Unless you've been living under a rock you should have noticed that P2E gaming is taking over the market just like we predicted a long time ago. An in-game economy, combined with the possibility to monetize your time while doing what you would do anyway, makes the #P2E sentiment a lot more interesting and appealing.
Sure, the vast majority of games have yet to find a sustainable way of obtaining their economies whereby the demand side of things won't drop significantly after the initial expansion.
When the underlying asset (NFT) that generates the supply of utility tokens, is below a certain threshold, the price tends to skyrocket and the whole market enters the price discovery phase. No one knows what's the real value of the asset, thus it ends up being irrationally expensive.
For instance, 1Pega was worth 0.7 of eth. LOL
On the other hand, once the demand is met and there's no actual buying pressure, things tend to get rough.
It's so interesting to see the market acting as a living organism, adopting, reshaping the narratives, finding ways to make more $$$.
I'm not a fan of current models, simply because the yields are too high and it's always a matter of time when it'll collapse. For now, no one knows the perfect formula, but if I had to bet, I'd go for the ad system revenue system.
Fortunately, it's the way it is and we have a lot of room for improvement.
On top of ads, every project should focus on making the game fun, assuring the token has a social element or can strongly influence your status in the community. Why? Well, if the project has people who're only there to milk the system, without any viable tool to fight it back, it's kinda obvious what happens next.
Fun times ahead, that's for sure.
