GameFi Continues to Grow Despite Crypto Winter: DappRadar Report

Blockchain gaming is the subject of the latest DappRadar x BGA Games Report #5, post Tuesday. The report looks at healthy ecosystems and investments entering the GameFi and Metaverse markets.

Several projects are detailed in the report, outlining their continued success and development. Splinterlands, Illuvium, Galaverse and STEPN continue to bring new players to their platforms, reap financial benefits and expand their businesses.

DappRadar claims that a common theme among many of these popular projects is the underlying utilities provided by the gaming aspect itself. GameFi and Metaverse projects have started to use non-fungible tokens (NFTs) and crypto tokens in ways other than purely speculative – one example is the NFT shoes in the STEPN move-to-earn (M2E) project, which can be found in the STEPN metaverse, In addition to the exercise aspect of the game, it may also provide some incentive.

The report notes that the game itself is at least partially demonstrating utility in the context of the metaverse in Q2 2022. As Bitcoin fell in early June, blockchain game Illuvium sold 20,000 parcels of land, generating 4,018 ether (Ethereum) for its developer, valued at $72 million at the time of sale. The report shows that Splinterlands has had 350,000 daily unique active wallets (UAWs) since May, a slight decrease of 4% from April.

Investments also continue to pour into the space. A16z and Dapper Labs invested $1.3B in GameFI and metaverse technologies, seemingly indicating continued interest and support from venture capital. Decentralized blockchain Flow also received a $725 million investment from Dapper Labs to support its Metaverse-related initiatives such as NBA Top Shots.

Metaverse related technologies Seems to be still in incubation period and may have long road ahead. Interoperability Issues, Security Issues, Legal Clarity, Use and Misusemarket instability and Poor market sentiment All of these remain major barriers to young technology.