State of Immutable Q1 2025

Key Insights

• In Q1 2025, Immutable zkEVM’s average daily transactions increased 5.7% QoQ, rising from around 469,000 to 498,000. This growth signals underlying network activity resilience amid a broader contraction in Web3 gaming engagement.
• NFT sales volume across Immutable X and Immutable zkEVM declined 1.6% QoQ to $78.3 million, marking a modest pullback following a 55.3% increase in the previous quarter.
• Immutable X will be merged into Immutable zkEVM to form a single 'Immutable Chain.' While an official date has not yet been announced, the update is anticipated to occur in late 2025.
• The Immutable ecosystem saw continued momentum in content expansion, marked by several high-profile game developments. Notable milestones included the global launch of RavenQuest, the IMT token release for Immortal Rising 2, and MARBLEX’s announcement of seven upcoming titles set to launch on Immutable zkEVM in 2025.
• The U.S. Securities and Exchange Commission (SEC) concluded its investigation into Immutable without taking any enforcement action, closing a Wells Notice issued in November 2024.

Primer

Immutable offers scaling solutions for NFTs and gaming economies. It provides zero-to-minimal gas fees for minting and trading NFTs, fast transaction settlements, and scalable gaming infrastructure. James Ferguson, Robert Ferguson, and Alex Connolly founded Immutable in December 2018. On July 9, 2018, the company raised $2.4M in a seed round with participation from Coinbase Ventures, Santiago R Santos, Continue Capital, and Nirvana Capital. Immutable aims to address critical challenges in the gaming and NFT ecosystems, such as scalability, user experience, and developer efficiency, without sacrificing Ethereum's security and decentralization. Immutable achieves this through its two chains: Immutable X and Immutable zkEVM.

Immutable X is an Ethereum Layer-2 scaling solution leveraging StarkWare’s ZK-rollup technology to provide a high-throughput, cost-effective execution layer for gaming and NFT transactions. The protocol batches large numbers of transactions and submits validity proofs to Ethereum’s Layer-1, allowing Immutable X to handle over 9,000 transactions per second with zero gas fees for minting and trading. Immutable zkEVM is an EVM-compatible ZK-rollup, built using Polygon’s Chain Development Kit (CDK), which extends the Ethereum Virtual Machine (EVM) to support high-performance applications. Optimized for gaming, Immutable zkEVM offers developers an EVM-compatible environment with reduced computational overhead and enhanced privacy features, allowing for efficient, secure execution of complex gaming applications.

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Key MetricsPerformance AnalysisNetwork and Ecosystem OverviewToken Price and Market Capitalization

IMX is the native governance and utility token of Immutable X and Immutable zkEVM. In Q1 2025, IMX’s price declined 60.1% from $1.32 to $0.53. The circulating market capitalization also fell 58.4% from approximately $2.3 billion to $946.4 million. IMX’s circulating market cap ranking dropped further QoQ from 53rd to 64th, but remained within the top 100 cryptoassets by market cap. These declines reflected a broader downtrend across the Web3 gaming sector, which saw similar contractions in token valuations and investor sentiment.

NFT Trading Activity

In Q1 2025, total NFT sales volume across Immutable X and Immutable zkEVM declined 1.6% QoQ from $79.5 million to $78.3 million. Average daily sellers decreased 14.9% from around 880 to 751, while average daily buyers dropped 17.8% from approximately 800 to 662. The relatively stable sales volume despite lower participant counts indicates that transaction sizes continued to increase compared to previous 2024 quarters.

Guild of Guardians Heroes and Avatars NFTs accounted for 99.0% of the total NFT sales volume in Q1 2025. Despite an 8.5% drop in Heroes NFTs QoQ sales volume, the Avatars collection experienced a 40.4% QoQ increase from around $194,000 to $272,000. Furthermore, Immutable zkEVM’s share of total NFT sales volume across both networks surpassed 99.9% by the end of Q1 2025.

Immutable zkEVMNetwork Activity

Immutable zkEVM saw mixed user engagement trends in Q1 2025 following a pullback in Q4. Average daily transactions rose 5.7% QoQ from approximately 469,000 to 498,000 in Q1 2025. In contrast, average daily active addresses declined 31.5% from around 204,000 to 139,000 and average daily new addresses dropped 36.1% to about 20,600. These figures suggest that transactional activity remained resilient despite a decline in user growth, likely driven in part by increased engagement from existing users.

Contract Deployments

In Q1 2025, 87,000 new contracts were deployed on Immutable zkEVM, marking an 83.3% QoQ increase from around 1.03 million to 1.90 million total contracts. The growth followed the removal of the deployer allowlist, making Q1 the first full quarter of permissionless deployment on the network. Despite the rise in total deployments, average daily verified contracts declined 57.4% QoQ from approximately 12.8 to 5.5. Meanwhile, average daily contract deployers increased 1.5% from about 335 to 340. This suggests that the post-allowlist growth was driven more by existing developers increasing their deployment activity through automation, experimentation, or large-scale contract creation as opposed to a substantial influx of new developers entering the ecosystem.

