Delphi Digital: GameFi Funding Volume to Drop Over 55% YoY by 2025, Web2.5 Games Emerge as a New Growth Vector

On December 30, Delphi Digital published a post noting that “2025 has been a tough year for GameFi. Overall funding dropped by over 55% year-over-year, some highly anticipated project rollouts fell short of expectations, and market enthusiasm cooled significantly. But taking a longer view, the picture is more complex.” “We’re seeing a quiet surge in Web2.5 games. These titles treat blockchain as pure infrastructure—often skipping token design entirely—instead competing on real revenue and product experience. Studios like Fumb Games, Mythical Games, and Wemade/Wemix continue to drive meaningful revenue while leveraging blockchain in their own ways: it helps boost profit margins, strengthen user engagement, or unlock new monetization channels.” “In contrast, native Web3 games also generated seven-figure revenue this year, but their player bases remain small, with most users being bots. Once incentive programs run dry, the games often lose their appeal—though some teams are testing new mechanisms to fix this.” “Web2.5 studios can now fully tap blockchain’s benefits without forcing users into speculation or making excuses for clunky user experiences. As stablecoin adoption grows, this trend will accelerate. Microtransactions, global payment rails, and engagement-based reward systems will become more accessible.”