Analysis: About 93% of GameFi projects have failed, with capital flows shifting to AI, RWA, and other fields.

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ME News: On April 23 (UTC+8), according to data disclosed by market-making trading company Caladan, about 93% of GameFi projects are now almost dead, with token values down 95% from their 2022 peaks, and game studio funding has also plummeted 93% by 2025. Investment in Web3 gaming has almost completely dried up, with capital flows shifting toward AI, real-world assets, and Layer-2 infrastructure, leading to a collapse in the gaming industry. Even Animoca Brands, the most active investor in the Web3 space, has reduced its gaming business to about 25% of its portfolio and started pivoting toward areas like stablecoins. Furthermore, in 2022, 63% of Web3 venture capital funding went to the gaming sector, but by 2025, that share has fallen to single digits, with over 300 games announcing shutdowns, turning Web3 gaming into a cautionary tale about chasing speculation while neglecting product-market fit. (Source: ChainCatcher)
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