The use of AI-driven cryptocurrency applications has surged this year, with investment surpassing last year's total.

In 2025, AI-driven decentralized applications are rapidly gaining ground, with their market share increasing to 19%, challenging blockchain gaming's dominance at 20%, according to a DappRadar report. This trend is supported by robust funding, which saw a 9.4% increase over the last year, reaching $1.39 billion, indicating strong investor confidence in AI as a core component of the Web3 infrastructure.

Arjun Renapurkar

June 27, 2025

The landscape of decentralized applications (DApps) is undergoing a seismic shift, significantly driven by the integration of artificial intelligence (AI). According to a recent report from DappRadar, AI-related on-chain activity has seen an 86% increase so far in 2025, bringing the daily unique active wallets count to an estimated 4.5 million. Such figures not only highlight a surge in participation but suggest a deeper, structural transformation within the blockchain ecosystem.

Previously, blockchain gaming held the throne for the most dominant type of DApp. However, AI applications are now closing in, growing their market share from 9% at the beginning of the year to 19%, nearly surpassing the gaming sector's 20%. Sara Gherghelas of DappRadar points out that this isn’t merely a fleeting trend but a reflection of how users are evolving their interactions with decentralized technologies. It appears that whether through DeFi copilots or gaming assistants, AI agents are increasingly becoming a vital interface layer on the blockchain.

Funding for AI agents has also experienced robust growth, with a 9.4% increase over the previous year, totaling $1.39 billion so far in 2025. While still trailing behind behemoths like OpenAI in absolute numbers, the investment into AI agents within the blockchain space is quite notable. It's on par with, if not surpassing, other prominent Web3 verticals such as blockchain gaming. This indicates a growing investor confidence in AI as a fundamental component of Web3 infrastructure that could redefine user interaction across multiple protocols and applications.

The geographical distribution of AI DApp users adds another layer of complexity to the narrative. Most users are from Europe, comprising 26% of all interactions, with a significant portion emanating from Asia and North America as well. This global spread underscores the universal appeal and application of AI in the blockchain space, transcending continental boundaries and localized markets.

This increasing integration of AI into blockchain technology isn't just expanding the functionality of DApps but is reshaping user expectations and experiences. As AI continues to mature and more developers harness its capabilities, we may witness a new era where AI-driven applications could lead the charge in defining the next generation of blockchain innovations. For interested stakeholders, following these developments will be crucial in understanding where the market is headed and how best to align with these emerging trends. For more insights into how AI is reshaping other sectors, this detailed analysis provides a broader view of the impact across different industries.

As the lines between AI and blockchain continue to blur, the implications for regulatory frameworks, investment strategies, and technological deployments will be significant. Stakeholders across the spectrum, from investors to developers and regulators, will need to stay informed and agile to navigate this rapidly evolving landscape.

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