Web3 Gaming Set to Triple Crypto Users as GameFi Investment Shifts to Sustainability and Altcoin Opportunities Grow
Blockchain gaming is undergoing significant changes in 2025. In April, daily active users dropped below 5 million—the lowest so far this year—marking a 10% decline and signaling a sharp shift in user engagement. The market share of blockchain gaming within the decentralized app sector has fallen to 21%, now on par with DeFi, while artificial intelligence dApps are rising in prominence. Investment in blockchain gaming has also decreased, with April funding down 69% from the previous month, reflecting investor prioritization of sustainable business models and user retention over token speculation. Despite the downturn, prominent funds remain active, supporting projects like Wildcard, XAI Network, and Proof of Play.
Major traditional gaming companies continue to experiment with blockchain adoption. Examples include Sega’s NFT release and Ubisoft’s development of a blockchain-based Might & Magic card game, while Square Enix has withdrawn from some NFT initiatives after underperformance. Industry experts emphasize a pivot towards partnering with web3-native teams and improving player retention and game quality.
Amid this correction, industry voices like ImmutableX’s Robbie Ferguson predict Web3 gaming could triple the crypto sector’s daily active users, highlighting the vast potential of integrating tokenized gaming assets with the $178 billion global gaming industry. Milestones such as booming in-game asset markets and successful NFT marketplaces point to growing tokenization in games. Notable new project launches, including Nexpace ($NXPC) on Binance, SUBBD Token ($SUBBD), BTC Bull Token ($BTCBULL), and ongoing activity from Dogecoin ($DOGE), demonstrate sustained investor interest in the GameFi and altcoin spaces. Traders are advised to closely monitor both presale and established tokens as the maturing sector may present expanding opportunities, with weaker projects likely to be eliminated and healthier, scalable platforms potentially emerging.
Bullish
The combined news reflects short-term challenges for blockchain gaming, including a drop in daily users and decreased funding, which suggests ongoing market correction and project shakeouts. However, new industry perspectives and continued activity from major funds and traditional gaming publishers indicate confidence in long-term sector growth. With projections that Web3 gaming could triple crypto sector user numbers and substantial new investment and project launches (such as $NXPC, $SUBBD, $BTCBULL, and sustained DOGE interest), there is mounting evidence that investor appetite is returning as platforms focus on sustainability and player retention. For traders, this environment presents bullish potential for both established and emerging GameFi and altcoin projects, especially as the market transitions towards higher quality and more scalable blockchain gaming ecosystems.