{"id":407673,"date":"2022-02-19T20:11:00","date_gmt":"2022-02-19T17:11:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/more-playing-and-less-earning-will-make-better-metaverse-games\/"},"modified":"2022-02-19T20:11:00","modified_gmt":"2022-02-19T17:11:00","slug":"more-playing-and-less-earning-will-make-better-metaverse-games","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/more-playing-and-less-earning-will-make-better-metaverse-games\/","title":{"rendered":"# More playing and less earning will make better Metaverse games"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a291c2f08ba7\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a291c2f08ba7\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/more-playing-and-less-earning-will-make-better-metaverse-games\/#Its_not_the_tokenomy\" >It\u2019s not the tokenomy<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/more-playing-and-less-earning-will-make-better-metaverse-games\/#Early_days\" >Early days<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># More playing and less earning will make better Metaverse <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/game\/\" data-internallinksmanager029f6b8e52c=\"7\" title=\"Game\" target=\"_blank\" rel=\"noopener\">game<\/a>s <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>If you\u2019re not keen on joining Mark Zuckerberg in the Metaverse, I have bad <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> for you: You\u2019re already there. You don\u2019t need a virtual reality headset to enter a virtual world. Humans have been representing reality since our distant ancestors first painted on cave walls. If TV, radio, books or newspapers have ever given you access to events that you did not physically attend, you have experienced a kind of metaverse already.\u00a0<\/p>\n<p>Sport and games are another reality that we often partake in virtually \u2014 in the stands or behind a screen \u2014 when not on the field.<\/p>\n<p>So, it\u2019s no coincidence then that, thus far, games dominate what most people understand as the Metaverse, or more widely, Web3. Our innate love of play, our understanding that fulfilling games depend on rules and structures and our willingness to ascribe value to events that unfold in them are integral to our cultures \u2014 from soccer to chess to Roblox. They\u2019re also an important part of the economy: The global sports market <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.globenewswire.com\/fr\/news-release\/2021\/03\/18\/2195540\/28124\/en\/Global-Sports-Market-Report-2021-to-2030-COVID-19-Impact-and-Recovery.html\">reached<\/a> nearly $400 billion in 2020, even after pandemic lockdowns and market estimates for video gaming to <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.wepc.com\/news\/video-game-statistics\/\">reach<\/a> $178 billion annually.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/1f526d56-4370-41c9-bdae-e6884b3dcecb.png\"><\/figure>\n<p>Therefore, it\u2019s entirely natural that games are likely to lead the journey into more immersive and interconnected metaverses. It\u2019s also likely that games will continue to deliver financial value to consumers, companies and countries in their meta-realities. Microsoft\u2019s recent bid to purchase Activision Blizzard in an all-cash deal certainly underscores this point. <\/p>\n<p>How such major online game franchises will integrate into a Web3 metaverse is yet to be seen but blockchain-based games that have risen to prominence so far such as Axie Infinity, Decentraland and Alien Worlds. These games have pioneered a play-to-earn (P2E) model that gives insight into that future. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/3b151c7c-5554-492e-a4f9-343afb3099c3.png\"><\/figure>\n<p>Leveraging nonfungible tokens (NFTs) and in-game digital currencies enable players to generate assets in these games, trade them in token form and transfer out value into real-world currencies through crypto exchanges. A compelling development for gamers and non-gamers alike is that instead of brand owners (<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Facebook<\/a>\/Meta, Microsoft, et al) extracting all the value from games, players themselves can have a stake in a game\u2019s success. <\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>NFTs find true utility with the advent of the Metaverse in 2021<\/em><\/strong><\/p>\n<p>Stories already began emerging last year of communities in the Philippines earning income from playing Axie, attracting so much attention that government officials suggested play-to-earn income should be subject to taxes. This phenomenon offers a glimpse of how an emerging crypto-economy could create financial inclusion opportunities. But, the rise and fall of one of Axie\u2019s in-game currencies reveal the inherent challenges in developing sustainable economic models for games, as well as a practical reality that for metaverse games to succeed: They should be more about playing than earning.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Its_not_the_tokenomy\"><\/span>It\u2019s not the tokenomy<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As an example, Axie Infinity is a game involving digital pets called Axies. When players contribute to the game\u2019s ecosystem, they earn tokens. But, to get started, they must purchase their first Axie \u2014 an NFT that can <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>reciate in value over play. The game involves two tokens built on the Ethereum blockchain: Axie Infinity Shards (AXS) and the brilliantly-named Smooth Love Potions (SLP). SLP is earned in-game and is required to \u201cbreed\u201d new Axies (please don\u2019t ask how).<\/p>\n<p>In a game world, a number of factors can contribute to the price performance of a digital asset such as Axies\u2019s SLP. The way a token is distributed, the rules around supply, price-stability mechanisms, how governance is conducted and, of course, the power of expectation from the game audience itself all matter. But, utility may be the most important factor for a token that powers a game. Simply put, does the asset enable the holder to have the experience that they want? That might include aspects of gameplay to community status to earning opportunities. If players perceive value, then they\u2019ll hold on to them or even buy more. Otherwise, as with any asset, people will sell off and invest time and money in something else.