After a rough year, blockchain gaming sees a glimmer of hope

Blockchain gaming projects have struggled to attract funding this year compared to 2024, but analysts argue there’s a sliver of hope as studios release new games aimed at tapping into the mainstream gaming audience. 

In Q3, the blockchain gaming industry saw $129 million of venture capital flow in, its strongest quarter this year, bringing the total for the year so far to $293 million. 

However, the total is only a fraction compared to last year. In 2024, DappRadar recorded over $1.8 billion flowing into the blockchain gaming industry, and 2025 is so far on track to only attract 25% of the previous year’s total.

DappRadar’s head of content, Robert Hoogendoorn, said the recent Q3 uptick was also likely influenced by a surge in the wider crypto market. 

“That shimmer of success can’t be seen separate from the general crypto market. The past few months have been a period of growth, mainly for Bitcoin,” he said in the State of Blockchain Gaming Q3 report released on Thursday. 

Investors are more discerning

Hoogendoorn said this “means that development teams can no longer rely on half-assed products to acquire funding.”

“Instead, they need to show a working product and create actual demand. Venture capital still flows, but not every shiny new idea gets the chance to flourish.”

In March, Sky Mavis co-founder Jeffrey Zirlin shared a similar opinion, telling Cointelegraph that crypto gaming investors are no longer blindly throwing funds into “Axie killers” that fail to deliver.