Bitget General Manager Gracy Chen: After the rise of YGG, institutions have started to reduce their positions, and the Cancun upgrade will benefit the GameFi sector

ChainCatcher news, recently, YGG has led the GameFi sector, however, the heat of the track has been maintained for a short time. As a gaming guild concept, the projects most closely associated with YGG are Merit Circle and Guild Fi, but both of these projects have shown weak performance subsequently, with significant price spikes. Additionally, leading platform tokens such as GALA, MAGIC, and IMX have not seen significant capital inflows, indicating that this GameFi sector has not experienced a true recovery.

Through on-chain data analysis by Bitget Research Institute, it was found that during the rise of YGG, DWF Labs, BITKRAFT Ventures, a certain whale, Youbi Capital, Sfermion, and Wintermute transferred 3.64 million, 1.57 million, 2 million, 1 million, 1.2 million, and 11.1 million YGG tokens to Binance, respectively.

Regarding the future development of the GameFi sector, Gracy Chen stated: "We can maintain medium to long-term attention on the gaming sector. First, the gaming sector has undergone a long period of bottom washing, and the chips in the hands of retail investors have basically been collected by institutions. Secondly, institutions continue to invest; since the beginning of this year, over 90 gaming projects have raised funds, amounting to hundreds of millions of dollars. Finally, the Cancun upgrade will bring benefits; as the Cancun upgrade significantly enhances Layer 2 performance, it will facilitate the multi-chain deployment and operation of GameFi games. The improvement of infrastructure and performance may lead to capital speculation."