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In the HTML5 gaming area, there is no solid path to distribution, especially compared to mobile gaming. You have to work tirelessly to push your game to virality, says Chase Freo, CEO of OP Games. Many HTML5 developers say they’re just doing it for fun.
“But if you think about it, can there be a reality where they can do it for fun, for passion and at the same time earn something with it?” he said at the recent GamesBeat Summit Next panel, “Moving From Web 2 to Web 3 Games.” who go viral and are really lucky, do not exist. “
For a web game developer struggling to make a living from making a deal with publishers, up to 90% of revenue usually ends up being publishers adding ads to the games, said Andrzej Mazur, founder, Enclave Games.
“Web3 introduces so much potential, so many other opportunities to try and see what happens,” he said. “Maybe we can explore it and see if there are other ways than just sticking with the biggest publishers, because even though the games are published on those portals, right now there are so many web games, so many HTML5 games, that it’s hard to be noticed. “
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Because of their years of experience or even decades of game building experience, more and more Web2 developers are starting to explore new possibilities and see what they can build using these new Web 3 technologies.
“There is a significant shift in the approach to designing games on Web2 mode versus Web3 mode,” said Sebastian Borget, CEO and co-founder, The Sandbox. “The shift is to go the player first, the community first. You want to design the game to create financial opportunities for your players to own assets, to be engaged in the overall development and to have a sense of ownership. More than a feeling, in fact, but an actual ownership that can be translated into participating in the management of how the game is run, how it is run, and many other aspects of it. “
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Most games are developed as closed economic systems with the game developer as the dictator at the top, who sets everything up, Borget explained. Players do not have much to say about how these games should continue to run, how they should work, whether the balancing is fun and other aspects.
“If the only way to make money on a game is to put ads on it, it means users will be monetized as the product,” Borget said. “They give up their privacy to be targeted by these ads. Not only are they annoyed, but at the same time they become the product of other companies like Facebook, creating a vicious circle where we as users are gradually deprived of some key elements in our identity and ownership of assets. “
In the last three years, blockchain-based games have shown the health of the community-driven approach that creates new economic opportunities in many countries, even new jobs, he said.
“It’s games that create more engagement, more attention and more revenue generation where everyone wins,” he added.
Lars Doucet, co-founder of Level Up Labs, disagreed.
“All this hype about real ownership is BS, unless your app is either open source or you have real, legal, contractual rights that you give your players,” he said. “Honestly, you can wipe your ass with your government tokens. If it’s just linked to some smart contract – if there are no legal rights to support things, then there are no rights. Why should others be motivated to create value in my ecosystem? ”
Pure transparency makes ownership sustainable because it allows developers and owners to enforce their rights to an NFT, Freo said. Establishing a decentralized autonomous organization (DAO) to make decisions, versus the owner of the overall space, is another step in the right direction, and is OP’s ultimate goal. To that end, everything the company creates is open source, even the PFP project they recently released. The project raised millions of dollars, he said, and they are putting it back in the community.
“We’re giving it away to game developers and to open source game engines because we want them to explore this space as well, and really find out exactly how they can contribute to the things we’re trying to achieve here,” Freo said. “A lot of the things we have right now may not be perfect, but a lot of it stems from really good intentions, people trying to implement something that can be enforced in terms of ownership.”
Yung points out that possession is nine tenths of the law – and the idea behind peer-to-peer transactions was originally that it was actually about possession.
“You exchange possession instead of ownership, and you can quarrel over the legal definition of these two, but you get possession of another token that is sent to you,” he said. “In my opinion, it actually places a burden on the seller or the person creating the transaction that they actually have the right to be able to pass it on to you in exchange for what you give them.”
Blockchain brings transparency that no one can dispute, as opposed to private databases run by companies, Borget said, and the industry is mature enough that asset ownership is no longer just a good theory.
“A large number of games with a large number of users have proven that asset ownership, or at least belief in asset ownership, works,” Borget said. “It works on a large scale, and it works globally. It provides a real disruption in what these incentives create. Not just financially … but more in the sense of how it strengthens creativity, community.”
And simply put, neither consumers nor developers should settle for a gaming industry economy where private databases can be hacked, data stolen or misused.
He added: “I think an economy that is not equally beneficial to the world, and also the game developer, without pointing a finger at any particular company – I wonder if we can not do better in 2021 and in the future of what could be the digital economy and digital entertainment in general. “
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