Skip to content Skip to sidebar Skip to footer

In the wake of Terra collapse, blockchain gaming and metaverse projects are faring well while DeFi and NFTs suffer
By Shashank Bhardwaj

Image: Shutterstock
Blockchain gaming and the Metaverse have successfully managed to avoid damage from the Terra crash in May, while decentralized finance and non-fungible tokens have been affected. Firms such as Three Arrows Capital (3AC), Celsius and Voyager have also been hit hard.
Many are comparing it to the infamous financial crash of 2008 caused by the subprime mortgage crisis, with a report from decentralized application (DApp) data aggregator DappRadar claiming, “It is becoming clear that the Terra debacle has become a Lehman brothers-like event that has sent shockwaves across the entire breadth of the crypto industry and aftershocks that will affect us for many months.”
However, the report also stated that the blockchain gaming and metaverse industries have sustained little to no damage, with some even showing positive growth in the period of the crash. 
According to the report, the Terra collapse in mid-Q2 affected the performance of many sectors of crypto in the first two quarters of 2022. Transaction count, which is the total number of completed transactions and is an indicator of user engagement, in DeFi and NFTs experienced the biggest drops of 14.8 percent and 12.2 percent apiece. Meanwhile, blockchain games and metaverse projects saw increases of 9.51 percent and 27 percent each, effectively “sidestepping the ensuing bear market.”
While the average amount of activity from unique active wallets (UAWs) dropped by 24 percent in Q2 for NFTs, blockchain gaming saw a drop of just 7 percent. This suggests that users interact with DApp games “at a more or less the same rate as before the Terra incident.” The trading volume for metaverse-related NFT projects increased by an impressive 97% while the overall NFT sector struggled, reporting a 32.66 percent drop in Q2.
In another DappRadar report from July this year, the reason for blockchain games faring better than other crypto sectors in the last quarter is the non-speculative aspects of the games themselves. “This bullish activity indicates that engagement with the virtual worlds is not predicated on their profitability to the end-user. It shows virtual worlds are intrinsically fun to the end-user as the communities remain active despite the devaluation of native tokens,” the report read.
It also attributed the growth to increased interest in blockchain gaming and the metaverse from institutions and top companies. The amount of investment also reportedly remained constant in the wake of the Terra collapse. “Despite a financial blow and undermined trust in the industry, investors remain bullish as the number of investments into blockchain games and metaverse projects has remained constant quarter-over-quarter, with $2.5 billion invested in both Q1 and Q2,” the report read.
Shashank is the founder at yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash

20th World Blockchain Summit is going bullish in a bear market
GameFi and Metaverse least affected by Terra crash: Report
Israel puts the brakes on cash to spur digital payments
Blockchain cloud infrastructure company W3BCloud to go public via $1.25 billion SPAC
CryptoPunks' trading volume surges 1,847% after Tiffany & Co. launches exclusive NFT collection
Hong Kong University to launch mixed reality classroom in metaverse
Dubai permits full operation to FTX subsidiary FZE via first MVP licence
Bitcoin price nears $24k as sentiment exits fear zone
Indian sports buffs can now vote for their favourite team's jersey using blockchain
Ethereum will outpace Visa with zkEVM Rollup, says Polygon co-founder
Bitcoin Mining to harness onsite natural gas emissions: Ark Invest
Artist Damien Hirst to burn 4851 paintings in NFT project
FTC files lawsuit against Meta over attempted monopolisation of metaverse
Wharton School rolls out online certificate course on business in the metaverse
Web3 startup making NFTs of Picasso and Hussain's art receives funding
Crypto ATM market value to hit $472 million by 2027
Japan's Ministry of Economy launches Web3 office
Blockchain domain provider Unstoppable Domains becomes unicorn
BTC and ETH outperform traditional markets in July despite the dollar's strength
2/3rds open to a Web3 career for its potential and flexibility: Survey
Community-initiated 'Bitcoin Stackchain' exceeds $160K in one week
Central African States Bank board urges adoption of uniform digital currency
Barclays to buy stakes in $2 bn crypto firm Copper
California again allows crypto contributions to the state and local political campaigns
Total crypto users likely to reach 1 billion by 2030: BCG Report
The Merge is Ethereum's chance to take over Bitcoin, researcher says
CoinDCX's India entity FY21 profit jumps nine-fold to Rs 4.36 crore, revenue rises to Rs 38.91 crore
YouTuber Paco de la and Paxful collaborate for a Bitcoin-funded World Tour
NFT sales will fund the restoration of physical monuments in Ukraine
Mercado Bitcoin plans to expand to Mexico
Large institutions sold $5.5B BTC in May
KuCoin raises $10M amidst the bear market; announces plan to support Indian Web 3 startups
South Korea postpones 20% tax on crypto gains to 2025
SEC blasted for non-judicial action against crypto companies
UK financial markets bill to authorise regulation of stablecoins, service providers
Mojang Studio to ban Minecraft NFT integration
Tesla sold 75% of its BTC holdings in Q2; what does this mean for BTC?
