The core of the Metaverse Arrival: P2E 2.0 will create a new model of modern games
Today, there are about 3 billion people around the world playing video games and building a complete set of Internet infrastructures around professional games, it creates huge wealth opportunities for top players which covers softwares, hardwares, and intellectual properties. Almost all game-based economic activity is centralized, developers and publishers have the ownership of all the profits generated in their games.
With the development of the industry, this historical centralized hosting model of ownership and profit-sharing continues to exist, but with the advent of “P2E (Play to Earn)” game era, it’s already at the forefront stage of transformation. This type of P2E allows players to actually earn and own digital assets, and they can sell these digital assets outside the game at their discretion.
Hand digital identities, assets, and ownerships to players
Building an underlying trust in the persistence of their commodity value and economic robustness is critical if an individual user is to allocate significant time, attention, and investment to Web3.0 digital environment.The current direction suggests that this can indeed be done through blockchain technology.Play-to-earn games rely on blockchain technology, including using NFT as the basis for value creation.
P2E is still an emerging blue ocean market, but it can redefine more than just gaming. In fact, it can change the way users interact and perceive with traditional socio-economic structures such as financial institutions, markets. Because the “P2E” model provides proof of concepts for self-sovereign financial system, an open creator economy, and universal digital ownership, all of which are applicable to a variety of emerging digital environments and forms of value creations.
In fact, P2E games are leading a bigger trend: the increasing integration of the physical and digital worlds. It comes to the creation of the metaverse, where digital identity and assets are more meaningful than their physical counterparts. Our transition to the metaverse via the P2E model inspires a socioeconomic transition to technological connectivity.
P2E 2.0: Evolutionary metaverse gameplay
In the latest P2E game model, we found that NFTs play a central role in players’ P2E system. Similarly, they all represent different categories of rarity, which guarantees that the supply of certain rare NFT is limited, rather than causing inflation as the game grows as a whole.
Another innovation of P2E is the addition revenue of NFTs sources which can be earned by interacting with NFTs in games. For example, by fighting in Axie Infinity effectively, players can create revenue-generating NFTs. Actually it increases the value proposition to NFT holders and makes lending NFT more liquidity. New players in the ecosystem use these innovative properties to acquire useful NFTs and lend them to other gamers in exchange for a portion of the proceeds.
NFT provides extremely flexible tools for P2E games, allowing users to own in-game items and build a recyclable economy around them. The core is to combine the NFT mechanism with native governance tokens to further enhance its DAO governance function and gain value in the most effective way. Besides, P2E 2.0 games are built and developed based on each other’s portfolio design. We expect the DAO-driven P2E to continue to innovate.
Web3.0’s value proposition is much more diverse
An “open and decentralized” metaverse is ideal because no single entity can control users’ data and assets. Companies like Facebook are centralized identity businesses, which means that digital identities and contents created by users on their platform are stored in centralized servers and it’s beyond users’ control, these companies play multiple roles such as technology providers, decision makers, and data owners.
The techniques of Web 3.0 and the metaverse map perfectly to each other. On the one hand, Web 3.0 is a decentralized network that can serve as a basis for metaverse connections. On the other hand, the creator economy in Metaverse can make a complement to the vision of Web 3.0 to develop a brand new financial world by implementing decentralized solutions.
As we move towards decentralized Web 3.0, it is important to have an interoperable open-source public chain. It is the first problem that P2E 2.0 needs to face. Since the metaverse is a fusion of virtual and physical worlds, it should ensure that different virtual worlds can link to each other, users can seamlessly transfer assets from one to the other.
While the vision of Web 3.0 has developed very well recently with the exponential growth of NFTs, P2E games and DAOs, there is still a long way to go and there is much space for technology to develop, which will bring metaverse experience to a full level.