# The GameFi Graveyard: Why 75% of Web3 Games Are Already Dead

Here's a sobering reality check: if you launched a Web3 game in the last 5 years, there's a 3-in-4 chance it's now a ghost town.

CoinGecko just dropped a brutal report analyzing 2,817 Web3 games from 2018-2023. The findings? Around 2,127 projects are completely inactive (14-day average active users dropped 99%+). Average annual failure rate since 2018: **80.8%**.

The timeline tells the story:
- **2018**: 422 games launched, 307 failed (72.7% failure rate) - the hype wasn't there yet
- **2019-2020**: Only 244 games total launched as interest cratered; nearly 95% of them tanked
- **2021**: Bull run hit, failure rate dropped to 45.9% - finally some wins
- **2022**: Absolute carnage. Failure rate spiked to 107.1%, with 742 games becoming inactive in a single year
- **2023**: 509 projects dead, 70.7% failure rate - still brutal but trending better

The silver lining? That declining failure rate in 2023 might signal the space is finally stabilizing. The weak hands are shaking out, and what remains could actually have legs.

Bottom line: GameFi promised to revolutionize gaming. Instead, it became a lesson in hype cycles and poor tokenomics.