GameFi merges gaming and decentralized finance (DeFi). It integrates gaming elements into blockchain-based financial applications, creating new opportunities for gamers to earn real-world value by playing games. This new trend has opened up a whole new world of possibilities for game developers and players alike.
However, with these new possibilities come new challenges. To succeed in the GameFi space, it’s important to have a solid understanding of the crucial strategies. In this article, we’ll discuss some of the strategies that can help your GameFi project succeed in the gaming industry based on the insights of the key leaders in the industry.
GameFi strategies that are crucial for success in the gaming industry
Developing a successful GameFi project requires a comprehensive understanding of the market, target audience, and game mechanics. To gain this knowledge, industry leaders and developers have shared their insights and experiences to provide valuable lessons and best practices for building a successful GameFi project.
Delivering innovative and engaging experiences
Insight from Animoca Brands CEO, Robby Yung, highlights the importance of having a wider choice of high-quality products to attract mainstream users to the GameFi sector.
Yung compares the history of mobile gaming, where it took several years for a critical mass of available titles to be reached. Similarly, the blockchain game space is still budding, and it takes time to develop a good game. Thus, having a wider range of quality games is critical to take the GameFi sector to the next level.
He also emphasizes agility and flexibility in this rapidly changing sector. These necessary skills have been relevant for years and will continue to be critical for firms to succeed in the GameFi sector. Developers must consider these factors as the industry grows and focus on delivering innovative and engaging experiences to attract a wider audience.
Building quality over quantity
The CEO and Co-Founder of Mirai Labs (the gaming studio behind Pegaxy), Corey Wilton, also has valuable insights to share on the future of GameFi. According to Wilton, 2023 is a “buidl” year for crypto gaming, and developers should focus on building quality over quantity.
Despite the recent downturn in blockchain game token prices and a decrease in players, strong funding in 2022 has set the stage for serious “buidling” in 2023. Web3 gaming studios have been raising millions of dollars in funding, and venture capitalists are betting on studios with the gaming experience rather than gambling on speculation.
VCs are now looking farther into the future, up to five to ten years down the road, and are interested in studios that have a level of proven success in building Web3 games. As a result, priorities in 2023 and beyond will focus on quality over quantity, and those who can create the most outstanding games will win. As the industry shifts to longer-term thinking, those who play the long game and prioritize quality will be the most successful in the GameFi space.
Creating immersive gaming experiences through AI
Alex Connolly, the chief technology officer of Immutable, shared his insights on the potential for OpenAI to enhance the development of games in the Web3 industry. He believes that OpenAI will bring “very cool storytelling opportunities” by creating more efficient ways to produce better art, challenging gameplay encounters, and immersive narration.
Additionally, OpenAI can dynamically adjust to the player’s skill level and create a challenging but enjoyable experience. Connelly stated that this technology would create more personalized experiences for players, leading to a tailored, single-player content experience.
Connelly’s team has been exploring using GPT-3, an earlier version of ChatGPT, to create an AI narrator that can create stories based on the gameplay. Despite initial hurdles, Connelly is optimistic about the opportunities OpenAI presents to the industry, particularly in creating immersive and engaging gaming experiences.
Knowing the parallels between mobile gaming and crypto gaming
According to Justin Hulog, the Chief Studio Officer at Immutable Games Studio Studio, the rise of mobile gaming and crypto gaming share many similarities. He notes that mobile gaming was initially met with skepticism but has since come to dominate 60% of the gaming market.
Similarly, the emergence of blockchain technology and its incorporation into gaming is causing a paradigm shift, allowing players to truly own their in-game assets and generate tangible value from playing.
Hulog draws a parallel between the rise of mobile gaming and the current state of crypto gaming. In the early days of mobile gaming, games were simple and lacked advanced graphics. However, mobile gaming is now the largest branch of gaming worldwide. Hulog believes that new generations of games with engaging gameplay will emerge in the crypto gaming space, just as they did in mobile gaming.
In addition, Hulog believes that the early criticisms of crypto gaming should not be used to judge the industry’s future viability. Instead, the parallels between mobile gaming and crypto gaming suggest that the technology will continue to evolve and improve over time, leading to a larger audience and more diverse gameplay experiences.
Focusing on player retention and engagement
Insight from Cholo Maputol, CEO and Co-Founder of Play It Forward, highlights a significant challenge of P2E – sustainability. Blockchain games can potentially attract players who are solely interested in earning tokens rather than being long-term committed players.
As a result, the industry has struggled to attract serious gamers who have yet to transition to web3. To attract committed players, Play It Forward aims to help games that offer sustainable ecosystems and potential career options for players through the Quests platform.
The web3 gaming market is already crowded due to the rising interest in the sector. However, only 31% of all GameFi projects were playable, while 64% remained under development. Thus, blockchain games must focus on building an authentic and accessible user experience to evolve beyond last year’s developments.
As we enter 2023, Cholo expects the web3 gaming market to evolve like the web2 gaming market, with multiple games having strong communities and healthy economies. However, player retention and engagement will be crucial, particularly during the current bear market and steep competition.
Conclusion: Strategies are crucial for the success of your GameFi project
In conclusion, GameFi has emerged as a new and exciting sector combining gaming and decentralized finance (DeFi). Seeing the innovative and engaging experiences, developers create for their audiences will be exciting as the industry evolves. Are you developing a GameFi project? Find out more about the current state of GameFi in Southeast Asia, specifically in the Philippines, in this article.