One of the most valuable games in the world is playing blockchain

Blockchain-based gaming is being adopted at an increasingly rapid rate, new data suggests, even as the popularity for other applications such as decentralized gaming tokens and non-gaming are showing signs of wear.

According to the most recent blockchain game Alliance statement, over 804,000 unique users connected to blockchain-based games in July. The trend indicates that while the gaming sector is in the throes of speculative activity which is driving up volatility, the novel market is rapidly expanding its user network.

Notably, the blockchain-powered game Axie Infinity dominates the industry, the BGA revealed data. With over $1 billion in trading volumes - $600 million of which came in July — the game became the most valuable collection of non-fungible tokens. Launched in 2018 by Vietnamese developer, Sky Mavis, Axie Infinity is a play-to-win game inspired by the popular video game franchise Pokemon.

And based on Google Trends, the search for Axie Infinity doubled even that of Activision's hugely popular first person shooter franchise, 'Call of Duty.

Along with Axie's whopping 453% increase of trading volume since June, the report suggested that sales volume often leads to growth in social media followers via Twitter and Discord.

In Axie Infinity, players can raise various monsters called 'Axies', breed and battle. Each one comes with its own unique NFT that can be raised, traded and battled.

Built on Ethereum blockchain, the video game allows users to earn money through game play. Axie Infinity has become more and more popular in countries like the Philippines, where players can simultaneously play the game by playing it.

According to Token Terminal, the game's governance token, AXS, helped Axie Infinity generate more revenue in July than any other cryptocurrency — Ethereum and Bitcoin. Since the beginning of August, the price of AXS has nearly doubled, from $38 to $74. Coinbase, the largest cryptocurrency exchange, bought AXS on August 11.

The report also shows that Binance Smart Chain a to become an Ethereum competitor, became the most used blockchain protocol for gaming in July with 658,000 unique users.

The growth of BSC last month was driven most by its own native game earn — such as the battle game, CryptoBlades. In recent days, the game has attracted more than 350,000 daily users.

The top 21 Crypto Leaders to watch in back half of 2021.