Blockchain gaming is still on the move despite the current market activity.
Investment Opportunity
Blockchain gaming is doing well even with the current bear market conditions still around, even though the crypto industry as a whole is taking hit by hit as hacks, exploits and loss of valuation continue to plague the sector. That being said there is still a robust amount of investment going on in the sector during this third quarter. Long-term value proposition seems to be the driving factor for that investment as investors look to projects that will provide larger returns in the future, one such investment would be the investment into web3 and blockchain gaming.
Game On!
The gaming industry is a multi-billion dollar industry yearly with games such as Final Fantasy, Destiny, League of Legends, Overwatch, Fortnite, Roblox and more bringing in billions per quarter. The blockchain gaming industry saw its meteoric push with the invention of play-to-earn games and now as the space evolves into producing games that are focused more on gameplay and less on the token grind it would seem the time is right to invest and build.
Blockchain games and projects that build on the metaverse have collectively raised a total of $1.3 billion in recent venture capital between the months of July and September. That number does not seem to be slowing as more investors have their interest caught by the tech each day. The figure is still down from what it was earlier this year but a stark 48% over the amount around this time last year. According to a blockchain games report on DappRadar.
The report also stated a growth in the number of active wallets by 8% month over month and that nearly half of all blockchain activity across 50 networks had something to do with web3 games. There were may factors to this. Gameta, a new web3 gaming platform with many mini games to play and earn. The platform has become the most used dapp in September, surpassing PancakeSwap as it had 1.33 million unique wallets this past month alone. Animoca Brands produced a game , Benji Bananas, which saw a P2E gaming tournament produce in-game NFT prizes for winners and raise active wallets by 2,400%. Move NFT platforms Stepn and Sweat Economy have seen massive growth as Sweat Economy recently sold out its entire 10,000 collection and Stepn prepares for iOS and Android deployment.
Gamers vs Investors
While all of this is good news for web3 and the investors there is still the monumental task of getting casual gamers excited about the new technology and way of playing games. Currently only 12% of all gamers that are not into crypto have been said to have even tried web3 gaming with only 15% of that group even showing an interest in the future of the technology. The fact remains that currently gamers are just not into the idea of web3 and blockchain gaming.
This information has not stopped investors from continuing to pump funds into the sector. According to research done by Cointelegraph 42% of individual funding deals in this second quarter and 7/10 of the top 10 most active VCs have web3 as a top sector for investment, there is a clear difference between the investor and the gamer for sure but the belief is as time goes on that will eventually even itself out.
A Sure Thing
It is not clear at this moment if blockchain gaming will ever catch on but some of the ideas and methods may. The truth is investments are continuing to flow into the sector so there is the belief that there is definitely the potential for the sector to become something big, even the next amazing opportunity. As time continues to fly by and more projects continue to come out it would seem the one sector driving web3 and the adoption of the blockchain is that of gaming.
