The Ultimate Form of GameFi Security: Gambling or Making Money?

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The idea of ​​blockchain games was born a long time ago, but it only gained attention this year. Chain games are already one of the biggest waves of cryptocurrency, attracting millions of new cryptocurrency users, all of whom are starting to try it out on various games.

The types and design of blockchain games are the same as the main games. Based on turn-based strategy, survival simulation, battle royale, and gameplay, it can be seen on almost any network, including Bitcoin's Lightning Network.

Number of users in various areas of the blockchain Source: dappradar

Most of the existing blockchain games are completely blockchain-based and all in-game interactions are commercial. This is a general architectural design and it is easy to see that over the past few weeks racing game traffic has continued to reach its highest point in history.

However, some games only use the blockchain in certain parts of the game, and most in-game interactions occur outside of the blockchain. For example, consider FIFA 22 with NFT player cards and the store where you can redeem those cards.

The most popular type of blockchain game is GameFi, which combines gaming and money management. In addition to games, players are rewarded with digital assets (tokens, NFT or other digital assets, etc.) - This standard is called P2E. A unique feature of the GameFi Project is that the main goal of gamers is to make money.

The popularity of the GameFi arena is also due to the emergence of public L2 channels and some high performance L1 public channels, which provide the necessary features (fast operation and low cost) to support blockchain games, improve performance. user experience.

Integrating blockchain with games is essential, and players have gained knowledge of technology, knowledge of numerical advantages, and an understanding of the value of game assets such as symbols, labels or skins.

According to BscProject.org, there are now over 210 games running on the Binance Smart Chain, with an average daily user volume of 890,000 (including 10% player overlap from multiple activities over the course of the year. last month). At BSC alone, the top 10 games have a market value of almost $ 1 billion.

BSC is now one of the best blockchains to take advantage of the new industry standard and competitive gaming from GameFi. There are a few games here that can stand out and continue to attract customers and maintain stable business results.

In the blog, we shared some important thoughts and ideas when we covered how to create a secure GameFi project through currency trading and gameplay concepts.

Benefits of the GameFi industry

Blockchain games can create micro businesses based on their own exit tokens. These tokens are used to earn in-game rewards, such as gold coins in Warcraft or GP in Runescapes, as well as in-game powers for battle or spells, or as an in-store payment. The results are final and different business models will emerge over time.

The tokens business aims to develop a stable, fair and beautiful business model by monitoring and evaluating the application and product characteristics of tokens and processes that affect their cost and utility.

For some games the industry standard plays a big role or not (no tokens), but for GameFi a good industry standard is the key to the success of the game being played.

GameFi is also doing more token trading by adding a variety of commercial and commercial-type games.

Multi-currency / monolayer format template

A monetary model can be understood as the use of a token for everything: administration, in-game currency, etc. The paradox of a currency model is that if a player needs tokens, they must first spend the money to buy the tokens. If the token value is too high, the players will not be satisfied, and if the token value is too low, the players will not be satisfied with the game.

As a result, many companies have started to develop dual / multi-token business models in their games. For the dual-token model, the first tokens are usually the management token and the second in-game token. Auxiliary tokens do not need to be connected (eg, virtual currency).

If only the first tokens were traded on the exchange and included in the fiat, then the impact of the middle market for in-game tokens and the game itself could be reduced. . When used correctly, the dual token model will allow players to play without being affected by the cost and exchange of the base token.

The multi-token model also creates opportunities for various types of games to interact with each other, such as trading and mixed tokens for character creation.

Our tests show that it can build a stable token business, whether it is a multi-character model or a token model. An important factor is the distribution and role of tokens.

Stable price compared to Oracle pricing system

Oracles are nodes that provide data from processes external to the blockchain, enabling the execution of smart contracts based on the inputs and outputs of the actual chain.

Of course, in GameFi, the value of in-game chips in fiat currency can be determined by the in-game market. This means that the price of the token for in-game interactions will change with the USD value of the token.

The Oracle pricing system is tied to the value of the fiat, which helps keep fiat prices low and stable, but the premium payments (in-game tokens) are also tied to the value of the fiat, which can affect the promotion of the game. volatility.

