Disclaimer: The insights presented in this report are based solely on data from the dapps tracked by DappRadar on XAI, and do not encompass all the transactions conducted on the blockchain as a whole.
In the fast-paced world of blockchain, Xai has emerged as a groundbreaking Layer-3 network, built on Ethereum’s Layer-2 solution, Arbitrum, to reshape the gaming landscape. By delivering faster transactions and lower fees, Xai directly addresses key challenges in blockchain gaming, offering an optimized, user-friendly experience for gamers and developers alike.
This report dives into Xai’s Q3 2024 performance, analyzing core metrics, user growth, transaction volumes, and notable projects that define its expanding ecosystem. Through this, we capture Xai’s rapid rise in the Web3 gaming sector and its role in driving innovation forward.
Key Takeaways
- Xai recorded an average of 86,669 daily Unique Active Wallets interacting with dapps in Q3 2024, marking a 7% increase from Q2.
- The gaming sector maintained its lead on Xai, accounting for 60.9% of total activity, underscoring its role as a central focus on the network.
- Xai processed over 11 million transactions during Q3 2024.
- Europe Fantasy League and The Lost Glitches are the most used gaming dapps this quarter.
Table of Contents
1. What is XAI?
Xai has emerged as a pioneering Layer-3 network designed to transform the gaming industry. Built on top of Ethereum’s Layer-2 scaling solution, Arbitrum, Xai aims to elevate the gaming experience by offering faster transactions and lower fees, tackling some of the biggest challenges in blockchain gaming today.
Officially launched on January 9, 2024, the Xai blockchain marked a significant step in integrating blockchain technology with mainstream gaming. This milestone launch included the debut of Xai’s native gas token, XAI, through Binance’s Launchpool, which facilitated high trading volumes and integrated Xai’s mainnet into the exchange.
The Xai network uses XAI as its core gas, utility, and governance token. Notably, through sponsored gas fees, users often don’t need XAI to interact with the network, reducing barriers for entry. Additionally, Xai has introduced esXAI—a wrapped version of XAI used in staking initiatives to support network security. Users can stake esXAI on nodes and earn an Annual Percentage Rate (APR) as a reward, while node owners also earn esXAI.
For stakers and validators, esXAI is exclusively used for staking. To redeem esXAI for XAI, users must undergo a 180-day waiting period for a 1:1 conversion. Those opting for a shorter period are subject to a penalty, receiving less XAI in return. This staking mechanism is designed to enhance security by incentivizing long-term participation.
The development and success of Xai are the results of a collaborative effort by several key entities:
- Offchain Labs: As the creators of Arbitrum, Offchain Labs played a crucial role in developing and supporting the Xai blockchain, utilizing their expertise in Layer-2 technology to boost Xai’s scalability and efficiency.
- Ex Populus: This game development studio is responsible for creating and deploying games on the Xai network. Titles such as “Final Form” and “LAMOverse” are among the projects set to launch on the platform, further building Xai’s gaming ecosystem.
- Xai Foundation: Serving as the custodian of Xai’s infrastructure, the Xai Foundation oversees the network’s strategy, stability, security, and community development. In October 2024, John Shipman was appointed CEO to drive Xai’s growth and adoption.
Together, these organizations are constructing a decentralized gaming ecosystem that empowers both developers and gamers. Their collective vision is to seamlessly integrate blockchain technology into gaming experiences, fundamentally enhancing the industry.
2. On-Chain activity overview
In Q3 2024, Xai’s on-chain activity showcased remarkable growth, underscoring the chain’s expanding influence within the blockchain gaming ecosystem. The network averaged 86,669 daily Unique Active Wallets—an astonishing 86,569% increase compared to the previous quarter. This surge highlights an exponential rise in user engagement on Xai, as tracked by dapps listed on DappRadar, marking a transformative quarter for the chain.
Xai’s reputation as a gaming-focused blockchain solidified further this quarter, with gaming dapps capturing 60.9% of the activity share. The NFT sector followed with 38.8%, while DeFi saw minimal engagement, representing just 0.3% of the activity. This breakdown reflects Xai’s clear focus on gaming and digital collectibles, areas that align with its foundational mission.
Transaction volume also saw a dramatic increase, totaling 11 million transactions, which marks a 17,418% rise from Q2. This surge emphasizes the growing engagement and activity across the Xai ecosystem, indicating a substantial uptick in user interaction and overall network usage.