Vauld to seek moratorium against its creditors
Binance fined $3 million over illegal operations in the Netherlands
Celsius finally files for bankruptcy
Andora passes digital assets act greenlighting blockchain and Bitcoin
Coub's 105 micro-video fans jumping into crypto
Bitcoin nears 200-W MA; ETH touches $1,500
Glassnode: Bitcoin HODLing tendencies represent previous market bottoms
Gemini lays off more staff amidst falling prices
Christie's launches venture fund for web3 and blockchain projects
Paraguay's crypto framework nears law status
56% of banks say DLT, not a priority in the near future: Fed report
Women of crypto take over Davos WEF
NFT market worth $231 billion by 2030: Report
CFTC labels 34 crypto and forex firms as unregistered
Coinbase to premier Bill Murray's biological NFT project
Tencent shuts down NFT platform owing to Chinese government's regressive policies
Mastercard Partners with Fasset to drive crypto adoption in Indonesia
WEF introduces cyber resilience framework; index to increase organisational security
NFT platform OpenSea lays off 20% of its staff citing crypto winter
BIS and IOSCO issue guidelines on stablecoin regulations
China's central bank to expand the deployment of e-CNY
Survey reveals high penetration and adoption of crypto in Saudi Arabia
UK court allows lawsuit to be delivered via NFT
South Africa to regulate crypto as a financial asset
US Treasury study finds CBDCs a plus for commercial bank stability
Crypto market stuck for now, but Bitcoin to make new all-time-highs within 24 months: Coinshares' CSO
Indian crypto exchange Bitbns announces zero TDS on crypto SIP investments
Playboy set to launch Meta mansion in the Sandbox
Global financial watchdog FSB proposes rules to regulate crypto in October
GameStop launches NFT marketplace
Tech giant of South Korea SK Telecom to launch crypto wallet
Ex-TikTok gaming head to launch blockchain games startup, Meta0
El Salvador's Bitcoin wallet Chivo receives $52M in remittances in 2022
Defi protocol closes down bond issuance platform after just one month
Circle's USDC to topple Tether's USDT in the 2022 stablecoin race
Crypto community eyeing three macro events to tip crypto scales in July
Bollywood A-lister backed Gari token's plunge sparks rug pull rumours
NFT & Web3 gaming console to launch in 2024, Chinese firms to check ID for NFT buying
VC firm Sequoia Capital China reportedly raises $9 billion
Meta signals closure of Novi wallet after a 10-month pilot
WonderFi closes acquisition of crypto trading platform Coinberry
Celsius pays down 143 mn in DAI loans since July 1
Ethereum gas fee falls to the lowest since 2020
DAppRadar and LayerZero launch chain-agnostic staking token
Lending platform Vauld suspends transactions
Voyager Digital freezes trading and withdrawals, blames 3AC default
1% TDS on crypto transactions from this month
EU agrees on MiCA regulations for crypto and stablecoins
GTA 6 could introduce a crypto reward system
Coinbase providing customer geolocation data to ICE: Report
RBI ranks crypto near the bottom of systematic risks despite harsh criticism
Anchorage launches Ethereum staking for institutional investors
EU officials reach agreement on AML authority for supervising crypto firms
Microstrategy scoops up 480 bitcoins amidst market downturn
BlockFi receives money services licence in Iowa
Crypto exchanges suffer since 2021, but RBI doesn't give up
Bit.com Plans to Double Workforce as Layoffs Mount in Crypto and Financial Markets
The central African Republic launches crypto initiative post Bitcoin adoption
Institutional crypto asset products register weekly outflow of $423 mln
Bitpanda becomes next in line to announce layoffs amidst bear market blues