The stable price makes it easier to estimate the player's income, but new players are not satisfied when the price increases.

It should be noted that many well-known GameFi markets have fallen for Oracle pricing. However, GameFi models are maturing and it remains to be seen which price is more appropriate.

Important decisions for token economy models

Token distribution

The token distribution mechanism is at the heart of a sustainable and fair economic token structure. Token distribution is how the game distributes the tokens among the various participants: salaries of development teams, salaries of citizens and investors, operating costs and currency of players respectively.

As the two distribution diagrams above show, the token distribution can be divided into two categories: benefit-oriented and community-oriented. Game A distributes most of the tokens to teams and vendors, and game B distributes 50% of the tokens as player gifts.

An incorrect or incorrect distribution of tokens can cause irreparable damage, destroy entire operations and at the same time injure players and communities. Once the tokens are distributed, it is difficult to change the business model without compromising or disrupting the community.

Rule 1: Distribute equitably to communities that like to gain more player support and trust. Community is everything. No game can be complete without a strong community.

Token cost / Consumption

Rule 2: The value of the token can be affected by many factors, but the main driver behind the value of the token must be performance.

The use of tokens can be accomplished across a variety of games so that the tokens can be used for a variety of purposes, both inside and outside the game. health or energy, control behavioral activities, be used as in-game currency, or be exchanged for other tokens or NFTs.

Most games already have multi-functional game tokens. The difference, however, is in the appeal of the game to players who hold, buy, or use tokens. Some interesting examples include activating token promises to get NFT or extending the use of tokens to other games or general meta-edges.

Convenience can creatively increase over time. There are already many games that extend the benefits of tokens and make the business model more secure.

free the circle

The exit cycle is generally equal to the closing time of tokens used for private sales and investments.

The token release cycle should be consistent with the position method, position stability, and group reward rules. Shorter publication deadlines can affect the reliability of the project. In the worst case scenario, this can lead to delistings or big sales, which can lead to business frustrations and lead to a slowdown in trade, ultimately causing the project to fail. .

Rule 3: Plan for a longer exit time to ensure team members and investors follow player preferences. We typically see GameFi activities with a close of one year to close and a 2-4 year exit timeframe.

It is generally not recommended that workgroups sell tokens directly. It is necessary for the group to decide on the type of transaction (eg OTC) with partners such as DAOs, big guys or guilds to make money for them.

GAMEPLAY AND PLAYER EXPERIENCE

Gameplay and player experience determine the long term success of the game. No matter how good the token model is, if the game is not good, there is a lot of repetition, and the player experience is poor, the game will fail or fail.

Focus on the game world and settle in

Rule 4: Block Chain game should be interesting and affected to make money to enjoy players.

If earning money is the main reason for gambling, then this game will be played by more and more future players to control the business of the game. The income of the new player gradually decreases, eventually reaching zero, and the whole game drops. .

The most popular sports are not the ones with the highest prizes or the most competitive tournaments, but those with the most international feel and sport. Worldview and layout are key to attracting players. The viewing world has a story of the game, and the parks include a design environment, character development, music, and more.

These themes add depth and richness to the game, expand the story beyond the main theme, and give players a better understanding and feeling of the game and its protagonist.

Free games vs paid games

Some game plans add free templates to paid games to attract new people who may like the game but don't want to try and use it. Players can start for free and then decide to continue playing for free, but there is no chance of winning or upgrading to a paid game to make money. There is another intervention model called "Free Earn", in which players can play for free but can earn less.

Rule 5: Plans that receive a free template let the trusted team know. These models are important in attracting the big players.

Thetan Arena is a BSC channel game that offers both free and paid versions. Tan Arena has over 1.2 million daily players, more than half of whom play in free mode.

Collaboration with Guild

The Guild is a community of players who play together and help each other by sharing NFTs, knowledge and other skills.

Working with the guild gives you the opportunity to reach more players and gain confidence in your game. It will also help the game to perform better and get more players.

Some active organizations such as Avocado Guild Games, GuildFi, and Crypto Gaming United have thousands of players in addition to many other gaming guilds.

