According to a new research by decentralised application (DApp) data aggregator DappRadar, gaming NFTs and metaverse were least harmed by the Luna-Terra fiasco. Notably, the Terra stablecoin failed in May, wiping out over $40 billion in venture capitalist and retail funds. The stablecoin blow exerted intense pressure on the whole cryptocurrency market, beginning with Bitcoin and Ethereum, which had a ripple effect on the remainder of the industry, commonly known as the crypto crash.
Nonetheless, the demand for blockchain games increased by 9.51 percent in the second quarter of 2022. In fact, according to the research, $2.5 billion were spent in blockchain gaming in both Q1 and Q2. “We believe that blockchain gaming will be crucial over the next two to three years and will draw at least 100 million new users to cryptocurrencies for one simple reason: they connect NFTs with DeFi. Skirmantas Januskas, the chief executive officer of DappRadar, stated that the combination of blockchain games, NFTs, and DeFi will result in something truly novel and fascinating.
The DeFi landscape was the vertical most affected by blockchain. DeFi transactions have decreased by 14.81 percent. Since May, the NFT market has experienced a 67 percent fall in trading volume and a 21 percent decline in the number of transactions. The most substantial decline was in May, when transaction volume declined by 67 percent and the number of sales decreased by 21 percent, according to the research.
Moreover, since May, the average number of unique active wallets (UAWs) connecting with various NFT projects has decreased by 24 percent. The silver lining is that despite the setbacks compared to the second quarter of 2021, activity is still up 48 percent.
The survey also suggests that India and Russia have considerable regulatory worries over cryptocurrencies.
“Regulation is rarely welcomed by the cryptocurrency community. Legislation is criticised by many crypto purists as being antithetical to the primary characteristics of cryptocurrency, which include autonomy and decentralisation. Januskas noted that many are concerned that forthcoming regulations will limit the innovation and liberties enjoyed by many in the business.