Harmony to offer $1 mln bounty to the attacker to return funds
China's BSN calls Bitcoin a Ponzi; stablecoins fine if regulated
FTX exchange reportedly acquiring Robinhood
Bybit signs a settlement agreement with Ontario Trading commission
Crypto features prominently at the Collision Conference in Toronto and more
Gensler appeals for one rulebook in negotiations with CFTC over crypto regulations
Bitcoin network power demand falls to 10.65GW as the hash rate decreases to 14 percent
Upcoming Metaverse R&D hub in Melbourne with a $100 mln budget
Cristiano Ronaldo to drive football fans into Web3 with Binance partnership
Coinbase to shut down Coinbase Pro to merge trading services
$2.25 billion options acquired may prove Bitcoin bottom is yet to come
Uniswap overtakes Ethereum on fees; DeFi outperforms
BIS: 90% of central banks exploring the utility of CBDCs
BlockFi secures $250 mln credit from FTX amid bear market blues
eBay acquires KnownOrigin; forays into NFT
Blockchain investments disrupting the real estate industry: Report
Solend invalidates Solana whale takeover plan with second governance vote
Japanese film studio to produce a movie series based on Crypto
Deloitte joins forces with NYDIG to help businesses with Bitcoin adoption
Bitcoin 'wholecoiner' wallets surge by 13k in the past week
BIS to launch crypto market intelligence platform
MIM depegs from Dollar as Luna domino effect persists
DeFi protocol Bancor pauses impermanent loss protection
Three Arrows and Celsius fall causes massive sell-offs in Defi
Coinbase facing class-action suits over unstable stablecoins
Critics say Bitcoin may go $0 this time, three signals suggest otherwise
Ukraine becomes the third non-EU country to join the European blockchain partnership
US airforce taps SIMBA chain for budgeting and accounting system
BTC gets rejected at $23k, US dollar declines from fresh 20-year high
Texas securities regulator to conduct probe in Celsius' withdrawal suspension
Circle launches euro-backed stablecoin EUROC
Bored Ape floor drops below $100K as NFT market takes a huge hit
Three Arrows fund reportedly facing insolvency
Consensus 2022 recap: Web3, regulations, and optimism for crypto's future
Survey suggests 71% of high net worth individuals have invested in digital assets
SEC launches probe into insider trading in exchanges
Binance halts BTC withdrawals, CZ says funds are Secured Asset Fund for Users
Tesla and Microstrategy lose $1.5 bn together on BTC holdings
Coinbase slashes staff by 18% amidst bear market
Celsius hires restructuring lawyers amid solvency fears
Crypto Connect, LBank is set to organise a nationwide crypto road show
Nano Labs files for a $50 mn Nasdaq IPO
Swedish Central Bank snipes at Bitcoin's energy-intensive PoW
Crypto market crash: Why Ethereum and Bitcoin see a dip in valuation
Jack Dorsey plans to build 'Web5' based on Bitcoin
VeChain signs a $100 mn sponsorship deal with UFC
Anonymous hacker served restraining order via NFT
Coin Center files lawsuit against US Treasury for alleged financial spying
Jack Dorsey and Jay-Z collaborate to launch 'The Bitcoin Academy'
Tether launches new USDT tokens on the Tezos blockchain
South Korean Exchanges delist Litecoin
Lithuania aims to tighten crypto regulation and ban anonymous accounts
Budweiser partners with Zed Run to enter NFT game domain
Edge to launch confidential no KYC crypto Mastercard
Metaverse tokens register 400% YoY growth despite altcoin bloodbath
Alibaba's Cloud Branch launches its own NFT service
Iota partners with Dell to develop real-time carbon footprint tracking
Aurora pays $6 mn bug bounty to ethical hacker
Crypto.com's Cronos launches Web3-focused $100 mn accelerator
Two more crypto ETFs launch in Australia
Binance collaborates with The Weeknd for World Tour
