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Nauk Nauk has raised $20 million to expand its AI video app that turns photos of toys into short animated videos, co-founder Daniel Liu tells Axios.

Why it matters: The company says it's targeting the growing market of "kidults" who want to use technology to indulge their playful side.

The big picture: Nauk Nauk is launching as free AI video-generation options become more limited, creating an opening for specialized consumer apps.