The Gaming Market and P2E

Research shows that driven by nearly 3 billion players around the world, the revenue of the global game market reached $175.8 billion in 2021, and the figure is expected to rise to more than $200 billion in 2024.

Statistics show that in the first quarter of 2022, Blockchain game developers have raised more than 2.5 billion dollars from financial institutions. According to the data, games have become a Blockchain investment area whose popularity is second only to the public chain (including L1 and L2).

However, there have always been great controversies as to combining Blockchain and games. In particular, the current “Play to Earn” mechanism is proven to be unsustainable, and games (GameFi) having too much financial elements do not appeal to traditional game players.

As Eva Wu of Mechanism Capital noted, "Play and Earn" will still attract too many earn-first players, rather than those focusing on the gameplay itself. When the player is told to "play" and then "earn", an unrealistic expectation is formed in their mind, which in turn produces a tendency to selloff the game's native tokens.

Delphi research suggested that people play games for self-satisfaction, and it is the mental flow and immersive experience that matters most. Competition based on skill is a crucial factor of what makes the game meaningful. When money affects the core gameplay, the benefits above will be damaged

Platform projects characterized by Blockchain game integration, launchpad release and NFT trade are gradually drawing the attention of the capital market.