Institutional Investment In Crypto Gaming Signals P2E Is Here To Stay

By Casper Brown
Published November 25, 2021 Updated November 25, 2021
Blockchain Games

Institutional Investment In Crypto Gaming Signals P2E Is Here To Stay

By Casper Brown
Published November 25, 2021 Updated November 25, 2021

A new report published by TheVentureCity reveals that VC investment in the crypto space has risen to a whopping $19B in the last year, tripling the spend of the year before. One of the most interesting trends within that statistic includes the rise of investment in crypto gaming – with around $500 million raised in investments in the last year. The growth signals more faith institutionally in both the crypto industry and the potential of P2E gaming in particular to achieve mainstream adoption. 

VC Firms, including the likes of Andreessen Horowitz, Atelier Ventures, Kingsway Capital, Infinity Ventures Crypto, and more, have all shown interest in GameFi by placing serious investments into different projects. According to Arianna Simpson, General Partner at Andreessen Horowitz, ‘Right now there is a largely untapped economic opportunity in emerging markets to provide jobs by building a virtual economy in the digital world’, further signifying the vast potential of the GameFi space. 

Crypto Gaming Companies Taking The Lead 

Gaming studio Sky Mavis made headlines earlier this year when they achieved a $3B valuation, and raised $150 million to help grow their P2E game Axie Infinity. The game revolves around the concept of creatures called ‘Axies’, which can be bought as NFTs and then used during in-game battles. A report by InvestGames lists Forte, Animoca Brands, and Mythical Games amongst the many companies that have successfully raised funding for their projects this year. 

One of the reasons we’re beginning to witness the uptick is the NFT marketplace launch, which has helped raise millions in investments. Marketplaces such as OpenSea and Rarible have given NFTs a boost, and have helped usher a spike in interest in P2E games that are able to provide real world value to their players. 

Play-To-Earn Blockchain Games Break Through To Mainstream 

Other gaming companies are following hot on the heels of this growth, and promising exciting and ambitious projects in the process. UFO Gaming, a decentralized gaming platform that aims to bridge traditional games onto the blockchain, follows players into the ‘Dark Metaverse’, where they can purchase NFTs in the form of virtual land. 

Players can also generate in-game assets, skins, and game assets such as skins, armor, weapons which can then be used in-game to complete the quests. The gaming studio plans to partner with AAA studios to produce richly designed and highly playable games that are able to empower gamers with the ability to earn while playing. 

What’s Next For P2E Gaming? 

P2E has already made waves in the developing world, especially within countries such as Venezuela and the Philippines, where playing these games can actually assist people trying to make a living with a sustainable paycheck. 

Institutional support in these projects signals that mainstream adoption of this gaming style isn’t far behind: by creating intelligently designed and intuitively made games, companies such as UFO Gaming are leading the path ahead for the world of esports and GameFi.


Disclaimer The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Casper Brown
410 Articles
I am an associate content producer for the news section of Coingape. I have previously worked as a freelancer for numerous sites and have covered a dynamic range of topics from sports, finance to economics and politics.