MetaBrewSociety to offer voting rights over a brewery via NFTs & DAO
Over half of the Asian affluent possess crypto investments in their portfolio
IRA Financial Trust to file a lawsuit against Gemini over $36 mln crypto assets exploit
CBDC can kill crypto: RBI deputy governor tells IMF
Bermuda positions itself to become a crypto hub
BAYC and OtherSide witness phishing attack; lose 145 ETH
US FTC blames social media for crypto scams
Japan Passes Stablecoin Bill For Investor Protection
India's Central Bank Plans Graded Implementation Of CBDC
Coinbase is extending its hiring freeze indefinitely
Binance raises $500 mln for Web3-focused fund
NFT market sees first insider trading case in US
Solana blockchain halted for four hours
Bitcoin dominates derivatives market, ends May on a high note
KuCoin launches decentralised wallet and ventures into Web3
South Korea to establish virtual assets watchdog in light of Terra collapse
JPMorgan pilot tests Asset Tokenization With Singapore
World Bank Disapproves Of Central African Republic's "Sango" Crypto Hub
$90 million DeFi hack discovered seven months after the theft
Terraform Labs' Employees Probed For Intentional LUNA, UST Price Manipulation
Agoraverse to introduce the first Web 3.0 shopping center
MoneyGram and Stellar partner to offer stablecoin remittance
Binance receives a category 4 license in Bahrain
Hong Kong Classic movie-themed NFT collection to launch in June
Bitcoin and Ethereum to be accepted for payments by luxury fashion house Balenciaga
The Nemesis brings the Formula 1 Grand Prix into the metaverse
SpaceX to follow Tesla to accept DOGE for merch: Elon Musk
Italian university promotes local culture in the metaverse
Tether launches a stablecoin pegged to Pesos on Ethereum, Tron and Polygon
Fed Vice chair speaks about the potential of CBDCs and the future of stablecoins
JPMorgan trials private blockchain for collateral settlement
Mythical games enters a strategic partnership with NFL to launch play-and-own NFT video game
Andreessen Horowitz raises $4.5bn for its crypto fund
Uniswap exceeds $1 trillion in swaps
Babel Finance hits a $2bn valuation with $80mn funding
Stellar joins hands with Mercado Brazil to develop CBDC for Central Bank of Brazil
CoinDCX offers an opportunity to its users to generate crypto yield on crypto assets through it's 'Earn feature'
US to have crypto oversight bill in June
First 'crypto satellite' launched on SpaceX rocket
SWIFT May not exist in five years: Mastercard CEO
eBay drops first NFT collection to non-crypto buyers
Universal Music Group doubles down on NFTs for musicians
WEF 2022: Banks see the need for caution and speed on central bank digital currencies
VC funding for African crypto startups grew 11x in 2022: Report
Bitcoin displays red candles for the eighth consecutive week
Avalanche to host novel NFT marketplace Artcrypted
132-year-old Swiss bank will now offer crypto services
OpenSea launches NFT marketplace Seaport
Bill to allow retirement fund investment into crypto to be introduced in US
How NFTs lost their lustre
Crypto.com partners with Shopify to enable crypto payments via app
FTX enters TradFi; launches stock trading services in the US
Sebi to make celebrity endorsement of crypto products tougher
Record number of Shib burnt in a single retail transaction
South Korea proposes a new framework for crypto firms
Coinbase introduces Coinbase Pay to web developers
Defi tracker Ape Board acquired by Ethereum analytics firm Nansen
India plans to introduce reverse charge tax on foreign crypto platforms
Spotify reportedly tests NFT galleries on musician profiles
Crypto regulations to be discussed at G7
Brazil's stock exchange to launch bitcoin futures trading
