Blockchain Games Least Affected by Market Turmoil: DappRadar Report

The bear market weeds out unnecessary frills and enables legitimate projects to stand out, but also cripples portfolios of investors, both large and small. Current market conditions are no different. But one vertical that market participants remain bullish on is – blockchain games and metaverse projects.

Winning in the Bear Market

According to DappRadar’s report, blockchain games have bypassed the subsequent 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 felt the pain by recording the lowest monthly investment at just $500 million. With an emphasis on the latest numbers, DappRadar CEO Skirmantas Januskas commented,

“We believe that blockchain games are going to be key in the next two or three years and are 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 games, NFTs and DeFi, you will see something genuinely new and exciting.”

The report highlighted a 7% decline in users’ wallet (UAW) activity since Q1. This essentially indicated that users continue to engage with blockchain decentralized applications at roughly the same rate as before the Terra implosion. At the same time, the amount of gaming-associated NFT transactions has gained 51% since Q1. Sales volume has also fallen by 82%.

Also, the total number of transactions sent to smart contracts in the gaming sector is far higher than other categories such as DeFi, gambling, exchanges and marketplaces. Also throughout this month, transactions in games have managed to stay above 24 million per day.

Attractive blockchain for developers?

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 several network outages, blockchain activity has increased by an astonishing 311%.

Due to its “vibrant gaming community”, WAX has also seen significant traction. Since May, blockchain activity has grown by 6%.

Demographically, Decentraland is most popular in North America, as well as in countries such as Austria, Germany, Iceland, Latvia and Lichtenstein. Axie Infinity, on the other hand, has managed to attract users in Central and South American countries. Meanwhile, Sandbox has gained popularity in China. The fantasy football game, Sorare, has gained a foothold in countries such as France, Italy and Switzerland, as with many football fans across Europe.