This is a segment from The Drop newsletter. To access full editions, subscribe. Another blockchain gaming studio is shutting down — Battlebound is closing its operations. The studio was managing two games, including the metaverse title Evaverse, featuring an EVA token, and an upcoming RPG called Anterris. The Evaverse token has plummeted over 99% from its peak. In 2022, Battlebound raised $4. 8 million in seed funding from investors such as a16z and Dapper Labs, in addition to securing another $3 million through NFT sales. The company had the budget suitable for an “AA game, ” akin to two indie games, but lacked the resources for more ambitious projects (“AAA” games can cost over $100 million each). The closure occurred “despite the recent momentum we’ve built over four years with a lean, agile team, pushing our resources to the limit while trying to secure our next funding round, ” Battlebound shared in a post. “We excelled at maximizing resources and staying afloat while developing above our weight. Ultimately, we find ourselves in the same situation as many studios before us, closing our doors due to exceedingly challenging market circumstances, ” the post continued. On LinkedIn, Battlebound CEO and founder Adam Hensel remarked: “Thousands of players took part in our final playtest, and seeing them enjoy years of hard work makes it all worthwhile. ” Hensel previously spent four years at Riot Games, the publisher of League of Legends, where he served as a senior technical artist. It’s disheartening to witness yet another ambitious game studio unable to secure funding to continue its project.

Other blockchain-based or crypto-optional games, such as Dauntless and Eternal Dragons, have also been canceled in the past year. According to the blockchain game tracker BigBlockchainGameList, 60 crypto games were discontinued in Q1 2024, although it acknowledges that tracking this can be “imprecise and a lagging indicator” of “general ecosystem trends. ” Midnight Society, the studio behind the ambitious (but ultimately unreleased) NFT-optional shooter Deadrop, announced its shutdown in January after cutting ties with its co-founder amid public controversy and difficulties in raising additional funds. While metaverse games aren't typically my preference, Anterris appeared to be evolving into an inviting fantasy RPG. Game7, a research group focused on crypto gaming, found that new blockchain game announcements dropped by 36% last year compared to 2023. While this indicates a slowdown, it might not be negative for the crypto gaming sector. I would choose a few quality games from devoted teams over a vast array of low-quality titles any day. Additionally, Game7 discovered that only 45% of crypto games are playable, indicating that a substantial portion of known blockchain games remain under development. And now, we wait. Stay updated by having the news delivered to your inbox. Explore Blockworks newsletters: