The blockchain gaming sector has received investments of $534m between October and November this year, and gaming continues to account for almost half of all blockchain activity, a new report has found.
The report, written by Web3 research firm DappRadar, said the blockchain gaming sector – sometimes also referred to as the GameFi or Metaverse sector – has seen lower activity since June of this year. But despite this, the sector has managed to raise an impressive amount of money, proving itself as “resilient.”
Solana-based games take a hit
In terms of usage, blockchain games had an average of 800,875 Unique Active Wallets (UAW) interacting with the various games’ smart contracts in November, DappRadar’s report said.
The report added that among the blockchains typically used for gaming, Solana (SOL) has taken the biggest hit in November, with usage down by 89.4% to an average of 2,326 daily unique wallets.
The drop in activity on Solana is believed to have come as a result of what the market sees as ties between Solana and FTX founder Sam Bankman-Fried. Overall, however, DappRadar’s report made it clear that impact of the FTX collapse on the blockchain gaming space has been “minimal.”
The most popular games in the space were Alien World and Splinterlands, with more than 225,000 and 151,000 daily UAW, respectively, registered in September.
In-game NFT market
The blockchain gaming market is to a certain extent also connected to the NFT market, with many NFTs being used for various purposes within games.
According to DappRadar, the total trading volume for in-game NFTs in October and November reached $55m. Among the many NFT collections used in games, the Gods Unchained NFT collection was by far the most popular in October and November, accounting for 64.25% of the total market.
Is the bottom in?
With the entire sector having been in a downtrend since June this year, early optimists are starting to look for a bottom in the market.
In October and November, sales volume and sales count painted a mixed picture for the road forward, with October showing some rising optimism in the form of increased sales count, while November recorded a sharp decline of 47%.
Overall, DappRadar noted that the FTX situation “didn’t help” the blockchain gaming market, especially given the perceived ties between Solana and Sam Bankman-Fried. Despite this, however, the sector is still raining an impressive amount of capital, having already raised more than $2bn this year.
“Blockchain gaming’s future is bright, and it is on track to become the frontrunner for Web3,” the report concluded.