A16z State of Crypto Report: Ethereum a double-edged sword, and other takeaways
Crypto could lead to dollarisation of economy: RBI
El Salvador to host 44 countries to discuss Bitcoin
Do Kwon unveils the plan to revive Terra
Vitalik Buterin donates $1 billion in ETH to Dogecoin Foundation
Elon Musk advocates Dogecoin as a potential currency
Binance denies participation in Terra's 2019 funding round
61% Companies want to market in the metaverse: Survey
Nigeria's SEC classifies cryptos as securities
UK Treasury pushes forward a Stablecoin regulation
Chinese Court declares that BTC has economic worth
Brazilian bank Nubank introduces Bitcoin and Ether trading
Diem co-creator David Marcus launches crypto project
Terra's stablecoin UST collapses, LUNA falls 99%
Institutional Bitcoin inflow increases amidst market downtrend
Bitcoin falls to lowest in 16 months; sheds 2021 gains
KuCoin Exchange reaches $10 billion valuation following funding round
Russian journalists solicit crypto donations amidst western sanctions
NFT blockchain Flow launches $725 mln Blockchain Ecosystem
Madonna joins hands with Beeple for NFT Collection
YouTube shuts down educational crypto channels
Meta confirms NFT testing on Instagram to begin this week
Japanese ecommerce website allows crypto payments
China's CBDC rolled out at transport networks in two more major cities
Mining Capital Coin CEO accused of $62 mln investment fraud
Bitcoin falls below $30,000, lowest since July 2021
State of Utah creates blockchain and digital innovation task force
$36 million in JUNO tokens lost forever due to a typo
Elon Musk secures funding from Sequoia, Binance to back Twitter bid
Terra acquires $1.5 billion more Bitcoin
South Korea to remove ban on ICO; new crypto regulations underway
Crypto donations to be accepted in the US Federal elections
Spotify launches its metaverse in partnership with Roblox
Uzbekistan approves solar mining of crypto
Starbucks teases Web3 platform in NFT announcement
Coinbase opens NFT marketplace to all
Kazakhstan orders crypto miners to register with authorities
Sports NFT Platform Stakes raises $5.3 mln for 'digital bragging rights'
Rari Capital loses $80 million in Fresh Exploit
Crypto publication Decrypt raises $10 million at $50 million valuation
Vitalik Buterin says transaction fees need to reduce to 5 cents to remain acceptable
MicroStrategy reports $170 million impairment loss on Bitcoin holdings in Q1
US senators propose new crypto bill limiting capital gains tax
BAYC Metaverse witnesses $300 million sales at launch
21Shares and ByteTree launch a gold-cum-Bitcoin ETP
NFT project DeGods DAO buys basketball team in Ice Cube's Big3 leap
NFT sector to process more than $800 billion in next 2 years: report
Telegram to allow users to send crypto
Goldman Sachs rolls out first bitcoin-backed loan
Ukrainian government to accept NFT donations
Bitcoin not a panacea for Africa's economic woes: IMF
Mexico Senate gets Bitcoin ATM
Edward Snowden reveals he's one of the creators of Privacy Coin Zcash
BlackRock launches blockchain industry ETF
Ethereum's incoming switch to Proof-of-Stake driving down GPU prices
Central African Republic adopts bitcoin as legal currency
Brazil approves law to regulate crypto
Binance announces crypto card for Ukrainian refugees
New York bans crypto mining using non-renewable power
Derivatives exchange Bitget launching in India
NFL Releases NFT collection on Polygon
Sustainable Bitcoin mining grew 60% in the past year
Bored Ape Club Instagram hacked, NFTs stolen
Dogecoin surges after Twitter accepts Musk's buyout offer
Meta to open first physical store in metaverse bet
New York looking to criminalise crypto frauds
Popular NFT launch on Ethereum loses $34 million in faulty smart contract
