.” said CEO Jonathan Barrett.

MSquared launches first public experience built with Otherside ODK

Bathroom Blitz, a fast-paced 8v8 shooter set in a stylised Bored Ape Yacht Club bathroom, has debuted as the first public release built using the Otherside Development Kit (ODK). Developed by Command Line with Yuga Labs, players are shrunk to miniature size to battle across cubicles, sinks and stalls. Powered by MSquared’s large-scale multiplayer infrastructure, the ODK lets creators build immersive worlds with custom avatars, spatial audio, on-chain gameplay and real-time synchronisation – without complex networking code. The launch is a major step toward making Otherside an always-on, creator-led platform.

Somnia launches Dreamathon developer challenge

Somnia has opened applications for Dreamathon, an eight-week incubator for teams building real-time, reactive applications on the Somnia Network. Twenty teams will compete for ten finalist spots, with $200,000 in grant funding and exposure to leading investors on offer. The programme is designed to accelerate innovation on Somnia’s high-performance Layer 1 blockchain, with participants gaining direct support to develop next-generation decentralised apps. Apply here.

Industry Pulse |

Herman Narula (Improbable) launched his new podcast in August, kicking off with a conversation with NBA champion Tristan Thompson. They discuss ownership, fan connection and the future of sport, exploring how blockchain could give athletes more control over their careers from day one. Listen on Spotify, or watch the full conversation here.

Rob Whitehead (MSquared) joined the UKTN Podcast for a deep dive into what has become of the metaverse. In conversation with host and prominent tech journalist Jane Wakefield, he unpacked how the hype cycle has evolved, where the real long-term value lies, and how MSquared and Improbable are positioning themselves at the forefront of building open, persistent virtual worlds. From infrastructure to interoperability, Rob outlined why the metaverse is shifting from buzzword to business reality. Listen here.

That’s it for the month.

This lAugust update highlights the ecosystem moving from prototypes to real impact. We’re also spotlighting ventures and independent ecosystem partners led by both majority- and minority-owned businesses, showcasing the diverse founders shaping the future. We’ll be back next month with another spotlight and more progress to share.

Have feedback, suggestions or topics you'd like us to dive into? Email us at: [email protected].