- The DApp industry sees a significant uptick of 17% month-over-month as Daily Unique Active Wallets reach 2 million.
- On-chain gaming daily unique active wallets rose by 6% in August 2023 from the previous month.
- The blockchain gaming sector is set to generate up to $600 billion by 2030, with on-chain gaming at the forefront, with a target between $65 and $90 billion in the same period.
On-chain games are the true definition of how blockchain technology can be incorporated into gaming systems seamlessly. Everything is stored in distributed ledgers on a blockchain network, from gaming assets virtual economies to all the games’ data.
The games’ primary logic is also implemented by smart contracts, allowing for the complete decentralization of the games and increased gaming transparency.
According to BanklessTimes.com, on-chain gaming reigns supreme in the DApp world with almost 40% dominance.
The site’s financial analyst, Alice Leetham, comments:
BanklessTimes Crypto expert, Alice LeethamThe recent rise in daily active users and the early dominance in the DApp landscape is only the beginning for this promising industry. With substantial investments on track and a growing consumer market, these games will be sure to dominate our entire gaming consoles in the coming years.
Overview of On-chain Gaming
As it is, the total gaming market is expected to hit $187.7 billion by the end of 2023, with over $ 3 billion coming from Blockchain gaming.
In Q1 ’23, the on-chain games accounted for nearly 46% of all DApp activity, and by Q3’23, the daily active wallets of on-chain games had risen to 786,766. Not to mention, Axie Infinity and Gods Unchained, popular on-chain games, led in transaction volumes in the Web 3 space in Q3 23. Axie Infinity’s transaction volumes hit about $ 90 million, and Gods Unchained raked in $55 million.
Notably, Wax and Polygon platforms also saw huge success at the start of 2023. Wax was ranked the first most active gaming blockchain with nearly 315000 dUAW in March. Polygon followed with about 140000 daily active wallets, Planet IX controlling most of its on-chain activity.
Consequently, all casual game platforms accounted for about 10% of all on-chain gaming activity by August 2023.
Challenges of on-chain games
Firstly, most on-chain games lack speed and scalability compared to other games. While smart contracts ensure gamers’ privacy and maintain game decentralization, they limit what’s possible in game design. Regrettably, smart contracts can’t handle fast-paced games such as MOBA and RTS, making developers turn to more strategic games rather than fast-paced ones.
On-chain games are still new in the DApp industry, so many must familiarize themselves with how they work. Some users find it hard to come to terms with the complexities of Blockchain technology, while some remain hesitant due to security concerns.
While on-chain games may have started solely as experiments with new technologies, they’re on a path to revolutionizing the entire gaming industry and monetization models. On-chain shows much potential and may dominate the whole Web 3 space.
