Economic expansion propelled by the gaming sector, as per Messari's assessment regarding Sei's economy
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The Sei network has experienced a remarkable surge in the first quarter of 2025, with the gaming sector leading the charge. According to the Messari report, this growth can be attributed to several key factors.
The integration of EVM compatibility on Sei, notably Binance completing Sei EVM integration, has enhanced developer accessibility and interoperability within the ecosystem, encouraging more gaming projects and users to participate. This integration has played a significant role in attracting new users and developers to the Sei network.
Another driving factor is the rise of decentralized gaming experiences leveraging NFTs and metaverse elements. This trend, prevalent in Cosmos-based ecosystems, supports gaming growth through live NFT auctions and artist performances within metaverse worlds.
The use of Layer 2 and vertical scaling solutions on the Sei network has also been instrumental in lowering transaction fees and optimizing off-chain execution, making gaming transactions more efficient and affordable. This is crucial for real-time and high-frequency gaming use cases.
The broader expansion of GameFi and NFT utility in the Cosmos ecosystem, with initiatives like Passage3D aiming to improve the GameFi ecosystem that runs on Cosmos, has further fueled increased adoption and innovation on Sei’s compatible infrastructure.
World of Dypians, a game available on Epic Games, led gaming transactions on Sei with an average of 61,220 daily transactions. Other notable gaming projects on Sei include Europe Fantasy League, Hot Spring, FishWar, and Quizmatch. The gaming diversity index on Sei is 8, meaning eight different applications represented 90% of the quarterly gaming-related transactions.
The upgrade to Sei V2, implemented in May 2024, introduced compatibility with Ethereum smart contracts (EVM), optimistic parallelization, and a new storage interface called SeiDB. This upgrade has undoubtedly contributed to the network's growth.
The DeFi sector on Sei showed solid performance during the first quarter of the year, with a 73.7% increase in total value locked (TVL) in dollars, reaching $363 million. Notable DeFi protocols like Yei Finance ended the quarter with a TVL of $192 million, representing 53.2% of the network's total. The growth in TVL in SEI units was even more significant, with a 299% increase, indicating that users continue to deposit confidence and resources into existing DeFi protocols on the network.
New DeFi protocols such as Takara Lend and Avalon Finance have emerged, further diversifying the financial services offerings on Sei. Collaboration with platforms like Gitcoin and integrations with development tools and services such as Alchemy, elizaOS, and Chainlink have expanded the network's technical capabilities.
The Sei network achieved a processing capacity of 5.4 gigabytes per second, equivalent to approximately 115,000 transactions per second (TPS), with a completion time of just 700 milliseconds. This impressive performance underscores the network's readiness to handle the growing number of transactions.
In conclusion, the Messari report provides a detailed overview of the factors driving this growth, including technical innovation, community strengthening, and the expansion of practical use cases on this blockchain network. The future looks promising for the Sei network, with Sei announcing the development of Giga, a future upgrade that promises to multiply current performance by fifty.
- The integration of EVM compatibility and collaboration with platforms like Alchemy and Chainlink have strengthened the financial capabilities of the Sei network, attracting DeFi projects like Takara Lend and Avalon Finance.
- As safety is paramount, the Sei network's impressive processing capacity of 115,000 transactions per second (TPS) ensures smooth and efficient gaming and Finance transactions, staying ahead in the era of technology.
