If you’re one of the million individuals who tunes into HQTrivia’s twice-a-day live shows, then your pockets will feel heavy knowing the addictive app just raised $15 million. If you’re furrowing your brow, wondering what all the fuss is about: HQTrivia is the reason your co-workers all mysteriously sneak off for a “phone call” at 3 p.m. EST.
Since its roll-out in June 2017, HQTrivia has managed to raise one of the most loyal followings on the Internet. Once in the afternoon and once again in the evening, the otherwise benign app transforms into a live game show, where anyone (over the age of 13) can participate to win actual cash money. The show maintains a surprising level of difficulty by asking extremely obscure questions that often require more guesswork than brainpower. As a result, players have become, um, outlandishly excited about winnings as meager as $11.
Obtaining the $15 million, however, took slightly longer than HQTrivia’s 15-minute shows. Reportedly, the app has been attempting to secure funding for several months. In November, rumors began circulating that founders Colin Kroll and Rus Yusupov (who also co-founded Vine) were seeking as much as a $100 million investment in their company. However, the pair was met with multiple setbacks and offer withdrawals after potential investors learned of Kroll’s allegedly misconduct-addled past at Twitter. While such allegations are not substantiated by any official investigation, the hearsay was enough to leave at least two investors turning the other cheek.
Despite these roadblocks, HQTrivia managed to pull off a $15 million fundraising, led by Founders Fund. The investment was spearheaded by Cyan Banister, who will also be joining the HQTrivia board. Previously, Founders Fund has helped pave the way for companies like Stash, Postmates and Hubble Contacts, putting the HQ team in good company.
Because the app is free to play and regularly dishes out cash prizes in the multi-thousand dollar range, fans often question how such a company turns a profit. While the HQ team has not directly commented on their financial strategy, that have noted the fact that they do not pay for any advertising — not even their 15-second Super Bowl commercial (a $3.5 million value). While it remains opaque how HQTrivia plans to use the $15 million, it at least solves the long-standing riddle of how the overwhelmingly popular app will keep the lights on in the months to come.