<\/p>\n<p>In Axie Infinity, the utility of its SLP construct is how it allows players to create new Axie pets, which can make more SLP and create further value for the player. That positive feedback loop <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/dappradar.com\/blog\/bga-blockchain-game-report-q3-2021\">drove<\/a> SLP prices to soar over the summer of 2021, but it has declined by 94% since then. That implies people have placed a higher value on what they can gain from selling SLP than from holding it and \u201cbreeding\u201d more Axies. In other words, they have preferred to cash out than continue playing the game.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/02fe646c-e69d-48c5-8f56-9728b7ee0343.png\"><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"Early_days\"><\/span>Early days<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>It\u2019s important to remember that the play-to-earn concept is still in its infancy. Games like Axie are early experiments in models that combine gameplay with economics. Axie itself introduced SLP as a second in-game currency after it found that a single-token economy had its own problems with liquidity. Experimentation will continue but a key lesson for metaverse game developers is that the fun of playing a game still needs to come first, not the earning.<\/p>\n<p><strong><em>Related: <\/em><\/strong><strong><em>New tribes of the Metaverse \u2014 Community-owned economies<\/em><\/strong><\/p>\n<p>The risk of prioritizing economics over gameplay is simply that it turns players off. Attempts at Sega, Konami and Square Enix to bring NFTs into popular games have <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/forkast.news\/nfts-for-video-games-existing-fans-backlash\/\">encountered<\/a> user backlash, for example. Over time, however, we can expect increasingly sophisticated and expansive metaverse games will come to offer an incredible range of experiences. Greater choice and richer play will naturally lead to more users finding utility in holding tokens and, therefore, more sustainable game-based economies. <\/p>\n<p>As more games and sports become established in the Metaverse, a critical factor will be the quality of the spectacle. We humans need contests, heroes, narratives and wagers. We want to interact as part of an audience having a shared experience, as well as to participate in games ourselves. There\u2019s no reason why games on the Metaverse shouldn\u2019t be as real and exciting to us as the English Premier League, NBA or the Free Fire World <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">Series<\/a> \u2014 2021\u2019s most-watched esports <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/esportsinsider.com\/2021\/12\/highest-viewed-esports-events-2021\/\">event<\/a>.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/07753ed3-ae16-4e68-a723-b5fae274d2d0.png\"><\/figure>\n<p>Better gameplay is the stickiness that can make a specific game\u2019s micro-economy more sustainable. What blockchain can add is a level of interoperability to make the macroeconomics of metaverse games, in <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a>, more liquid and fairer than those of big-sport today. Interoperability opens opportunities for players to take digital assets or status out of one game straight into another, or even further out and onto social platforms. That gives players a bigger share of value creation and more power and, therefore, interest \u2014 as opposed to the economics and rights associated with game franchises and leagues today where owners and publishers grab all the benefit. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2022-02\/2378c1a1-aa5b-4f23-b4fb-30d724d42e09.png\"><\/figure>\n<p>You may not be keen to join Mark Zuckerberg in his Metaverse, but on the blockchain, it should be game on for ordinary fans and players to have fun and capture more value for themselves. <\/p>\n<p class=\"post-content__disclaimer\"><em>This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.<\/em><\/p>\n<p class=\"post-content__disclaimer\"><em>The views, thoughts and opinions expressed here are the author\u2019s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.<\/em><\/p>\n<div>\n<div style=\"background: rgb(239, 239, 239); border: 1px solid rgb(204, 204, 204); padding: 10px;\"><strong>Ben Caselin<\/strong> is the head of research and strategy at AAX, the crypto exchange to be powered by London Stock Exchange Group\u2019s LSEG <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">Technology<\/a>. With a background in creative arts, social research and fintech, Ben develops insights into Bitcoin and decentralized finance and provides strategic direction at AAX. He is also a working member of Global Digital Finance (GDF), a leading industry body dedicated to driving the acceleration and adoption of digital finance forward. <\/div>\n<\/div>\n<p><template data-name=\"subscription_form\" data-type=\"crypto_biz\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. 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You don\u2019t need a virtual reality headset to enter a virtual world. Humans have been representing reality since our distant ancestors first painted&#8230;<\/p>\n","protected":false},"author":1,"featured_media":407674,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMDIvZGRlMzQ0YmYtNmE2OC00Yjg4LWEwNGQtOWFkZjgyYWI4MjgzLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74894,91083,74863,122306,91498,95118,74892,80,5077],"class_list":["post-407673","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-blockchain","tag-blockchain-game","tag-cryptocurrencies","tag-meta","tag-metaverse","tag-nft","tag-tokens","tag-games","tag-mark-zuckerberg"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/407673","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=407673"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/407673\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/407674"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=407673"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=407673"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=407673"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}