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Chain travel is the future
The game industry has been developing rapidly, and it is one of the industries that has not only not been affected since the outbreak of the new crown epidemic, but has benefited from it.
According to Newzoo's 2021 Global Game Market Report, the total number of gamers worldwide will exceed 3 billion in 2021, and the total game revenue will be $175.8 billion. Newzoo believes that by 2024, it expects to reach 3.32 billion gamers and $218.7 billion in global game revenue, making it the fastest-growing form of entertainment in the world. For reference, the global film industry is worth $100 billion, and the combined annual revenue of all sports in North America is $73 billion.
This is a huge game universe that can be predicted, although the prospects are unlimited, but with the continuous development, the traditional game industry has also exposed many drawbacks: (1) the game giant has become an ecological role at the top of the industrial chain, monopolizing channels, publishing revenue, and increasing industry barriers. (2) Virtual assets do not belong to users, and players can only conduct internal transactions, and cannot create value and share benefits by participating in games. (3) The value is not transparent, the rules can be changed at will, and the trust cost is high. (4) Top-down game mode, flat ecological relationship, game focus depends on developers and platforms, lack of UGC incentive mechanism.
Game lovers who love freedom and indulgence are limited by platform control and suppression everywhere, and the flat game ecology is doomed to gamers who cannot create value in traditional games. The game industry is developing rapidly, when gamers have a higher level of pursuit, the traditional game Free-To-Play mode has been unable to meet the players, the game industry's new round of journey and battle line will be officially opened in the blockchain world.
The game field and blockchain with native digital genes can be said to be a "natural pair", and the crazy user column deformation of the game industry is also the fastest area and important tipping point for blockchain landing. The combination of blockchain and games will solve many drawbacks of traditional games: blockchain application to games can break the monopoly of channels and generate new self-distribution networks; virtual game assets will also truly belong to players, refuse black-box operations, and break the unfair shackles; games will no longer rely on platforms and developers, but will be truly controlled by players; Token incentives can maximize the communityization of games, forming a closed loop of transactions, circulation, investment, and collection.
Computing Power Think Tank Research Institute released the "2021 Blockchain Game Research Report - Chain Game Evolution Theory, Breakthrough and Reconstruction of Value Chain". On the basis of tracing the development context of blockchain games, the report takes stock of the current popular chain games by combing the relationship between DeFi, NFT and games, deconstructs its endogenous economic model, and aims to clarify the direction and look forward to the trend for the future of the entire blockchain game.
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The development of chain travel
In 2017, the first batch of blockchain games led by Cryptokitties came out, combining the "transaction attributes" and "unique propriety of assets" of the blockchain with the gameplay, officially opening the 1.0 era of chain games. On December 9, 2017, Cryptokittties was active for 14,000+ a single day, which once caused Ethereum trading blockage.
There are three key factors to Cryptokitties' success: blockchain, gaming, and art.
1. All data in the game is recorded on the Ethereum blockchain, and the data cannot be tampered with. It can not only ensure the safety of the player's funds, but also allow the player to create their own exclusive cat on the chain.
2. The use of game methods captures the psychology of players, takes the opportunity to open up a new blockchain trading market, and promotes the development of blockchain. The emergence and success of a series of chain games such as Cryptokitties have made more people pay attention to the blockchain, and many traditional Internet manufacturers have entered the game, which has greatly promoted the development of the entire industry of blockchain and chain games.
3. Digital art has become a development trend. Every kitten in Cryptokitties is unique, and when in-game items have the scarcity of artwork and are on chain forever, it's a real asset for the player. The emergence of Cryptokitties has created an investment market for digital artworks, and investors have also discovered that blockchain can not only be combined with games, but also the connection and form between blockchain, games and art.
In the early chain game 1.0 era, the game development conditions were not mature, the application of blockchain technology was relatively single, and the funds faced a greater risk of leakage. With the development, digital assets have greater advantages in trading, circulation, investment, collection and other links. Blockchain technology can solve some pain points in the traditional game industry in terms of decentralization and anti-cheating.
In 2019, the bubble burst, the chain tour entered a cooling period, the number of DAPP in the second half of 2019 shrank by 64% compared with the first half of the year, many people believe that the chain tour with the bursting of the bubble also reached the end.
However, after entering 2020, the underlying technology of the blockchain has been sought after, and many enterprises have introduced blockchain to integrate the blockchain with traditional industries, and the major chain game platforms have recovered their vitality and have laid out to seize the market.
DeFi, NFT cross-border wave set off, combined with the game, along with the success of AxieInfinity, but also derived a new Play-To-Earn economic model, that is, players can recharge, play games to obtain in-game assets or token ownership, successfully promote the chain game into the 2.0 era.
The new model has spawned a new market, and GameFi, which integrates DeFi, NFT, and games, will be strong in 2021. According to DappRadar statistics, on April 18, 2021, the number of chain game sector transactions reached $480.7 billion. The number of players in the chain game has also gradually increased, exceeding 780,000 as of July 31, an increase of more than 170 times compared with the beginning of the year.
Play-To-Earn is essentially a business model powered by blockchain technology, where players can gain ownership of in-game assets and currencies by topping up and participating in games. Compared to traditional games, most of the revenue in Play-To-Earn games will no longer belong to platforms and game companies, but to excellent players. By participating in the game, players can create value for other players and developers, and can also be rewarded with assets in the game.
The emergence of Play-To-Earn makes playing games no longer a simple consumption behavior that kills time, but a kind of leisure work that can be earned, which can be said to be the best promotional highlight of chain games.
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The three major carriages that promote the progress of the chain tour era
1, DeFi+ games to promote the development of "decentralization", DeFi provides an open finance that fits the free sharing characteristics of games, and can provide financial services including transactions, loans and insurance to help reduce the creative costs of gamers and the cost of monetization of works. Planet World is based on the world's top public chain Plug Chain, players can mine through Defi pledge, Plug Chain can make positive changes in the credibility of data sources, privacy, and data computing costs, and optimize the DeFi ecology.
2, NFT+ game to explore the deep value civilization, NFT for the game based on the decentralized indivisible, unique circulation norms, which means that based on the unique NFT game assets can effectively carry their corresponding consensus and market value, while the game goods belonging to the player can never be tampered with or copied or replaced or arbitrarily issued. Planet World launched DHW1 cards, players can enter the game to get frozen card fragments, every day to check in will release card fragments, fragments after the card can be sold and circulated, become the player's game assets.
3, and Gamefi is actually the inevitable result of the development of DeFi and NFT. Through games, DeFi successfully entered GameFi from TradeFi (Trade Finance), which in turn gave value to NFTs through financial means. NFT has also introduced differentiated assets based on scarcity as a criterion for DeFi through games. Games underpin the application value of DeFi and give meaning to NFT assets. In the case of gamification and scarcity management, the combination of DeFi and NFT is logical, and the three borrow from each other and develop synergistically.
As a cosmic community, each planet in Planet World can issue its own token, and the DHW1 token will become the first certificate of planet World public chain, and as the only participating certificate in the game to create the newest era of metaverse. DHW1 will help Planet World to achieve the unity of the world community, the virtual planet and the reality. Planet World will also continue to introduce new games, providing modular construction to enhance the ultimate experience for players, allowing players to truly achieve Play-To-Earn while enjoying the game.