Investors Pour $60M Into ‘Fun-First’ Web3 Games as Sector Rebounds

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After three months of sluggish funding, Web3 gaming bounced back in July with $60 million in fresh investment — a 94% jump from June — as investors turn their attention to games built for fun, not just tokenomics.

According to DappRadar, the rebound follows a slump in April–June and puts July just behind March’s record $69 million for the year.

Darwinian market favors strong players

Sara Gherghelas, DappRadar analyst, said capital is flowing “primarily to projects with proven teams, strong IP, or infrastructure supporting multiple games.”
Smaller studios without traction are either pivoting or shutting down entirely.

“It’s a Darwinian stage for Web3 gaming: tough for small players, but potentially healthy for long-term stability,” Gherghelas noted.

The shift: fun first, blockchain second

Investors are backing games where:

Fun is the core gameplay driver

Blockchain elements (wallets, tokens, AI features, cross-chain tools) run in the background rather than being the main selling point

In the short term, expect fewer but stronger releases, cross-platform launches, and brand-driven IP to court mainstream audiences.

“The hype cycles may be behind us, but a more grounded, sustainable foundation is being built,” Gherghelas added.

A more mature Web3 gaming landscape

Earlier this year, investor attention shifted toward AI and real-world asset tokenization. Now, Gherghelas says Web3 gaming is entering a mature phase focused on:

Sustainable economies

Scalable infrastructure

Quality gameplay

Studios securing funding now, she argues, could be well-positioned for a 2026 macro rebound.

Gaming still leads blockchain activity

In July, blockchain gaming hit 4.9M daily active wallets, up 2% from June — making it the most active sector in the decentralized app ecosystem.
Top titles have kept players engaged through major content updates, helping gaming hold its ground even as other blockchain sectors cooled.

Still, AI applications are closing the gap in user activity — a rivalry that could define blockchain trends going forward.