2022 Gamefi Industry Annual Review Report

This report is published by GamefiDash with the purpose to review the Gamefi industry trends and changes in 2022. 

The report covers some major metrics of the industry overview, including market cap, transaction, user number and fundraising. It gives you a quick snapshot of the industry movement in 2022. 

If you are a developer, investor or having any interest in the industry, this report is what you should go through and it only takes you around 5 min. 

Report Source:

Market Cap Overview: 

Historic Review: 

• The market of Gamefi started to grow from early 2021 and hit the peak point on Dec. 1, 2021, reaching 36 billion USD of the market cap. 

• With this trend, 2021 was seen as the year of gamefi market explosion and expansion. 

• However, the trend started to shrink soon after the peak. 

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2022 Review:** 

• The overall trend of Gamefi market cap in 2022 was downward, descending from Jan. 2, 30 billion USD on that day. 

• The lowest point in 2022 was Dec. 31 with the market cap of 3.36 billion USD. 

• The loss of the market was 89% in the whole year. 

This data shows the overall market performance of Gamefi, indicating the prices of tokens and NFT were dropping. This is very much in line with the overall Web 3 market trend. 

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Transaction Overview: 

Historic Review (Transaction Volume): 

2021 was seen as the first year of the Gamefi industry. As seen in the market cap, it grew from early 2021 all the way to the year end. The highest point was on Apr. 18 with 3.3 billion USD transaction volume. 

2022 Review (Transaction Volume): 

• The transaction volume in 2022 mostly piled up in the first two quarters with 8.8 billion USD in the first quarter and 2.8 billion USD in the second. The volume decreased to 0.819 and 0.44 billion USD in Q3 and Q4. This trend was also in line with the market cap movement in 2022. 

• The highest daily transaction volume in 2022 was Feb 11 with 0.5444 billion; 

• The lowest daily transaction volume in 2022 was Dec.25 with 0.987 million. The decrease was 99.8% from the highest point to the lowest. 

However, based on the transaction amount as mentioned below, the decreased trend volume may majorly resulted from decreasing token prices instead of the number of transaction activities. 

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Historic Review (Transaction Amount):** **
**The transaction amount, which indicates the level of market activities, has remained at a high level since the middle of 2021 till the end of 2022. This gives a strong confidence to the market that Gamefi is a hot field with lots of attention in 2021. 

2022 Review(Transaction Amount): 

• In the beginning of 2022, the transaction amount was 22.4 million. It was 22.8 million by the end of 2022. 

• This trend remained relatively stable with the lowest transaction amount day was 15.3 million on Aug.9, but it went back to a high level one day after. This may be resulted from the sudden loss of liquidity of Dragonma on Polygon, leading to its token price dropping over 99%. 

• The highest point was on May.28 with 28.8 million transactions. 

• All above data remained higher than that of the day with the highest market cap in 2021 of Apr. 9 with 15.6 million transactions.

The market remained active throughout 2022 the whole year. This can continue to give investors and developers confidence that the gamefi market is highly potential. 

User Number / New Users

Historic Review: 

The total user number reached the peak on Dec.1, 2021 since the beginning of 2021 with 2.58 million users. However, in the beginning of 2021, it was only 27k users. 

The number of new users grew to the highest on Apr. 29 in 2021 and it was the highest in early Jan in 2022.  

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2022 Review:** 

• The day with the most users in 2022 was Jan. 5 with 2.2 million users. Since then, the user number continued to drop and remained between 1.7 million to 0.59 million. 

• The least user day in 2022 was Nov. 19 with 0.593 million users. 

• There were two spikes in user number at the end of September and the end of Dec. These may result from the user growth on Arc8 on Polygon and Ultiverse. 

• However, the transaction per users are rising steadily throughout 2022, from 17.84 transactions per users on Jan. 1 to 30.48 on Dec.31. 

• But on the other side, due to the descending market cap, the transaction volume per user decreased from 60.3USD on Jan. 1 to 1.9USD on Dec. 31, 2022. 

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Number of Games and Investment Trend 

2022 Review: 

• In 2022, the chain with the most users was BNB Chain (145.9 million), followed by Hive (94.6 million) and Polygon (47.8 million); 

• As for new users, BNB still ranked as the first (15.7 million), with Polygon ranking the second (6.96 million) and Ethereum (3.62 million). 

• The funding amount of the whole Web 3 in 2022 was overall downtrend, from 5.89 billion in Jan to 0.671 billion in Dec. 

• The highest funding time was in April, 2022 with 6.68 billion. 

• The number of funding has shown a similar trend as the funding amount in 2022. 

• Jan has seen the most funding cases and Dec has seen the least funding cases. 

Summary

To summarise, 2022 has shown a downward market trend especially in market cap, users number and funding activities in gamefi, compared to 2021. This was widely recognised as a “bear market” of 2022. 

However, there are some positive signals from the market data. For example, transaction total amount remained stable and transaction per users grew by over 70% from the beginning of 2022 to the end of the year. Also, the new user amount spoke at the end of 2022, giving more imagination of 2023 to the whole market. 

As a builder of web3, the team of GamefiDash still strongly believes in the future of gamefi and web 3. Let’s keep our attention and enthusiasm for gamefi and wait for the bull market to come!