A new report from Cointelegraph Research analyzes GameFi's bumper 2021 harvest and what's ahead.
In March, Cointelegraph Research will release a 30-page report on GameFi. GameFi is a term used to describe the combination of blockchain gaming and decentralized finance (DeFi), and the GameFi industry accounted for more than 55% of all crypto transactions in Q4 2021. The report analyzes five popular P2E games, the economics of GameFi, and the future of the industry.
Working with partners like Konvoy Ventures, Game7, Forte, Animoca Brands, and more, the Cointelegraph Consulting Research report will assess the strength of the gaming economy, the challenges ahead for the GameFi industry, and potential ways to overcome them.
The report delves into five popular P2E games and compares the games' deposit balances, active users, and transaction volumes. The report will also score these games on a scale of 1 to 5 based on gameplay and token economics. 2021 will see an explosion of economic activity on GameFi and the entire economy will grow. The report explores the economics of the digital economy and draws on robust property rights data to inform free market economic models.
Provides useful information about GameFi
You don't need to be an experienced professional to find a wealth of useful information in this report. This report provides a broad overview of the GameFi industry by listing the necessary data from the five most popular P2E games. These data are simple and easy to understand, so for example the following data:
This graph shows how much money players have invested in each game (in USD), i.e. the value players have invested in in-game material. Daily active users (measured by unique wallet addresses) show a moving average over 30 days. Transaction volume represents the daily revenue amount (USD) of the game. Finally, the report scores each game based on gameplay and token economics factors.
property rights exist for the first time
Before GameFi, the game world didn't allow players to actually own their in-game assets. GameFi stores in-game materials as unique tokens (NFTs) and allows owners to sell these materials on the free market at a price of their choice. Crypto games are gaining popularity as players collect and trade virtual assets. This creates reliable revenue for game developers, while also creating value for players.
In 2020, Axie Infinity gamers in the Philippines earned their monthly salary just by playing games amid financial difficulties due to the COVID-19 pandemic. The graph below shows Axie Infinity's dominance in GameFi based on in-game NFT transaction volume:
Axie Infinity is the first hit game on GameFi in 2021. All assets and data on Axie are open source and do not require permission from SkyMavis, Axie's developer, to use it. Developers in the community can build what they want and let the community of players decide if they like it or not. In other words, a free and open market is built into game design.
Will 2022 be the first year of GameFi?
The rapid development of these five games is impressive, and 2022 promises to be a big year for P2E gaming. GameFi is changing the game, but it's not without its challenges. The industry still faces some regulatory concerns. Regardless, GameFi demonstrates the superiority of open free trade over a centrally planned economy. For those interested in GameFi, this report is a great source of information.