The GameFi applications and projects around the world have seen a good boost in popularity this year. This can be attributed to the excellent user experience they offer and also the reduced transaction costs. The research arm of the crypto exchange platform, Huobi, also confirmed these findings. A Huobi report released recently said that the increased blockchain gaming interest is primarily due to the GameFi initiatives. What GameFi does is apply the concepts of blockchain gaming and decentralized finance (DeFi) to provide a play-to-earn gaming experience to the users.
The Huobi report said that many blockchain games such as CryptoKitties saw a good number of daily transactions (180,000) and active users (140,000) in November 2017. However, the game ended up losing most of its users within a few months. Games like these had problems regarding simplistic entertainment, singular models, and a poor user experience. The GameFi sector had a full-fledged return this year. According to Huobi Research, there has been a sudden surge in interest in the GameFi efforts from June of this year. This was majorly due to the integration of play-to-earn aspects and non-fungible tokens (NFTs) in the games. It has been found that the popular play-to-earn game Axie Infinity has surpassed the record $9.72 single-day sale of Tencent.
According to the decentralized applications (DApps) rankings, around 5 of the top 9 DApps are GameFi applications. As of December 2021, the weekly active users of GameFi have also reached a record high of 9.21 million. The Huobi Research team says that the major aspect driving the GameFi industry is the transaction costs. In order to remain on the top, the applications have to provide the people with a system with the least transaction costs.
