GameFi Edition: The Sandbox—Can We Bring Back the Hype?

Unpacking the Legends, lvl 1: A short series analyzing the big GameFi names.

Remember when everyone was talking about making money while playing video games? It was the peak of the GameFi industry, and there were many headlines about the wild possibility of earning money while playing online.

The Sandbox was one of the biggest names in this new world of GameFi, but like many trending games, its story isn't just about success–it's about challenges too. In this new short series analyzing the industry's legends, let's break down what The Sandbox is, how it blew up, and where it stands today.

What's The Sandbox All About?

If you still haven’t explored this project, think of The Sandbox as Minecraft or Roblox marries cryptocurrency. It's a virtual world where players can build, own, and monetize their gaming experiences. And as Minecraft, its success was pretty much a given due to its voxel nature and game mechanics, plus the hype about owning your creations. Here's what makes it special:

• You can create your own games without knowing how to code.

• Everything you make can be turned into NFTs.

• You can buy and sell virtual land, just like real estate.

• Players earn $SAND for participating.

The Rise to Fame

The Sandbox hit the gaming scene hard in 2018 when it transformed from a regular mobile game into a blockchain-based virtual world. With iconic partnerships with companies like Atari and Square Enix, plus $93 million in funding from SoftBank, The Sandbox seemed unstoppable.

At the beginning of its peak, the project welcomed over 1 million users (In 2024, the platform reached 5.7 million accounts created, but created accounts are different from active accounts) and became one of the most talked-about GameFi projects. In 2021, $SAND reached its ATH, touching $7.17. People were excited about the idea of earning money while being creative and having fun.

However, if you check the numbers now, it tells a different story. Currently, $SAND is hovering around the $0.3 mark. Fine, right now all the market is down, so it is not fair. Let’s say it is between $0.6 and $0.3.

Also, the platform has around 10,860 monthly active wallets, which is quite a drop from its glory days. And that’s just wallets, which means it’s people interacting with the token, not necessarily playing the game. The last season, which ended the past December, barely reached 580,778 unique players, even though there are 5 million accounts registered. As we said, created accounts aren’t the same as active accounts.

So, what happened?

What Caused The Decline?

There is a mix of reasons to reference, some about the game itself, others about the market; but their combination became lethal:

1. Money Problems: The value of $SAND became unstable, making it harder for players to predict their earnings. Many were playing for profits, so when it became uncertain or their earnings were affected, they left.

2. Been There, Done That: Many players got bored because the gameplay became repetitive, and there wasn't enough new content to keep them excited. Most experiences were basic, too simple, or simply boring. This is an issue that many projects are facing and it is a constant challenge for the industry.

3. Too Many Competitors: Lots of similar or more promising games appeared, splitting the player base across different platforms. If they were in it for the profit, and a new, more promising title showed up, they probably made the switch to capitalize on early play for later rewards.

4. Economic Design Flaws: Like many GameFi projects, The Sandbox struggled to maintain a healthy in-game economy that would keep players interested long-term.

It seems many popular projects in the industry have a common issue: when profit maximization takes precedence over engaging gameplay, players inevitably lose interest.

Is It Still Worth Playing in 2025?

Here's the truth: The Sandbox is still one of the biggest names in GameFi, with a market value of $1.1 billion, there is a reason why this OG is still one of the legends and hasn’t died like many others. But whether it's worth your time depends on what you're looking for:

Reasons to Try It:

• It's free to start.

• You can be creative and build your own games.

• There's still potential to earn money, though way less than during the peak, and you have to understand the mechanics to do so.

• The community is smaller but more dedicated. Most are in it for the gameplay, creativity, and fun.

Things to Consider:

• Earnings are not guaranteed and can be unpredictable.

• You might need to invest time (and money) before seeing results.

• The player base is much smaller than before.

Can The Hype Come Back?

Well, we stand here at the most important question: Can we bring back the hype? Can the OGs go back to their glory days?

The Sandbox could definitely make a comeback. But, it needs to make some changes and management needs to make some important decisions:

1. Better Gameplay: The focus needs to shift back to making the game fun, not just about earning money. Yes, the Fi aspect of the Game is important, but people want to be hooked and engage in playing, too, which will lead to higher gains either way.

2. More Regular Updates: New features and content need to keep coming to keep players interested. Season 3 was in 2022; season 4 was just last year, 2 years in the middle. When you check the graphic, it is clear the project was almost dead until the new season was announced. And that raises more questions: is there a rise in actual excitement about the game, or is it just interest due to potential gains and speculation?

Stats for the past year. We can see a peak in activity in October 2024, just when they announced the new season. We can also see how the activity drops when the season ends in December. Source: DappRadar

3. Community Focus: Listening to players and making changes based on their feedback is crucial.

So, where do we stand?

Whether The Sandbox will return to its former glory remains to be seen, but despite the market and users’ pessimism, we consider it a strong project with a lot of potential. There is a reason it hasn’t fully died, people still enjoy it, and many big names and companies are still holding their NFTs and developing content for it.

Season 4 partners. Some of them developed experiences for the game.

It is clear the project isn't the gold rush it once was, but it's still standing while many other GameFi projects have disappeared completely. So, if you're interested in creative gaming and don't mind the crypto aspect being less profitable than before, it might be worth checking out.