GameFi's Dilemma

High Technical Threshold

The fields involved in the metaverse, such as blockchain, artificial intelligence, brain-computer interface, big data, 5G, etc., have high technological content, and not everyone can participate.

Complex Transaction Process

Due to cross-chain and incompatibility issues in metaverse and chain games, the transaction process of NFT, props, and tokens in the game is not smooth, and players often need to switch and trade between different platforms.

Players Hardly Earn Real Revenues

Although all GameFi claim that players have gained good revenues, this is limited to early users, and the growth of users in the middle and late stages is obviously insufficient.

Inevitable Death Spiral

Both DeFi and GameFi projects are inevitably stuck in the death spiral due to the imperfection of the tokenomics, which leads to an unavoidable value spillover. This puts the development of the projects at serious risk. Once tokens and in-game assets are in the death spiral, the market will face a huge selling pressure which will be extremely harmful to the development of the game.

Incomplete Mechanics

Most of the GameFi currently on the market face a lack of fairness in the mechanics, i.e. without the ability to form the balance of interests between players through competition, too much revenue from the system will lead to a continuous loss of value from the main part of the game, thus creating a player-system confrontation.

Hard to Spread

Worldview, storyline and social interaction are integral elements of the game, but current chain games are overly focused on financial revenue at the expense of these elements. This almost robs games of their lifeline and makes them less enjoyable, leading to series of problems such as in-game consumer engagement, lack of revenue for chain game publishers, and short game lifecycles.

Users Not Fully Own Assets

In blockchain games, although the game props are owned entirely by individuals, the value of the game props depends on the development level of the game. When a game goes bankrupt, it means that the props held by the players of that game become a string of worthless code, i.e. the game publisher is using the banner that the game property belongs to the individual to commit misappropriation of the players' assets.