Crypto gaming interest drops in April, overall ecosystem healthier: DappRadar

Blockchain gaming user activity dipped and funding slowed in April, but the overall ecosystem is healthier and maturing, according to blockchain analytics platform DappRadar.

User activity dropped 10% over April, with blockchain gaming reaching a 2025 low of 4.8 million daily Unique Active Wallets, DappRadar analyst Sara Gherghelas said in the platform’s April Games Report.

Gaming dominance over the decentralized app industry also fell and is now tied with decentralized finance at 21%. 

Gherghelas said it’s clear user attention is shifting away from gaming, but under the surface, new infrastructure went live, major publishers doubled down, and high-quality games edged closer to launch.

“The blockchain gaming industry isn’t dead — it’s evolving. It’s moving from noise to signal,” she said.

“Teams are building, and capital continues to flow into the space. What we might be seeing is a healthier ecosystem — one driven less by speculative play-to-earn mechanics and more by users who have a genuine interest in gameplay, asset ownership and community.”

April’s blockchain gaming investment activity also dropped 69% from March, reaching $21 million.

Weaker projects die off, funds shift to builders

Gherghelas said part of the drop is because investor and user interest is increasingly shifting toward real-world assets and artificial intelligence.

Another factor is the macroeconomic landscape, with ongoing market uncertainty weighing on investor sentiment, making capital harder to secure for startups.

Gherghelas said weaker projects “are falling away,” and funds are flowing into other projects that “are quietly laying the groundwork for the next generation of blockchain games.”

“Investors are now optimizing for sustainable models, player engagement, and actual retention, not just token hype,” she added. “This shows that the market’s clearly in reset mode.”

Gherghelas noted that “66% of all blockchain game funding in 2025 so far has gone to infrastructure,” signaling a more mature market.

Related: Crypto gaming has mixed Q1 as deals jump, investment totals dip: DappRadar

Mainstream gaming companies are also still experimenting with blockchain-powered games, with Gherghelas pointing to Ubisoft’s partnership with Immutable, and Sega adding non-fungible tokens and play-to-earn mechanics to its game, KAI: Battle of Three Kingdoms, as prime examples.

“April 2025 wasn’t a record-breaking month for blockchain gaming, and that’s okay. What we’re seeing is a space recalibrating,” she said.

“Speculative hype is cooling down, but the builders haven’t stopped,” she added. ”Games are launching. Ecosystems are expanding. Infrastructure is maturing.” 

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