Report: Blockchain game market value may reach $301.5 billion by 2030

Source: Blockchain Knight

A recent report from blockchain analytics firm Nansen claims that the blockchain gaming (GameFi) ecosystem is entering a critical phase of development, with a market cap expected to reach $301.5 billion by 2030.

The decentralized ownership of in-game assets such as fungible and non-fungible tokens (NFTs) will drive this growth, the report states.

The implementation of tokens provides real-world value and economic incentives that traditional gaming platforms cannot match, the report adds.

As a result, Nansen estimates that the industry will grow at a compound annual growth rate (CAGR) of 68% over the next six years.

The report states that despite the volatility of the Crypto asset market, the GameFi industry has shown resilience in August 2024, with daily active wallets growing by 8.94%.

Improvements in blockchain infrastructure, such as increased transaction capacity, lower gas fees, and improved scalability, are helping GameFi projects thrive.

In addition, leading blockchain networks such as opBNB, Ronin, and Immutable have attracted attention from developers and gamers for their balance of speed, cost-effectiveness, and scalability.

GameFi's unique value proposition, where players have true ownership of their in-game assets, is revolutionizing the gaming landscape.

This decentralized structure stands in stark contrast to traditional gaming ecosystems, where the value of in-game achievements remains locked within the platform.

Role-playing games (RPGs) are particularly well suited to a decentralized model because they allow players to own rare in-game items and trade them as NFTs.

RPGs currently account for 22% of all online games and are the most popular genre in the space, followed by action games at 17%.

The GameFi space has also seen the rise of high-quality games, known as AAA games, that feature high production values ​​and immersive gameplay.

While AAA games currently only account for 1% of Web3 games, they are growing faster than traditional Web2 games, indicating that investment is shifting toward blockchain-based games.

Notably, GameFi is the fourth-largest Crypto asset sector in terms of venture capital fund raised, with over $651 million raised, according to Rootdata.

Nansen's report highlights games such as Illuvium, AxieInfinity, and Seraph as examples of Web3 gaming innovation. These games combine high-quality gameplay with decentralized economic systems to provide real-world economic rewards to players.

The report adds that AxieInfinity popularized the "play to earn" model, allowing users to earn income through gaming.

Illuvium and Seraph stand out for their immersive visual environments and strong NFT economies.

The success of these games is due to their in-game economies.

AxieInfinity uses a dual-token system, Smooth Love Potion (SLP) for game rewards and AxieInfinity Shards (AXS) for governance, while Illuvium and Seraph integrate NFTs to enhance gameplay and player engagement.

In addition to gameplay, the report also pointed out that social engagement plays a vital role in the success of Web3 games. Platforms such as X, Discord, and Telegram are important tools for building and maintaining active communities.

AxieInfinity and Seraph are far ahead with strong community engagement, as evidenced by their large number of fans and rapid growth on social platforms.