WEB3 GAMING ADOPTION WILL BE DRIVEN BY WEB2 STUDIOS AND FRANCHISES

WEB3 GAMING ADOPTION WILL BE DRIVEN BY WEB2 STUDIOS AND FRANCHISES, SAY BLOCKCHAIN GAMING INDUSTRY PROFESSIONALS

Published today, the Blockchain Game Alliance (BGA) 2023 State of the Industry Report has found that professionals working in the blockchain gaming industry believe that mainstream adoption of web3 games will be driven by web2 studios and franchises. When surveyed for their opinion on the biggest positive impact on the web3 gaming industry in 2023, 19.8% cited traditional game studios launching web3 games, while 15.2% pointed to web2 or traditional gaming transitioning to web3. Overall, 35.0% agreed that this year, the industry benefited the most from web2 game studios committing to adopt web3 while bringing talent, experience, brand recognition and huge mainstream audiences into web3.

Additionally, more than half of survey respondents (52.1%) said they believed that at least 20% of the total video games industry, estimated to be worth $347 billion by the end of 2023, would adopt blockchain within the next 12 months. The respondents’ confidence is underscored by the number of web2 gaming giants that already signaled their intention to adopt web3 in some way in 2023, including the likes of CCP Games (EVE Online), Nexon (MapleStory), Ubisoft, Square Enix, Bandai Namco, Com2uS, SEGA, Konami, Atari, Netmarble and more.

However, the industry is not without its challenges. In discussing their major pain points, more than half of respondents (55.1%) said that onboarding new users was their biggest challenge, with another 35.4% pointing to user acquisition, underscoring the difficulty with bringing new players into the world of web3. Additionally, 70.0% said they still battle the misconception that blockchain gaming is a scam or Ponzi scheme.

Additionally, year on year, there has been a steady decline in women’s participation in the survey, signaling reduced female representation and gender diversity in the industry.

Key takeaways for the 2023 survey are outlined below:

Demographics

• 7% believe they will continue working in the industry over the next year.
• 3% received crypto or stablecoins as pay in 2023.
• 9% marks an all-time low in female participation.

Industry Drivers

• 2% recognize asset ownership as the top benefit.
• 8% foresee web2 game studios driving the industry forward.
• 1% expect at least 20% of the gaming industry to adopt blockchain within 12 months.

Industry Challenges

• 1% see onboarding as the primary issue for the industry.
• 0% battle the misconception of blockchain gaming as a scam.
• 4% indicate user acquisition as a pressing challenge.

Since its inception, the BGA has engaged web3 advisory firm Emfarsis to conduct the 22-question survey, analyze the responses, and compile the report, which covers topics such as adoption, growth, careers, innovation, and other key developments. Each year, the report serves as a valuable resource for the industry as well as investors, the media, researchers, educators, policymakers, regulators, and government leaders, providing a comprehensive overview of the industry’s current status with critical insights into the health and potential growth of the industry, its emerging trends, and potential areas of risk.

“2023 was a year of transformation. Those building in the space have certainly felt the pressure of the economic environment and less favorable media sentiment, but it has allowed them to be more disciplined and focused. New winners will certainly emerge from these times. The BGA is well-positioned to signal the trends and showcase the gaming industry leaders of tomorrow. Our survey received more responses than ever this year. I thank everyone for demonstrating their commitment to shaping the future of our industry and I look forward to discovering what we build together in the coming year,” said Sebastien Borget, President of the BGA.

Now in its third year, the report contains findings drawn from an industry-wide survey designed to assess the personal perspectives of blockchain gaming professionals to gain a yearly snapshot of the industry’s condition, advancements, and trajectory. As part of its mission to represent a diverse range of viewpoints, the BGA called upon a wide spectrum of industry professionals to respond with their thoughts and opinions. Eligible roles included (but were not limited to) founders, developers, publishers, venture capitalists, and service providers in legal, finance, marketing and PR, who were either working or between jobs in blockchain gaming. Journalists and content creators who were actively covering blockchain gaming were also encouraged to complete the survey. Esports players who were signed to a competitive guild or receiving financial support in the form of a salary or sponsorship were also eligible.

The full BGA 2023 State of the Industry Report can be accessed at the following link:

BGA 2023 State of the Industry Report

Insights from the 2022 and 2021 reports are linked below.

The BGA 2022 Member Survey & Report can be accessed at the following link:

BGA 2022 Member Survey & Report

The BGA 2021 Member Survey & Report can be accessed at the following link:

BGA 2021 Member Survey & Report

ABOUT THE BLOCKCHAIN GAME ALLIANCE

The Blockchain Game Alliance (BGA) is an organization committed to promoting blockchain within the game industry. The BGA’s goal is to spread awareness about blockchain technologies and encourage adoption by highlighting their potential to foster new ways to create, publish, play, and build strong communities around games. The BGA also provides an open forum for individuals and companies to share knowledge, collaborate, create common standards, establish best practices, and network.

ABOUT EMFARSIS

Emfarsis, is a consulting firm based in Southeast Asia that has represented web3 gaming sector clients including Yield Guild Games, Animoca Brands, Laguna Games (Crypto Unicorns), AMGI Studios (My Pet Hooligan), Blockchain Game Alliance and others. As a firm believer in the future of web3 gaming, Emfarsis is proud to partner with the Blockchain Game Alliance (BGA) to design and deliver the annual BGA State of the Industry ReportMember Survey and Report.