How an eSports Startup Raised $20M by Outmaneuvering the AI Trend

Lucra Sports, a company developing a platform for hosting online tournaments and branded gaming competitions, announced the closing of its $20 million Series B round. The lead investor was ARK Invest, managed by Cathie Wood, despite the fund's prior negative experience in the eSports sector. Other venture capital firms also participated in the round.

Lucra’s founder and CEO, Dylan Robbins, shared the secrets behind attracting major investors at a time when the venture capital market is almost entirely focused on artificial intelligence projects. The first success factor he highlighted was personal connections: his chance meeting with an ARK Invest representative at a bar, where Robbins was playing darts, later evolved into an investment during the Series A round.

The second key element was adapting the pitch to current trends. In late 2025, when AI became the primary focus for venture funds, Robbins faced rejections even before presenting. He then revamped his pitch, starting with a discussion on AI’s role: if artificial intelligence truly frees up people’s time, demand for interactive entertainment will surge. Conversely, if AI fails to meet expectations, investments in non-AI projects could serve as a prudent diversification strategy.

This approach worked: ARK Invest took interest and helped attract other investors. Robbins also emphasized that the success was underpinned by steady business growth and a clear market vision. He estimates Lucra’s potential audience includes nearly all active gamers, from board game enthusiasts to mobile app users.