Transaction Fees

​​Transaction fees on Immutable zkEVM are paid in IMX. In Q1 2025, average daily transaction fees increased 28.8% QoQ from around 477 IMX to 614 IMX. This rise occurred alongside higher transaction volumes, even as active addresses declined. This divergence suggests that activity may have been driven by increased transaction activity per user alongside more complex or gas-intensive transactions, such as the surge in contract deployments. Immutable continues to subsidize gas fees for Immutable Passport holders, reducing cost friction for players and supporting onboarding efforts.

Qualitative AnalysisImmutable Chain Announcement

After the conclusion of Q1 2025, Immutable announced plans to merge its two flagship blockchain solutions, Immutable X and Immutable zkEVM, into a single network known simply as "Immutable." This transition, anticipated to take place in late 2025, is designed to unify the Immutable ecosystem for Web3 gaming onto one platform.

Immutable X users’ assets will be automatically migrated to Immutable zkEVM wallets without requiring manual intervention; however, users who prefer not to migrate will have the option to withdraw their assets to Ethereum before the transition. Developers on Immutable X will need to update their applications to align with zkEVM’s infrastructure, including replacing deprecated APIs and adopting new RPC calls.

Ecosystem Growth

In Q1 2025, the Immutable ecosystem experienced continued growth, now encompassing over 500 games. Several notable titles achieved key developmental milestones during the quarter.

RavenQuest Key Developments

RavenQuest is an MMORPG built on Immutable zkEVM that launched globally in March 2025. By March 31, 2025, 14 days after its launch, the game had recorded over 1.60 million unique viewers and more than 9,000 concurrent viewers on Twitch. It became the fourth most streamed MMORPG on Twitch while maintaining its position as the most streamed Web3 game on the platform.

The QUEST token fuels the RavenQuest ecosystem. The token launched on April 3, 2025, and is distributed through gameplay-based mechanisms, including bounties, leaderboard rankings, guild activities, seasonal events, and a “Fame” earnings system. QUEST is also used for in-game purchases such as cosmetics, community land, marketplace fees, membership options, and access to specific events. Players are able to exchange QUEST for Silver, RavenQuest’s in-game currency, via a variable-rate conversion system.

Immortal Rising 2 Key Developments

In March 2025, Immortal Rising 2 introduced IMT, the game’s governance and utility token. IMT allows players to unlock premium in-game items, participate in governance by voting on game developments, and earn staking rewards. Alongside this, the IMT-Starlight Swap bridge was launched, enabling players to convert IMT into Starlight, the in-game currency earned through staking and ranking-based gameplay.

The game also debuted the Immortal Statue NFT Collection, featuring 3,000 limited-edition NFTs distributed via a raffle system. The collection includes two tiers:

• Exalted Immortal Bust: Priced at $50 worth of IMX, this NFT provides daily in-game rewards, token airdrops, and exclusive NFT claims to enhance gameplay.
• Divine Immortal Effigy: A rarer NFT awarded randomly at a 20% probability to those who minted an Exalted Immortal Bust. It offers enhanced rewards and additional prestige within the game.

Additionally, Immortal Rising 2 launched the Ambassadors Program, designed to incentivize players, content creators, and community leaders to promote the game and engage with its community. This program features four tiers—Ember, Spark, Blaze, and Inferno—each offering progressively greater rewards such as $IMT tokens, exclusive NFTs, and in-game perks. Participants are evaluated based on contributions like social media promotion, content creation, player referrals, and engagement metrics to ensure rewards reflect their efforts.

MARBLEX Key Developments

MARBLEX, the Web3 gaming division of Netmarble, revealed its 2025 roadmap in February. The roadmap features seven upcoming Web3 games set to launch on Immutable zkEVM.

• Self-Made Billionaire: A business simulation game where players build companies, participate in the stock market, and compete with other players. As of the time of this report, Self-Made Billionaire is ranked as the number 1 mobile game on Google Play in Korea.
• Mercenary Children: A collectible RPG set in a fantasy world. The game will feature over 45 heroes with unique abilities that players assemble into teams to protect their world from monsters and earn rewards.
• Dice Go!: A real-time PvP game inspired by Monopoly that incorporates digital assets. Players roll dice, trade, and compete to bankrupt opponents.
• Project Mine: A farming simulation game centered on cultivating and mining resources to develop virtual lands.
• Meta Toy: Dragonz Saga: A collectible RPG with over 300 dragon-themed characters, town-building mechanics, and exploration-driven gameplay.
• Project X: A survival-based action RPG set in a post-apocalyptic world where players collect characters, assemble them, and engage in combat.
• Mad Island: Age of Chaos: A survival-based MMORPG where players progress to upgrade their skills and complete a dark fantasy storyline.

To enhance these titles' integration into the Web3 ecosystem, MARBLEX has adopted Immutable’s Orderbook AP to enable seamless peer-to-peer trading within its ecosystem. Additionally, MARBLEX has introduced game-first NFT integrations, focusing on enhancing gameplay through genre-specific NFTs such as tradeable gear for MMORPGs or exclusive characters for RPGs. These NFTs are designed to evolve dynamically with metadata updates and are managed through MARBLEX’s MBX Station.

