This crypto sector has remained resilient in the face of FTX’s implosion, according to DappRadar

As the demise of FTX continues to push crypto markets deeper into red territory, DappRadar says one sector of the industry remains largely unaffected by the turmoil.

In a new report, the data collection and analytics firm says the blockchain gaming sector continues to be a driving force for the decentralized application (DApp) industry.

“In October and November, gaming activity accounted for nearly half of all blockchain activity tracked by DappRadar across 50 networks, with 800,875 daily Unique Active Wallets (UAW) interacting with gaming smart contracts in November.”

When FTX, formerly the second largest exchange platform in the industry, filed for bankruptcy in November, DappRadar says blockchain games raised over $320 million.

During this period, the average daily unique active wallet in the Web3 gaming sector fell by only 12%, reaching 800,875.

“In November, despite the FTX collapse, blockchain gaming activity was resilient… It remains the most important part of the industry, accounting for 42.67% of all blockchain activity. The decline in dominance is driven by the rise of DeFi [decentralized finance] sector in the middle of the FTX meltdown.”

The report says that 2022 saw an influx of partnerships and investments in blockchain games, noting that the month of September marked a low year.

“We are observing an upward trend for blockchain game investment. September was the lowest month for blockchain game investment, and the value flowing into startups and promising projects continued to increase from there.”

As for why the sector didn’t bounce back against the backdrop of the FTX implosion, DappRadar says that those entering the crypto space through gaming or NFT channels have little interest in the fallen centralized exchange.

“Unless their tokens were held in FTX, which is unlikely given that most blockchain games have internal marketplaces and staking options for their players, meaning tokens must be held in a blockchain wallet. Without even realizing it , players may have learned the toughest Web3 lesson: not your keys, not your crypto.”

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered straight to your inbox

Check price action

Follow us on TwitterFacebook and Telegram

Surf The Daily Hodl Mix

Check the latest news headlines


Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and trades are at your own risk and any losses you incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured image: Shutterstock/Golden Wind/Sensektor

Leave a Reply

Your email address will not be published. Required fields are marked *