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Crypto Gaming this Bull run: A Silent Adoption Tool


The intersection of gaming and crypto has always been a focal point for investors, especially with crypto markets entering a bull run. The partnership between Avalanche and Terra Luna Foundation Guard (LFG), alongside insights from DappRadar’s reports, offers a compelling narrative on the trajectory of gaming tokens this cycle.

Silent Effort Makes the Noise of Success: Gaming Tokens are Coming Back

In the 2021 bull run, gaming tokens were among the most dynamic segments of the crypto market. Projects like Axie Infinity (AXS) exploded onto the scene, offering players the ability to earn through gameplay, known as “play-to-earn” (P2E).

This model attracted gamers and investors. During this period, Axie Infinity’s price soared, and gaming tokens became players in crypto.

Avalanche once became a favored platform for developers creating decentralized applications (DApps), including games. The AVAX token saw insane growth, with increased adoption in blockchain games built on this chain.

By late 2021, AVAX reached all-time highs, driven by the general market euphoria and specific developments in its gaming expansions.

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Following, a partnership formed between Avalanche and LFG with LFG purchasing $100 million worth of AVAX. Originally, this was intended to boost Terra’s ecosystem by diversifying its reserve assets. However, the subsequent collapse of Terra in May 2022 led to market anxiety.

Despite this, Avalanche’s decision to buy back 1.97 million AVAX tokens from LFG for $53 million in November 2024 was a strategic move to reclaim control over its token supply. This prevented potential market manipulation and also shows confidence in AVAX’s long-term value with upcoming developments in the gaming sector.

Avalanche bought back AVAX from Terra Luna LFG. Dont't write-off crypto gaming tokens just yet this bull run, statistic says so.

(Source)

Moving into 2025, dAppRadar‘s reports have highlighted a revival in blockchain gaming activity. January 2025 alone saw over 7 million daily unique active wallets, a 386% increase from January 2024.

This shows that the crypto gaming sector keeps developing amidst the meme coin craze. Games like “Off The Grid” on Avalanche and “Pixels” on Ronin Network are setting new standards for daily active users. Again, this proves that the gaming sector is still growing silently.

This year’s bull run, catalyzed by events like Donald Trump’s re-election, has brought renewed attention to gaming tokens. Unlike previous cycles, when many gaming tokens were unproven, the sector now shows a maturation in tokenomics.

Games now focus on sustainable economies where tokens have clear utility, from governance to in-game purchases.

dAppRadar notes that mainstream gaming companies’ involvement in crypto indicates a shift towards more refined, AAA games in the Web3 space, which is crucial for mainstream adoption.

RELATED: Is Gaming The Secret Catalyst This Bull Run?

Blockchain Gaming Whispers Where AI Screaming Noise: what We Learn Last Cycle

The sentiment around gaming tokens during this bull run is very optimistic. Investors are now more discerning, looking for games with solid fundamentals, not just their speculative value.

The rise in gaming activity and the introduction of prediction markets for gaming outcomes provide new avenues for investment and engagement.

For gamers, owning in-game assets, earning through gameplay, and the innovation of playing in a decentralized environment continue to drive adoption. Gaming tokens that offer real utility, like governance rights or the ability to trade assets across games, are appealing.

Much like AI tokens in this cycle, the gaming industry during the last crypto bull run in 2021 became oversaturated. The last cycle of “play-to-earn” games flooded the market, with many projects lacking depth or sustainable economies, leading to a bubble focused more on speculation than gameplay.

Now, AI tokens are experiencing a similar saturation. The market is crowded with new projects, many of which are more about hype than delivering real technological innovation or utility, echoing the gaming sector’s past challenges.

Avalanche bought back AVAX from Terra Luna LFG. Dont't write-off crypto gaming tokens just yet this bull run, statistic says so.

(Source)

The crypto bull run and Web3 gaming offer us an opportunity for portfolio diversification. Gaming tokens are not just about the thrill of new tech but also about building ecosystems. Now, every participant can benefit from the network effects of a growing user base.

Blockchain gaming, expected to see 50 million monthly active users in 2025, is set for another wave of adoption. The focus on creating engaging games with meaningful economic models, coupled with blockchain’s promise of true asset ownership, positions gaming tokens as a strategic investment.

Today’s bull run hopefully has no black swan events like what happened with Terra and FTX last cycle.

EXPLORE: Crypto Trends For Bullrun – January 2025

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Key Takeaways

  • Silent effort makes the noise of success: Gaming Tokens are Coming Back.
  • Blockchain Gaming Whispers Where AI Screaming Noise: what We Learn Last Cycle.

The post Crypto Gaming this Bull run: A Silent Adoption Tool appeared first on 99Bitcoins.





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