This remarkable growth demonstrates how the Xai blockchain has rapidly captured attention in the dapp world. As a newly launched chain, it has successfully driven significant activity and engagement within a short time frame. For those interested in real-time insights, visit our dedicated Xai chain page on DappRadar for up-to-date metrics and analysis.
3. Gaming ecosystem
Xai has rapidly established itself as a dynamic hub for blockchain gaming, attracting a diverse array of developers and players. Its Layer-3 architecture, built atop Arbitrum, offers enhanced scalability and reduced transaction costs, making it an ideal platform for gaming applications. This infrastructure has enabled the seamless integration of various gaming genres, from fantasy sports to role-playing games, fostering a vibrant and interactive ecosystem.
Capitalizing on the excitement surrounding the European Championship, Xai hosts the Europe Football Fantasy (EUFT) League. In this platform, users can earn tokens by participating in daily missions, with earnings influenced by the real-world performance of their selected teams. This integration of live sports data with blockchain technology offers an engaging experience for football enthusiasts.
Several gaming projects have transitioned to Xai from other ecosystems, including Crypto Unicorns. This game recently migrated its smart contracts from Polygon to Arbitrum and Xai, introducing a new governance token called CU. Players can acquire their own unicorns, develop unicorn farms, and enjoy various mini-games, all within a decentralized framework that enhances player ownership and engagement.
The Lost Glitches is an innovative RPG-style trading card game (TCG) set in the cyberpunk universe of the Deep Sky Network. Developed by Honig Studios and published by Mimunga, it combines traditional TCG elements with role-playing mechanics, allowing players to build unique decks and engage in strategic battles. This fusion of genres provides a rich and immersive gaming experience, showcasing the versatility of the Xai platform.
Beyond these titles, Xai hosts a variety of other games that may not yet be listed on DappRadar. Developers of these games are encouraged to list their titles to enhance visibility and engagement. Notable examples include:
- Final Form: A trading card game (TCG) auto-battler with rogue-lite elements, allowing players to evolve cards and compete in the arena.
- My Angry Yakuza Girlfriend: A social competitive PC game set in a stylized version of 1990s Tokyo, Japan.
- Valeria: Players summon, train, evolve, and battle Valerians through various game modes, including PvP matches, quests, dungeons, survival mode, and tournaments.
- Tarochi: An ambitious on-chain RPG where every quest, challenge, and monster caught becomes part of the blockchain history.
- Chains of the Eternals: The first open-world MMORPG in DeFi.
- Wrath of the Jungle: A game where attackers lead hordes of enemy creatures through the jungle to destroy the defender’s base, while defenders use various towers to fend off attackers.
- LAMO: Described as the ultimate NFT collectible, shareable, connected-play, pop culture metaverse.
- Hall of Goats: A premier sports entertainment platform merging sports, gaming, technology, and fandom.
These examples highlight Xai’s growing prominence as a gaming hub, offering a diverse range of experiences that cater to various player interests. The platform’s robust infrastructure and commitment to innovation continue to attract developers and gamers, solidifying its position in the blockchain gaming landscape.
4. Closing words
As demonstrated throughout this report, Xai’s performance in Q3 2024 underscores its rapid ascent as a key player in the blockchain gaming landscape. With exceptional growth in on-chain activity, a compelling lineup of games, and an impressive increase in user engagement, Xai is proving its potential to reshape the Web3 gaming industry. The diverse and dynamic ecosystem that Xai fosters serves as a testament to the platform’s capacity to deliver scalable, user-friendly blockchain solutions for gaming.
With Xai’s expanding gaming hub, more opportunities await for developers and gaming communities to make their mark. For those who are part of the Xai ecosystem, listing a dapp on DappRadar is an essential step to gaining visibility and reaching a global audience of Web3 and gaming enthusiasts.
Missing a dapp? List it now!
Developers and Xai community members can easily showcase their projects on DappRadar, connecting with our global community of Web3 users. Simply create an account on our Developer Dashboard, complete the required details, and submit your project. Dapps at any development stage, with or without smart contracts, are welcome.
Once approved by our moderators, listed projects gain enhanced visibility on our platform, increasing their chances for success. Developers can also leverage additional DappRadar services, such as advertising, Boosting Power, and Quests, to amplify their project’s reach.
