> For the complete documentation index, see [llms.txt](https://contact-63.gitbook.io/cebg-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://contact-63.gitbook.io/cebg-whitepaper/vision-and-mission/background.md).

# Background

{% hint style="info" %}
The BGA Blockchain Game Report 2021 tells the story and shows the numbers of some of the most remarkable movements in the blockchain industry this year: gaming.

From DappRadar [Blockchain Game Report 2021](https://dappradar.com/blog/bga-blockchain-game-report-2021)
{% endhint %}

#### In 2020, blockchain-based games were still considered a niche market.

The most played blockchain game was Axie Infinity, with 15,000 daily active users (DAU). At the time, the biggest challenge facing blockchain games was whether the speed and costs of blockchain transactions could meet the needs of the huge number of gamers.

#### In 2021, GameFi grew rapidly.

{% hint style="info" %}
According to DappRadar data, 1.4 million Unique Active Wallets (UAW) interact daily with game Dapps, accounting for 49% of the industry’s total usage in December 2021.

Game Dapps like Splinterlands and Alien Worlds attract over 200,000 daily UAW on average, while game NFTs represent 20% of the $23 billion in NFT trading volume of 2021.
{% endhint %}

In 2021, blockchain gaming is rapidly evolving thanks to certain Layer 1 networks and scaling solutions that greatly enhance the efficiency of game development as well as the gamer experience.

On a user level, the number of blockchain game players has surged. The P2E model has taken Southeast Asia by storm and has dominated the headlines in the media, bringing blockchain closer to mass adoption and having a profound impact on our society

In terms of investment, GameFi and its underlying infrastructure received a total of more than $4 billion, an increase of 5,000% over the previous year.&#x20;

A number of investment firms in the blockchain space have reaped success stories, including the well-known venture capital firm Animoca Brands, whose assets even quintupled in just two months from September to November thanks to its successful investments in the NFT and GameFi sectors.

{% hint style="info" %}
“The reserve of digital assets belonging to the Animoca Brands ecosystem of products and platforms has risen from a value of about US $2.9 billion at the end of September 2021 to about US $15.9 billion at the end November 2021 — [a more than five-fold increase in only two months.”](https://cointelegraph.com/news/animoca-brands-treasury-increased-in-value-by-5x-over-two-months)
{% endhint %}

#### **2022 will be the year when hundreds of millions of users will step into the world of the nascent metaverse, driven by GameFi.** &#x20;

After a strong 2021, the future of P2E looks even brighter. The large amount of money raised has certainly provided teams with extra ammunition to continue developing and enhancing their current products. But perhaps more importantly, the general public is beginning to realize the power of GameFi and P2E.

<br>


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