Following an impressive performance in the first quarter of 2023, the Web3 games industry saw a significant drop in activity throughout the month of April. According to DappRadar data, the blockchain gaming landscape had 546,458 unique active wallets (UAW) as of April 26, down 28% from the previous month.
Volume, or value going into gaming dApps smart contracts, fell by 35% month over month. Despite the lull in the wider market, some gaming dApps continue to gain popularity, as highlighted by DappRadar.
The blockchain game mechanics or backend incorporates blockchain technology. One feature that is promoting the acceptance and application of blockchain technology in games is the ability for players to store objects on the blockchain.
Other players also arrived on the scene. Ultimate Champions, a fantasy soccer game, saw a 255% increase in UAW over the previous week. SecondLive on BNB Chain saw a nearly 50% increase in monthly user base. DappRadar also mentions new games like Terracore and Dungeon Worlds which could gain some traction in the coming days.
According to a previous DappRadar report, Web3 game projects received an investment of $739 million in Q1 2023, an increase of 12.95% over the previous quarter’s investment. The average daily UAW in Q1 2023 was 791,474, down 8.58% from Q4 2022. The report also highlighted signs of bullish growth for the industry, with dominance increasing from 42.87% in Q4 2022 to 45.60% in Q1 2023 .
Another DappRadar study noted Asia’s growing dominance in the global gaming landscape. The Asian market will have 1.7 billion players by 2022, accounting for 55% of the global user base, according to the findings.
East Asian countries such as China, Japan and South Korea dominate the gaming industry, accounting for more than 60% of the world’s top game companies.