Therefore

Creating a game is difficult and creating a good game is even more difficult. If you look at the gaming industry as a whole, hundreds of games are released every year, and only a few have been successful. According to Statista.com, the video game industry is worth around $ 85 billion in the United States alone. But most of the income goes very well in the pockets of a few things. Of all the games that went into production, only 4% of the games were won, and almost 80% of the games released were forgotten and lost.

The sports industry, which started in the 1970s, has grown through the use of new technologies and experiences from the past 50 years, but is still in its infancy.

Blockchain gaming is now in its infancy, and it will be a few years before we have the opportunity to experience A-level dual play on the blockchain. Whether they are players or developers, we have to keep this in mind and recognize the failures and mistakes of the process.

Based on the above information, we can make a decision.Like the name, chain blocking game, often pay attention to toys and follow the DECI SET. .

The reason gamers love and find a game is probably the game itself. Think of a game that is loved and enjoyed by generations across the world: World of Warcraft, Diablo, Mario, and more. They are not profitable, but players have invested hundreds of thousands of hours playing these games.

The success of blockchain games, especially GameFi, requires a strong and rewarding gaming experience to maintain community engagement and resilience. A gaming industry standard should be used to monitor the player experience and promote stable performance. In doing so, the industry must support the game, not the other way around.

DeFi has the ability to add a "feature" unique to the gaming industry, allowing gamers to monetize the effort and time they spend playing games and turn them into treasures. . It gives players more reasons to play and enjoy the game at the same time. It also allows toy developers to explore new revenue potentials and increase the revenue from their games.

After all, community is everything. For game developers to create great games, they need to focus on building a safe and supportive community. People enjoy sports that allow them to be part of the community, and in addition to the sport experience, they also gain a sense of community.

Finally, I leave a question for everyone.

Play or win?

Case Study - Axie Infinity

Axie Infinity is a Pokémon inspired game where anyone can earn tokens by playing fighting games and contribute to the game's ecosystem. Players can collect and breed animals (called Axies), which they can use to fight in order to build the kingdom of the Axies. The player can now start the game by purchasing Axies from another player in the store. All Axie game tools and information are accessible by third parties, allowing developers in the community to create devices and bring them to life in the world of Axie Infinity. The team's goal is to create a platform that includes dialogue and action. This includes a strong community and the ability to earn money through sports.

There are two characters in the game: $ AXS and $ SLP.

1. Axi Infinity Shards ($ AXS)

Players can participate in in-game tokens in exchange for weekly prizes with release time. Staking also gives more in-game rewards.

The NFT industry accepts AXS tokens, and some sellers and resellers may need to hold a certain number of AXS tokens.

$ AXS is used by the management of Axie Infinity.

2. Sweet Love Potion ($ SLP)

SLP Tokens can be earned in-game and used to create new in-game Axies or participate in events and tournaments.

Each Axie is born, $ SLP tokens are burned, and each Axie needs more SLP for each rebirth.

The price of $ SLP is close to the development of Axies in the game, and the higher the production, the higher the price of $ SLP.

The $ SLP token is a second token because the team relies solely on the $ AXS token to determine that Axie Infinity is not stable.

membership

All Axie Infinity expenses and products are deposited in the Community Financial Services department and managed by AXS cardholders. AXS tokens are shared in the Axie universe (similar to shared companies). This allows players to share in the business benefits of the game.

important things

Network Effect: Profits from fundraising (sponsored by in-game loans for new players) are critical in attracting new customers. It also allows the network to be empowered by empowering communities.

Possession of sports equipment: Players have in-game equipment, which allows them to sell the equipment to others and to enjoy “certain” activities such as playing games. The idea of ​​shopping for different friends is different from traditional games, where players cannot sell in-game purchases.

important

He also needs new players to solve the problems in order to be financially secure. This is a big risk for most modern "P2E" games, and their stability depends on the development of new players.

Evaluation

Axie Infinity continues to develop. With the rise of the sport, the team soon realized that the business model alone was not working. They quickly traded and offered $ SLP tokens and found a creative way to maximize the value of the tokens. Constant change and innovation (and a positive approach) are often the game's main reasons for long-term improvement.