DeFi platforms at much higher risk than centralised exchanges: report
Twitter to allow crypto payments, backed by Stripe
Bahamas may allow residents to pay taxes with crypto
Coinbase to acquire BtcTurk exchange for $3.2 billion
Paris Hilton invests in Afterparty's new NFT ticketing platform
Ridley Scott to Make a Movie on Ethereum
Russia to include cryptocurrencies in its updated tax laws
40 crypto companies sign open letter to EU regulators
BTC and ETH will break all-time highs in 2022: Celsius CEO
Blockchain games are leading the DApp industry: DappRadar report
Finance Minister Nirmala Sitharaman calls for global crypto regulations
WazirX co-founders shifting base to Dubai
Blockchain.com reportedly exploring IPO this year
CoinDCX raises over $135 million in fresh funding round, now worth $2 billion
Atari terminates blockchain joint venture with ICICB Group
Monero's July hard fork confirmed by its community
Backed by Shark Tank's Kevin O'Leary, WonderFi set to acquire Canadian exchange Coinberry
US Govt Links North Korea to Axie Infinity Hack
Jack Dorsey's first tweet NFT resells for only $280
Opera crypto browser now available on iOS
Beanstalk Stablecoin protocol loses $182 million in governance exploit
Jack Dorsey vs. Vladimir Tenev on Bitcoin transaction fees
Ripple claims 'a very big win' in SEC case
Argentinian town to invest in crypto mining to fight inflation, upgrade rail infra
Pantera Capital closing fundraise for its blockchain fund after raising $1.3 billion
Homegrown blockchain co Polygon commits to go carbon neutral this year
NBA registers four NFT trademarks
US crypto expert jailed 63 months for helping North Korea
Fortnite developer Epic Games raises $2 billion to build for the metaverse
Indian companies storm the metaverse and NFT space
Coinbase is producing a movie trilogy on Bored Ape NFTs
Multiple Indian Twitter accounts hacked, NFT content posted
German police shut down $1.3 billion illegal darknet firm
Meta tests sale of virtual goods in metaverse
Bitcoin 2022 Conference: Bitcoin Maximalists attack national currencies
Binance Gets In-Principle Approval to Operate as Crypto Broker in Abu Dhabi
EU limits Russians' crypto investments to 10k Euros
Coinbase suspends UPI payments in India three days after launch
From KFC to Tesla, Dell: Crypto-curious corporations struggle to find right recipe
In Texas, crypto miners turn to solar power
South Africa concludes technical Proof-of-Concept for its CBDC settlement system
Terra buys $200 million in AVAX for reserves
Bitcoin will remain as a standard: Chess world champion Garry Kasparov
Coinbase launches in India
Meta working on virtual money 'Zuck Bucks': report
Germany closes Russian darknet marketplace Hydra
Britain paves way to accept stablecoin
Crypto industry reels from $600 million hack
NFT of Nelson Mandela's arrest warrant auctioned for $130,000
Bank of England calls for tighter regulation of cryptocurrencies
ECB's Lagarde 'concerned' about crypto use to dodge Russia sanctions
Crypto provides fix for some in crisis-hit Afghanistan
Bitcoin to the rescue: Cryptocurrencies' role in Ukraine
Crypto and Blockchain as a catalyst for change by Sumit Gupta Co-Chair BACC, CEO and Co-Founder, Coindcx
Digital art in spotlight as Dubai makes crypto hub bid
G7 looks to thwart cryptoassets use as Russian sanctions dodge
Can cryptocurrencies give Russia, others breather from economic sanctions?
Cryptocurrencies enter Russia-Ukraine conflict
Russia seeks to regulate cryptocurrencies
Donald Trump's NFT collection to laud his own presidency
Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. For any queries, write to support@coindcx.com.
Copyright © 2022 Forbes India. All rights reserved.

source

Leave a comment