- Revolution Web3 Gaming
- Not Financial Advice.
- P2E encompasses several Revenue streams.
- Startup capital
- Tokens Native tokens are utilized in the majority of Web3 games.
- Here are five criteria to consider when evaluating Web3 games' longevity.
Revolution Web3 Gaming
Blockchain games are cutting-edge. Thanks to Axie Infinity’s Play-to-Earn (P2E) model the gaming industry is about to undergo revolutionized, and brought in motion by web3 technologies and, in particular, the blockchain.
Thus, native tokens such as NFTs, can help allow for a more democratized ownership in games. Both gamers and experts are skeptical because P2E is, in essence, prone to be a risk.
Web3 will be the next generation of games however we need the right tools to explore it. We compared 40+ of the most popular current and coming games to come up with five criteria to evaluate the long-term viability of web3 games.
Not Financial Advice.
P2E is the standard blockchain Gaming Business Model, and it is exciting for players.
P2E provides players with games’ in-game currency for participation and time spent. P2E game are virtual realms that are powered with tokens, resulting in “tokenomics.” Every web3 game is a self-sustaining system with a decentralized system of economics which players can earn money through building, fighting trading, farming, and building.
Markets and tokens in games aren’t new, however blockchain games are revolutionary due to the fact that the game’s assets (tokens or NFTs.) can be traded through a decentralized cryptocurrency exchange.
Blockchain-powered decentralized assets could be exchanged through virtual ecosystems and make them more connected and more unified.
web3 gaming businesses are aiming to distribute the ownership of players allowing them to create greater economic value than the web2 games – and to maintain it even after they change games. This will transform the game industry.
P2E encompasses several Revenue streams.
P2E games earn money through the sale of digital assets and tokens as well as charging fees for in-game transactions. Here’s a quick rundown.
Certain games on the web require a fee to play. P2E games are frequently confused with free-to-play or F2P. In fact, every blockchain game is P2E. Some require the initial capital investment (e.g., Splinterlands, Gods Unchained, Thetan Arena) (Axie Infinity, Alien Worlds, Sorare).
Tokens Native tokens are utilized in the majority of Web3 games.
In-game currency is the most common. It’s usually a DAO/governance token. Certain tokens can be utilized as collaterals to earn interest in DeFi applications or be used to stake to win prizes.
NFTs can be exchanged in game and out. They’re scarce since they’re not fungible unlike tokens that are’money. Some games let players create NFTs.
In-game NFTs could take various shapes, depending on the environment.
Dogami, DNAxCAT, and Axie Infinity are all game characters that can be breed, used in combat, and adorned with NFTs.
The popularity of cards has increased on fantasy soccer (Sorare) and combat Sports write for us (Splinterlands).
In games such as The Sandbox and Decentraland, players may be able to be able to own, develop and lease virtual land. Users can earn passive income from Alien Worlds by letting others exploit their land.
The game Star Atlas, players create weapons and spacecraft using natural materials.
Harmonia Goya’s Land NFTs contain animals and plants, mounts, clothing, and pens.
‘Classic’ income sources:
Partnerships could offer new NFT avatar skins or host virtual concerts or even improve the game infrastructure.
“Battle pass,” where a player is rewarded points, e.g., Blankos Block Party’s Party Pass unlocks ‘hype points to purchase accessories.
Billboards, kiosks, as well as art galleries within The Sandbox feature Admix-style advertising.
It all sounds wonderful. But it is true that the P2E Model is volatile and best practices aren’t yet become crystallized.
Axie Infinity was named the best NFT game of the year last year. It became a sensation because gamers could become rich within months. Sky Mavis is so popular that guilds and scholars have been created to help the next generation of players and lend them NFTs.
After months of expansion the average daily profit fell below Philippines minimum wage in which the majority of the players are. Smooth Love Potions (SLP) is its currency in-game, has experienced a huge fluctuation during the past year, and is now soaring.
This doesn’t mean Sky Mavis has it all wrong, or that P2E was flawed in its design, but it is a good illustration of the model’s (and markets’) current flaws.
The signs of volatility are clear. When players continue spending and incur debt to play, the guilds run in a risky lending model. Taxation is a different subject where more regulation could give stability, without jeopardizing the autonomy.
Here are five criteria to consider when evaluating Web3 games’ longevity.
1. Nature of the Gaming Universe
What is the cost of gaming? The quality of animations and graphics and the quality of the storyline’s engagement
Could this game be entertaining even if there was no money made? It has to be enjoyable regardless of whether it’s gaming or a money-making plan.
Can players create an ecosystem (UGC) by establishing NFTs? An advantage for retention of users.
Accessibility of the game. The newcomer can master the web3 game mechanics in various ways. DeFi Kingdoms uses gamification to teach crypto concepts.
Do you know if F2P exist? Who is interested in this game? It affects the game’s appeal to consumers.
Profits. Multi-revenue-stream game? It’s better if you have more since it lowers risk to the model.
Tokens. Does the game have intelligent and interoperable tokenomics? What has the value of tokens changed? Are there any collectible, valuable NFTs or are they just jpgs? They are useful? This can affect retention of users and also the value of tokens.
Partnerships. The most prominent collaborations increase the exposure of native coins as well as branding attraction.
Physical/digital merchandise. Does the studio collaborate with top brands and designs for products?
Advertising. Does it look elegantly integrated or do you think it could cause a rift with players?
Marketplace. Does the game have an in-game or external market?
Game mechanics retain digital assets’ value. Who is the one who loses what?
Do you think the team is being doxed? It’s not always possible to guarantee security.
The size of the team? The size of the team must match its goals and strategy (see number 4).
The backgrounds of the key members: Product development, gaming (especially from top studios) cryptocurrency and finance professionals Marketing, community-building, and marketing.
Roadmap for Financing and Financing:
Total financing. Did they raise a significant amount of money or crypto to help them realize their dream?
Investor quality. Do Sequoia or A16z. do they support the idea? Joe Schmoe, parent or angel investor?
Stability. Does the game provide multiple income sources, and is it a low risk? Is it a risk-free game? and venture capital?
Goal-oriented plan. Does the plan sound creative and bold? Does the method they use to do things simple?
The frequency of updates. Does the project communicate regularly and in a transparent manner?
Social media participation. Are there active Telegram/Discord/Twitter communities? Occurrence? What’s the Town Hall attendance?
DAO. Are there intelligent DAO? Does it enable roadmap progress? Or will it be slow and disoriented?
The Web3 Development can provide an engaging and high-quality gaming experience b) solid economic structures that place emphasis on token appreciation and) an opportunity for players to decide the gaming platform.