Web3 Games and Metaverse Projects Raised $748 Million in August (Report)
According to a report by the data acquisition and analysis company DappRadar, Web3-based games and Metaverse projects raised $748 million since August 1, 2022. Last month, on average, 847,000 daily Unique Active Wallets (UAW) interacted with blockchain games, an 11% decline compared to July.
One of the most popular games in the field – Axie Infinity – surpassed $4 billion in all-time NFT sales, while approximately 36,000 additional people joined as daily players in the past three months.
‘Blockchain Gaming has not yet Lost its Mystery’
Despite the ongoing market downturn, blockchain-based games keep attracting interest. DappRadar revealed that companies in that field and Metaverse projects had distributed around $750 million since the beginning of August. That is a 135% increase compared to July but still a 16% decrease from June’s figures.
One of the biggest investments ($200 million) came from Gabriel Leydon – Founder of Machine Zone. His mobile gaming studio is behind Game of War and Mobile Strike.
The Singaporean investment company – Temasek – led the latest funding round worth $100 million for Animoca Brands with the purpose to further increasing its exposure in the sector.
The Australian NFT scaling platform – Immutable, which in June raised $500 million to support developers that build blockchain-based games and NFT startups, believes Web3 services will become a leading feature in the future digital asset industry.
For its part, another popular company in the field – Axie Infinity – exceeded $4 billion in all-time NFT sales, while Xterio secured a $40 million fundraiser, which will be invested in mobile Web3 games.
Total investments in blockchain games in 2021 equaled $4 billion. This number has already been surpassed in 2022 as investments currently amount to about $7 billion. If that pace remains, expectations are that the number will soar to $10.2 billion by the end of 2022.
“The amount of investments demonstrates that despite the challenging and uncertain conditions in the digital asset markets, major investment entities remain bullish on the GameFi industry,” DappRadar stated.
Subsequently, the analysis company argued that blockchain gaming is still a young sector with much potential. The area is “constantly developing and inventing,” and those who are part of it see those advancements.
“Blockchain gaming, the newest addition to a still young sector, has not yet lost its mystery. Many are still unaware of its significance, and the ever-changing gaming ecosystem provides little assistance,” the report concluded.
DappRadar’s Previous Study
At the end of July this year, the firm determined that blockchain games and Metaverse projects seem to be coping with the crypto winter much better than other industry segments. DappRadar’s CEO – Skirmantas Januskas – commented at the time:
“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 informed that unique active wallets (UAWs) have declined by 7% in Q2 compared to the previous quarter. This indicated that individuals continued to interact with blockchain decentralized applications at almost the same rate as before the Terra collapse.
I’m a journalist who specializes in investigative reporting and writing. I have written for the New York Times and other publications.