Blockchain Games Are Less Affected By Market Chaos
The bear market eliminates the unnecessary and allows legitimate projects to stand out but also cripples investors’ portfolios, both large and small. The ongoing market conditions are no different. But one vertical where market participants remain optimistic is – blockchain games and metaverse projects.
As reported by DappRadar, blockchain games weathered the next bear market and instead increased their numbers by 9.51% in the second quarter of the year. In fact, $2.5 billion was invested in both Q1 and Q2.
June will go down in history as the worst month for the industry, and even the blockchain gaming space is finding it difficult to sign up for the lowest monthly investment of just $500 million. Weighing in on the latest metrics, DappRadar CEO Skirmantas Januskas commented:
“We think that blockchain gaming is going to be key in the next two or three years and is going to bring at least 100 million new users into crypto, for one simple reason, they connect NFTs and DeFi. With all three combined, blockchain gaming, NFTs and DeFi you will see something genuinely new and exciting.”
The report highlights a 7% drop in user wallet activity (UAW) since Q1. This essentially indicates that users continue to interact with decentralized applications at roughly the same rate. like before Terra fell.
At the same time, the number of game-related NFT transactions has increased by 51% since Q1. Sales have also fallen 82%.
Besides, the total number of transactions sent to smart contracts in the gaming sector is much higher than that of other categories such as DeFi, gambling, exchanges, and markets. Throughout this month, in-game transactions have managed to stay above 24 million per day.
DappRadar revealed that Solana has attracted many NFTs and game developers. This trend can be attributed to low-cost transactions and efficient processing speeds. Despite numerous network crashes, blockchain activity has grown by a staggering 311%.
Thanks to its “vibrant gaming community”, WAX has also gained considerable traction. Since May, its blockchain activity has increased by 6%.
Demographically, Decentraland is most popular in North America, as well as in countries like Austria, Germany, Iceland, Latvia, and Lichtenstein. On the other hand, Axie Infinity has managed to attract users in Central and South American countries.
Meanwhile, Sandbox has gained popularity in China. The fantasy football game, Sorare has found a foothold in countries such as France, Italy, and Switzerland, as well as with many football fans across Europe.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
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