As you can see, the Web3 landscape has shifted considerably. AI-based Decentralized Applications (DApps) are picking up speed and starting to break the chokehold of Decentralized Finance (DeFi) and blockchain based gaming. This wave of momentum is making new use cases possible and brings more users to the AI-powered space every day. Recent figures indicate a tremendous increase in the amount of daily active wallets interacting with AI DApps. This rapid evolution represents a significant shift in the Web3 environment.

AI DApps on the Rise

AI-based DApps have seen astronomical growth, hitting 3.8 million daily active wallets. This is a huge increase from the 2.6 million daily active wallets reported in February. It’s a testament to just how fast AI adoption is taking place across the Web3 space. Notable examples of these creative uses are the LOL application and Dmail, an AI-driven messaging service.

According to Sara Gherghelas, an analyst at DappRadar, this is where the biggest change can be felt. AI is gunning for the Web3 crown,” she said, highlighting the revolutionary power of AI DApps.

DeFi and Gaming Face Declines

Even though AI DApps are booming, the DeFi and blockchain gaming industries are witnessing a slump. The DeFi sector, for instance, has dropped 16%, and the blockchain gaming sector has fallen by 10%. This juxtaposition illustrates the changed priorities and new interests of the Web3 community since then.

This growth of the AI DApp market indicates a growing use case outside of finance use cases and gaming. Users are now more than ever chasing highly specialized functionalities and experiences that only AI-powered platforms can deliver.

The Future of Web3 with AI

All indications are that the combination of AI and Web3 is not a temporary trend. It’s a powerful change that is currently remapping the entire ecosystem. AI-powered DApps are opening up exciting new opportunities and experiences, and luring a wider, more diverse audience to the world of decentralized technology. With the endless possibilities that AI can provide, its place in creating the future of Web3 will surely grow stronger as AI does.

Ariela R., 31, web writer, seven years in profession A few years ago, she found trading and cryptocurrency, and now she feels that AI will continue to grow within the Web3 environment. As a builder she feels the use cases for AI DApps is limitless.