According to a recent report by DappRadar and BGA, the third quarter of 2024 saw many highlights for the blockchain gaming industry. While the market showed fluctuations, continued innovation within the industry reaffirmed confidence in its long-term potential. Blockchain gaming remained at the forefront, accounting for 26% of all decentralized application (dapp) activity, driven by a surge in unique active wallets. With new projects and infrastructure developments underway, the sector is gearing up for substantial advancements in the coming months.

DappRadar and BGA Games Report for Q3 2024

Blockchain Gaming Overview

Q3 2024 witnessed significant growth in the web3 gaming landscape, with daily unique active wallets (dUAW) reaching 17.2 million—a 70% increase over the previous quarter. Blockchain gaming contributed notably to this surge, with its dUAW climbing to 4.4 million, reflecting a 21% rise from Q2 2024. This growth emphasized the role of gaming in the web3 ecosystem, although competition from emerging AI-driven dapps is becoming increasingly apparent.

Industry UAW 

The Ronin Network led the blockchain gaming sector in terms of active wallets, growing by 34% to reach 1.07 million. This kept it ahead of opBNB, which experienced an impressive 408% increase to 462,000 wallets, and Saakuru Verse Oasys, which grew a remarkable 4,711% to 382,000 active wallets. The substantial growth seen across multiple networks signals a competitive market environment that continues to evolve.

Top Gaming Blockchains

Top Web3 Games and NFT Collections

Several prominent web3 gaming titles maintained their dominance, while new releases captured significant attention during Q3 2024:

1. World of Dypians: Built on Ethereum and BNB Chain, this MMORPG attracted over 500,000 players in its expansive 2,000 square kilometer metaverse. With play-to-earn (P2E) mechanics, non-fungible token (NFT) integration, and AI-driven interactions, it stood out as a rapidly growing title.
2. SERAPH: In The Darkness: Launched in Q3 2024, this action RPG gained traction with its dark-themed environments and blockchain-based asset ownership. Its dynamic gameplay appealed to players seeking decentralized gaming experiences.
3. Lumiterra: A new MMO focused on world-building and player-versus-player (PvP) combat, Lumiterra featured decentralized ownership of in-game assets, which drew a growing community looking for immersive gameplay.
4. Catizen: Built on the TON blockchain, this game became popular through the Telegram mini-game trend, allowing players to nurture NFT cat characters and engage in various mini-games.

Established NFT gaming collections also performed well. Guild of Guardians continued to be a key player, while Gods Unchained retained its prominence in the NFT gaming scene. Additionally, Illuvium Land gained attention, appealing to landowners within its ecosystem.

Top Web3 Games

Metaverse Sees 26% Rise in Sales

The metaverse sector, despite experiencing a decline in public interest, maintained its appeal for future investments. In Q3 2024, metaverse-related NFT collections saw $14 million in trading volume from around 78,000 sales—a 67% drop in volume but a 26% rise in the number of sales. This trend indicated that while prices decreased, demand remained consistent.

Leading the metaverse space, Mocaverse held a 42% share of total trading volume, showcasing its continued market strength. The sector's mixed performance highlighted the evolving dynamics as developers work to build the infrastructure for more expansive metaverse experiences.

Metaverse NFT Trading Volume and Sales

Over $110 Million Invested During Q3 2024

Q3 2024 saw a significant downturn in investments, with total funding dropping to $110 million—a 90% decrease from the previous quarter's $1.1 billion. This change reflected a quieter market environment, yet development in web3 gaming continued, particularly in infrastructure projects aimed at scaling the ecosystem.

Notable investments included:

1. NPC Labs: Raised $18 million in a round led by Pantera Capital, focusing on web3 game discovery and developer support across multiple blockchain networks.
2. Gameplay Galaxy: Secured $11.17 million in a seed extension round, boosting its valuation to $71 million. The company aims to expand its gaming markets and explore partnerships with major brands.
3. Double jump.tokyo: This Japanese game developer raised over $10 million in Series D funding, with plans to develop blockchain games, enhance infrastructure, and expand its talent pool. The company has partnered with major industry players like Ubisoft and Square Enix.

Investments in Web3 Gaming and Metaverse Projects

Outlook for Q4 2024

As the final quarter of 2024 approaches, web3 gaming is expected to continue prioritizing infrastructure development to support the anticipated growth in user numbers. Ongoing projects and investments signal a promising future, with new gaming models and decentralized ecosystems poised to meet the evolving needs of the market.

With the blockchain gaming sector contributing significantly to overall dapp activity and emerging trends like AI-driven dapps gaining traction, the web3 industry remains at a transformative stage. The next phase will likely see advancements in gaming technology, increased user engagement, and further integration of NFTs and metaverse features, shaping the future of decentralized entertainment.

Where are the Web3 Gaming and Metaverse Investments Going?

Final Thoughts

Q3 2024 underscored the dynamic nature of web3 gaming, where growth opportunities and challenges coexist. While investments saw a sharp decline, ongoing development efforts, and innovative projects kept the sector resilient. With promising games driving user engagement and infrastructure projects laying the groundwork for future scalability, the web3 gaming industry is set to continue its evolution into a dominant force within the digital landscape. As the year progresses, the advancements made in the final quarter of 2024 will play a crucial role in shaping the long-term prospects of blockchain gaming, the metaverse, and the broader web3 ecosystem.

Source: DappRadar and BGA