Blog Banner: Covalent is First to Index App-Chains, Focusing on Booming Web3 Gaming Sector

Covalent is First to Index App-Chains, Focusing on Booming Web3 Gaming Sector

New York, NY, October 11th, 2022 – Coinbase Ventures and Binance Labs backed Covalent, a Web3 data provider and Unified API Key creator, today established its role as the first blockchain data provider to index app-chains (application-specific blockchains) through its partnership with games DeFi Kingdoms (play-to-earn) and Crabada (play-and-earn) in the Avalanche ecosystem, creating newfound access to quality GameFi analytics. As decentralized gaming continues to explode in popularity, the need for user behavior data has skyrocketed as stakeholders look to further unlock innovation and help the sector reach its full potential.

Unlike monolithic blockchains, which host numerous decentralized applications (dApps) on a single chain, app-chains like Avalanche Subnets are purpose-built for one dApp and its community to focus on combined principles of scalability, security, and customization.

Though still widely unknown, Covalent is an early adopter of app-chains as a solution to issues of readability for diverse applications spanning GameFi, DeFi, NFT marketplaces and more. By indexing the Avalanche Subnets underpinning DeFi Kingdoms and Crabada, Covalent is the first to offer added depth and granularity to GameFi analytics currently available.

“We are constantly developing new methods of sourcing and presenting valuable blockchain data, and our actions as the first Web3 data provider to index app-chains further demonstrates our innovative nature,” said Covalent CEO Ganesh Swami. “The future of app-chains as a rich source of analytics is clear, and while we are starting with GameFi today, the possibilities are endless. This is greatly beneficial to all ecosystems that are hosting a growing number of app-chains themselves, our goal is to make sure every corner of their ecosystems will be readily readable by users. ”

While GameFi has seen strong adoption, a lack of quality analytics creates a barrier to entry for those looking to navigate the sector. With the addition of play-to-earn app-chains to its multi-chain Unified API, Covalent’s enhanced data offerings present a solution to the existing information gap. Building on its 2022 GameFi report which analyzed over 4.7B rows of data across Avalanche, Polygon, Ronin and BNB Chain to showcase reach (user growth), retention and revenue in the GameFi space, indexing DeFi Kingdoms and Crabada add even more detail to growing trends and patterns within the space.

Avalanche Subnets enable anyone to easily create powerful, reliable, and secure custom blockchains. This includes features not available on other chains, like selecting which validators secure their activity, which token is used for gas fees, custom economic models, and more. Crucially, Subnets remain natively integrated with the broader Avalanche ecosystem, don’t compete with other projects for network resources, and are available in an unlimited supply.

“Avalanche is pioneering new ground in Web3 gaming with the advent of Subnets,” said Ed Chang, Director of Business Development, Gaming at Ava Labs. “As momentum builds toward mass-scale demand, so does the challenge of compiling the data and information that informs further game development. Covalent is playing a key role in helping these projects discover trends within their games and build features that users want most."