December 16, 2022, 10:05AM EST
• 9 min read
2022 Review of Web3 Gaming
- This is a section from The Block Research’s upcoming 2023 Digital Assets Outlook report.
- The GameFi market experienced a tumultuous year along with the broader market as its market cap fell 79% year-to-date to $5.2 billion from $24.5 billion early this year.
- Web3 games have yet to prove market-proof as they suffered from user retention and token price crashes. They have also undergone unsuccessful rebrand attempts from play-to-earn to play-and-earn, play-to-own, and free-to-own.
- In response to the drawdown of the GameFi market, several big guilds decided to shift their business model from scholarship providers to something more sustainable, forcing them to seek alternative sources of revenue.