Crypto Winter, also known as a bear market, is no longer happening, it is here. However, the broader blockchain gaming space remains resilient amid growing interest in so-called prize-winning games and land sales for the metaverse.
According to the latest BGA Blockchain Game Report from analytics site DappRadar, an average of 1.15 million daily UAWs interacted with blockchain games in May. However, the figure was 5% lower than the previous month.
Braving the crypto trend in winter, blockchain games have cemented their status as the vertical best navigating bear season. The report further notes that gaming macro indicators signal a bullish scenario for the blockchain gaming ecosystem as gaming dApps now represent 52% of total dApp industry activity.
This was in addition to the new $1.4 billion pumped into Web3 games and associated metaverse infrastructure in May alone. The other notable investment was the $725 million that Dapper Labs raised to further expand the Flow ecosystem.
Cryptocurrency market cap has fallen below $1 trillion for the first time since 2020 – and in hindsight, some of the big names in the crypto industry have taken painful layoffs. Similarly, activity in the dapps industry fell to its lowest point since last September, with 2.22 million daily unique active portfolios (UAWs).
The play-to-earn gaming metaverse also continues to attract massive investment, and on-chain stats and macro events point to positive prospects for the blockchain gaming industry.
According to the DappRadar x BGA Blockchain Games report for May 2022, Splinterlands maintains its position as the best blockchain game with 350,000 daily UAWs in May, while taking a big step towards decentralization.
The report says Illuvium generated $72 million from its initial land sale, demonstrating the benefits of Layer2 solutions such as Immutable. Despite unfavorable market conditions, the game developers managed to sell the first lots in the game.
Gaming Growth Resists Crypto Bear Market
Another notable milestone was reserved for STEPN, which registered 2 million monthly users as the move-to-earn (M2E) paradigm continues to add sports enthusiasts. As the name suggests, M2E allows users to earn token rewards based on their physical activity.
Along the same lines, Splinterlands was the industry’s most-played blockchain game by on-chain activity, with 350,000 daily UAWs, down just 4% from April’s numbers.
In addition, the report states that Galaverse is unveiling major plans for the Gala ecosystem, including GRIT, Project Saturn, and major updates to TWD Empires and Mirandus.
Axie Infinity, the most played blockchain game ever based on off-chain activity. still feeling the repercussions of hacking into the Ronin’s bridge. Axie’s on-chain activity is down -39% from April, but is still 55% higher than in May 2021.
“Blockchain gaming is proving to be a real survivor during this bear market. We’re about to finally see quite a few blockchain games with truly immersive gameplay mechanics that take entertainment to the next level. We will complete the transition from play to win to play and win,” the report concludes.
Developed in partnership with the Blockchain Game Alliance (BGA), the Blockchain Games Report #5 outlines the factors driving the blockchain ecosystem, using statistics and data to understand the latest trends. The report summarizes various market scenarios to provide a basic overview of the market related to DeFi, NFTs, gaming and everything in between.