Web3 game genres are divided into 3 different categories. Blockchain-based games and Web3 games, also known as GameFi, are one of the most fascinating areas of cryptocurrency today, with more projects emerging in the market.
What are Web3 Games?
Web3 games are a game evolution built on the decentralized, peer-to-peer architecture of blockchain technology.
While the concept of monetization is not new, GameFi represents a paradigm shift in terms of user ownership and control of the gaming ecosystem. Players own in-game assets directly as NFTs or cryptocurrencies and can freely trade or sell them.
Web3 games are in rapid development and represent the future of the gaming industry. While concepts like open metadata servers are still in their infancy, they have already demonstrated the potential of Web3 games and how blockchain and crypto can provide entirely new interactive gaming experiences. There are good reasons to remain optimistic about the industry’s growth prospects as web3 games move from a new niche to mainstream adoption.
Who are the Web3 Players?
With over 800,000 players daily and many different ways to interact with games for different purposes, it can be difficult to categorize Web3 gamers. While some platforms base their decisions on the number of unique wallet addresses, this metric misses the intricacies of who is actively playing and why.
Many people are drawn to Web3 games for a variety of reasons, including real gamers looking for fun, investors hoping to make money, bot accounts playing games on the system, and more. To assess the health and potential of GameFi protocols, it is important to understand the motivations and behavior of users in different industries.
Additionally, Web3 gamers tend to be younger, more educated, and more technologically inclined than traditional gamers. The average regular gamer is 35 years old, but the average Web3 player is between 25 and 30 years old.
1. Early GameFi Phase: Combining Gaming and DeFi
GameFi was born from DeFi in its early stages, combining DeFi’s asset allocation principles with gaming elements. GameFi’s early stages were focused on using DeFi principles as a framework rather than truly integrating them into the game itself.
The primary goal of the early GameFi projects was to attract users interested in making a quick profit rather than creating a truly immersive gaming experience. As a result, the game design and graphics lacked the depth and complexity of traditional games, resulting in a less than stellar user experience.
Phase 2. X2E: Developing Narratives and their Real-World Importance
X2E is defined as any human behavior such as playing or acting to win. So this includes genres like Move-to-Earn or Play-to-Earn where players benefit from their daily activities.
X2E products often use meaningful real-life activities or creative behaviors as their core gameplay mechanism. Unlike early stage games that are purely for-profit, X2E places high value on community culture and values. For example, STEPN not only promotes healthy lifestyles through sport, but also engages in philanthropic activities through the STEPN Foundation.
3. AAA Gaming Phase: Prioritizing Playability and User Base
AAA games have a reputation for high-quality graphics, rich content and superior player experience, which can significantly improve the quality of Web3 games. The involvement of AAA game studios and capital can bring valuable resources and expertise to Web3 games, further boosting its popularity and growth.
Stage 4 Metaverse: Building Virtual Worlds and Shaping the Future
According to Report Linker, the global metaverse game market is expected to reach $447.8 billion by 2027 and grow with a compound annual growth rate (CAGR) of 15.3 percent from 2020 to 2027. This growth is driven by increased internet penetration, the increasing prevalence of smartphones and mobile games, and the growing popularity of virtual reality and virtual worlds.
The metaverse and virtual world represent an inevitable trend and direction for the development of blockchain technology and GameFi. It will create a permanent and open digital space for users to experience various entertainment and social activities, which will undoubtedly become an important part of users’ digital life in the Web3 era.
But right now, the metaverse and the virtual world are still in the conceptual stage. While early products like Decentraland and Sandbox have been released, there is still a lot of room for improvement in terms of openness, community effectiveness and degree of commercialization. This requires continuous optimization and enrichment of content by the community and project parties to attract more users and capital.
