Blockchain gaming remains the industry's most resilient sector, accounting for 57.4% of total daily unique active wallet (UAW) activity with 1 million daily UAW and $857 million in transactions.
See it on page 15Total Value Locked (TVL) in DeFi showed signs of recovery in July, increasing 22% to $82.3 billion across major networks like Ethereum, BNB Chain, and Polygon.
See it on page 6NFT trading volume dropped 25% month-over-month to below $1 billion, while OpenSea’s market share eroded significantly from 84% to 58.6% due to competition from new entrants like GameStop and Nickelodeon.
See it on page 12Macroeconomic pressures, including high inflation and rising interest rates, caused overall dapp activity to hit its lowest point of 2022 in July with 1.68 million daily UAW.
See it on page 2The DeFi sector experienced a sharp contraction, with UAW falling 22% month-over-month to below 500,000, marking its lowest level since April 2021.
See it on page 3Polygon’s TVL grew by 17% in July, bolstered by network upgrades, the migration of former Terra projects, and a new web3 smartphone partnership.
See it on page 7The report examines the blockchain ecosystem during a prolonged bear market, highlighting how macroeconomic pressures—high U.S. inflation, rising interest rates, and a recessionary environment—have driven investors to withdraw capital from both equity and cryptocurrency markets. This withdrawal has intensified selling pressure, reducing medium‑term trading volume and pushing dapp activity to its lowest point of 2022, with 1.68 million daily unique active wallets (UAW) in July, a 4 % month‑over‑month decline yet still 20 % above July 2021 levels.
DeFi remains the most affected segment, with UAW falling below 500 k for the first time since April 2021—a 22 % MoM drop and a 31 % YoY decline. Total value locked (TVL) has begun to recover, rising 22 % from July 1 to July 31 to $82.3 bn, driven by gains across Ethereum, BNB Chain, and Polygon. Polygon’s network upgrades and migration of Terra projects have contributed to a 17 % TVL increase, while the launch of a web3 smartphone partnership signals continued innovation.
NFT trading volume contracted 25 % MoM, falling below $1 bn for the first time since June 2021. Market concentration intensified, with Yuga Labs’ collections accounting for over 20 % of July’s volume. OpenSea’s dominance has eroded from 84 % to 58.6 %, as new marketplaces such as GameStop and Nickelodeon capture niche segments.
Gaming defied the downturn, achieving 1 million daily UAW and $857 m in transactions, with its share of overall usage rising from 52 % to 57.4 %. The report concludes that while the crypto winter has triggered significant market recalibration, resilient projects—particularly in DeFi and gaming—are positioned to drive a future bull run.
