Gfycat Raises $10 Million to Help Creatives Fire Up the Memes

A startup called Gfycat (which is pronounced “Jiffy Cat”) has raised a mammoth $10 million seed round to turn its already popular user-generated content platform into a revenue generating concern.

On the content creation side of its business, the startup reports that 2.5 million unique users have already created 25 million “Gfycats,” or short, silent, looping animations and video clips.

Gfycat also boasts 75 million monthly active users on the viewer side of its platform, who watch 1.5 billion user-generated GIFs and clips there per month.

CEO and founder Richard Rabbat said the clips are not technically the same as GIFS. Technically, the company’s site is a Webm host that lets people convert videos into short-form, shareable, looping and fast-loading clips.

“My cofounders and I were avid GIF creators but just found them hard to make, slow to upload, and when you shared them, the quality wasn’t very good. We wanted to make it easier to upload a video, say this is the part I want to turn into a GIF and then to share it,” he explained.

Gfycat is already ranked as a top 100 site in the U.S. by Alexa, however it is not yet generating revenue. A repeat media entrepreneur, Rabbat started the company formally with Dan McEleney and Jeff Harris in 2015.