The blockchain gaming sector, which encompasses video games built on blockchain and utilizing NFTs, amassed a hefty $297 million in July investments, based on findings from DappRadar and the Blockchain Game Alliance, as per Decrypt’s report. This industry growth indicates a sharp rise compared to June’s $68 million, especially significant against a sluggish phase in metaverse NFT sales.
Interestingly, 63% of the July funds were channeled into infrastructure development, emphasizing the industry’s nascent nature. The primary focus seems to be on laying down robust platforms and tools to serve as the backbone for future games incorporating crypto and NFT elements.
Speculations Around June-July Disparity
The drastic difference between the investments in June and July has raised eyebrows. Some argue that the subdued activity in June might be attributed to the uncertainty sown by the U.S. Securities and Exchange Commission’s (SEC) attention on major players like Binance and Coinbase. However, Bitkraft Ventures’ Carlos Pereira suggests caution against reading too much into this variance.
Highlighting the erratic nature of the data, Pereira commented, “Such big deals often take weeks to finalize, easily spilling over from one month to another.”
Further dispelling concerns around June’s dip, it’s noteworthy that from March to May 2023, the sector consistently raked in over $400 million each month.
Significant Players and Deals in July
Several significant financial moves in the gaming arena marked July. For instance, Animoca Brands channeled $30 million into the crypto-based Hi app. Another highlight was Inworld AI, an artificial intelligence firm, which secured over $50 million to enhance the intelligence of in-game characters. Additionally, Valhalla Ventures launched a massive $66 million fund dedicated to gaming and tech, while Futureverse accumulated $54 million for their crypto metaverse projects.