MetaGravity Partnership

In January 2025, Immutable announced a strategic partnership with MetaGravity, aimed at integrating the Edge of Chaos gaming franchise into the Immutable ecosystem. This collaboration specifically includes the launch of two key games —Edge of Chaos: Dungeons and Edge of Chaos: Apocalypse — as foundational experiences within the broader Edge of Chaos open-world MMORPG universe.

Edge of Chaos: Dungeons serves as a browser-based entry point into the Edge of Chaos ecosystem. In contrast, Edge of Chaos: Apocalypse offers a combat-focused multiplayer experience. The partnership combines MetaGravity's HyperScale Engine with Immutable’s GameFi infrastructure. MetaGravity aims to enhance Edge of Chaos gameplay by facilitating an in-game economy that incorporates NFTs and digital assets, along with streamlined access provided by the Immutable Passport.

Additional Key Developments

Several additional games built on Immutable zkEVM that underwent key developments in Q1 2025 include:

• Engines of Fury: A top-down extraction shooter that introduced “Season 1, Act 2: CLIFFSIDE” in February 2025. This release expanded its post-apocalyptic narrative with new gameplay elements, alongside rewards in FURY tokens and NFTs for players.
• Treeverse: An open-world MMORPG that launched on the Epic Games Store and Google Play. The game also introduced new gameplay features in March 2025, such as a skill progression system, improved combat mechanics, and a dungeon challenge for top players.
• REVENGE: A cooperative PvE extraction shooter game that features innovative spectator mechanics, enabling viewers to influence gameplay by modifying environments and triggering events. The game entered the pre-alpha launch phase in January 2025.
• BADMAD ROBOTS: A team-based shooter powered by Unreal Engine 5. The game includes 6v6 PvP modes, esports-focused tournaments, and an NFT marketplace that offers digital collectibles like character skins and equipment. In February 2025, the game launched in closed beta with six unique gameplay characters.
• Chumbi Valley: A Web3 role-playing game that combines exploration, farming, breeding, and turn-based combat within a fantasy setting. In February 2025, the game announced a partnership with Immutable ahead of its beta launch and plans to deploy on Immutable zkEVM.
• Zipclash: A play-to-earn (P2E) game that launched on Immutable zkEVM in March 2025. The game combines cooking and farming gameplay, allowing players to manage their own kitchens, master various recipes, and compete in an intergalactic cooking contest to earn rewards like “gems” and real-world food.

Beta Version of Perpetual Rewards

Immutable launched the beta version of its Perpetual Rewards program during Q1 2025. The program introduces continuous rewards for players, allowing them to earn “gems” by completing daily in-game objectives, holding digital collectibles, and participating in key events. Perpetual Rewards supports games like RavenQuest, using dynamic quests and weekly payouts to enhance player engagement and retention. Users can redeem “gems” for “keys” that offer the chance to unlock various rewards like IMX tokens, NFTs, and more.

Growth of the Inevitable Games Fund

The Inevitable Games Fund is a joint initiative between King River Capital, Immutable, and Polygon Labs. The fund experienced significant growth over the past nine months, expanding its assets under management (AUM) by 180% to reach $280 million by March 2025. This growth reflects increasing investor confidence in the Web3 gaming sector and the fund’s ability to identify and support high-potential projects. The fund's portfolio includes 16 projects spanning various Web3 gaming genres.

Conferences and Events

In March 2025, Immutable collaborated with partners RavenQuest, Polygon Labs, Sequence, and MetaGravity at the Game Developers Conference (GDC) to showcase advancements in decentralized gaming. The company highlighted its ecosystem growth in 2024, including onboarded games like RavenQuest. At the conference, Immutable hosted the Immutable Saloon, a side event featuring interactive gaming events and networking opportunities.

SEC Closes Investigation

In March 2025, the U.S. Securities and Exchange Commission (SEC) formally concluded its investigation into Immutable without pursuing enforcement action, closing a Wells Notice that was issued in November 2024. Immutable co-founder and president Robbie Ferguson described the resolution as a milestone for the company and the broader Web3 gaming sector, stating it allows the firm to focus on expanding digital ownership infrastructure for the global gaming market.

Closing Summary

Q1 2025 represented a period of strategic consolidation and measured progress for Immutable amid broader industry headwinds. Immutable zkEVM demonstrated resilience, with average daily transactions increasing 5.7% QoQ to about 498,000, despite a -31.5% decline in active addresses. NFT trading volume across Immutable's networks saw a slight decline of 1.6% QoQ, totaling $78.3 million; notably, Immutable zkEVM accounted for over 99.9% of this volume as Immutable X prepares to be merged into Immutable zkEVM by late 2025.

Immutable’s ecosystem continued its expansion, now encompassing over 500 gaming titles and achieving key milestones such as the global launch of RavenQuest, the introduction of Immortal Rising 2’s IMT token, and MARBLEX’s announcement of seven major games slated for release on Immutable zkEVM throughout 2025. Furthermore, the closure of the SEC investigation without enforcement action marks an important regulatory milestone for Immutable, enabling the company to concentrate on advancing its GameFi infrastructure and strengthening its role in the evolving Web3 gaming sector.