The web3 gaming the industry is one of the few sectors seemingly unaffected by the current crypto market conditions, with capital continuing to accumulate in the space – and some industry players are saying this is for good reason.
“The current market environment is funny,” Robby Yung, CEO of Animoca Brands, told TechCrunch. “People tend to link crypto markets to blockchain games and content, but really it’s only as appropriate as linking technology stocks on Nasdaq to the companies of technology companies. There is some correlation, but it is weak.”
While the crypto industry has been in free fall for the past few months, web3 games have remained fairly stable. According to a report by DappRadar x BGA Games, more than 1.15 million daily unique active wallets interacted with blockchain games in May, just 5% less than the previous month.
The number of active users “has nothing to do with the market,” Yung said. “You could say it’s counter-cyclical because as we see with entertainment products, when the economy isn’t that good, there’s more consumption, because people are looking for entertainment,” he added.
While the industry’s future was in question during the 2018 bear market, there has been tremendous validation and progress since then, Yung said. “The rest of the year will definitely be a challenge, but I’m optimistic for the first quarter of next year.”