Professionals from traditional gaming backgrounds now outnumber blockchain and cryptocurrency specialists at Web3 games companies, according to the Blockchain Game Alliance (BGA).

The BGA’s 2024 State of the Industry report revealed that 52.5% of respondents have expertise in gaming, the most since the survey began in 2021. Blockchain and cryptocurrency specialists now make up just 10.8% of the industry, down from 21.7% last year.

“For an industry that has faced great scrutiny regarding the importance of building fun-first and less financialized games, it is significant to see an increased prevalence of professionals coming from a background in gaming as opposed to blockchain or cryptocurrency,” the report noted.

The report also highlighted that digital asset ownership remains the most valued feature of blockchain gaming, with 71% of the 623 respondents identifying it as the top benefit. This trend has persisted since the BGA’s inaugural survey in 2021. Other benefits, such as new player reward models and revenue opportunities, were also noted, emphasizing the potential of blockchain to reshape gaming.

Despite progress, challenges remain. Poor user experience and onboarding issues were identified as the industry’s biggest hurdles by 54% of respondents, down from 80% in 2023, reflecting efforts to simplify blockchain gaming and make it more accessible.

“Innovations in design and functionality have reduced barriers and these advancements are helping to ensure that the Web3 gaming ecosystem is more intuitive, inclusive, and welcoming to a broader audience,” said Sebastien Borget, president of the BGA and co-founder and COO of The Sandbox.

Two-thirds of respondents also cited accusations of blockchain games being scams as a persistent issue. Some 30% of respondents also said they had encountered criticism that Web3 gaming is full of bots.