The blockchain gaming industry experienced a challenging year in 2025, with venture capital investments significantly lower than in 2024. Despite this, Q3 marked a positive turn with $129 million in venture capital, the strongest quarter of the year, bringing the total to $293 million. This is a stark contrast to the $1.8 billion recorded in 2024, with 2025 on track to attract only 25% of last year's total, according to DappRadar. DappRadar's Robert Hoogendoorn noted that the Q3 funding increase coincided with a broader crypto market surge, particularly in Bitcoin. He emphasized that investors are now more discerning, requiring development teams to present viable products and generate real demand. Notable funding rounds included E-PAL's $30 million, Shrapnel's $19.5 million, and SuperGaming's $15 million. While mainstream adoption remains a challenge, Hoogendoorn highlighted the potential for growth as reputable projects launch new games. The industry stands at a crossroads, resilient yet eager for mainstream breakthroughs, with over 2.7 billion active gamers globally representing a significant opportunity for blockchain-based games.