Thread by @CryptoTakai

5 things Crypto gaming projects can learn from @GenshinImpact.

Genshin Impact is a F2P action RPG game, with a loot box style monetization mechanic.

A thread🧵 1/24

#Crypto #Metaverse #GameFi #P2E #playtoearn #playandearn #XToEarn #Gaming #Genshin #GenshinImpact

@GenshinImpact Why #Genshin?

- Its one of the most successful F2P gacha-style game
- Youngest Top-15 mobile game by CUMULATIVE revenue
- Player count has literally been up only since launch

If you gotta learn, you gotta look outside of Crypto and learn from the best.

2/24

@GenshinImpact TLDR of the 5 lessons;
1. Uncorrelated demand
2. On-going limited-time events
3. Curated experience
4. Simple token model
5. Marketing

3/24

@GenshinImpact 1. Uncorrelated demand

The main reason players spend money in Genshin is for more playable characters and better weapons.

Players can also pay for more in-game resources, to save time on grinding.

Cosmetic skins were also introduced, but only after ~1 year since launch.

4/24

@GenshinImpact Even tho they are selling the same chars, the motivations to buy are diff. Some buy for the stronger meta, for the diff playstyle, or for character design.

I remb making sure to save enough "tokens" to roll for Hutao, becos shes voiced by one of my fav anime voice actor 😳

5/24

@GenshinImpact They also created more content like a "build your home" simulator.

This appeals to an even more diverse set of players, who may not be concerned about combat but will pay for a limited edition stove to make their perfect kitchen to invite friends over.

6/24

@GenshinImpact Uncorrelated demand helps becos if 1 demand source fails, others help to sustain.

Crypto games tend to focus on 1 core game loop, designed to make their token price pump. If everyone is buying your token for the same reason, they will also all sell for the same reason.

7/24

@GenshinImpact 2. On-going limited-time events

F2P games were only around for 2 decades. But one core ingredient that F2P games figured out are "Events". F2P games have no end, so they need to constantly keep things fresh and retain attention as compared to traditional one-off games.

8/24

@GenshinImpact To further add to FOMO, make some event-exclusive items that only participants can keep. It is a reward for effort and right to flex as early adopters. Genshin did that with playable harp/guitar and fireworks launcher.

9/24

@GenshinImpact Genshin players will be familiar with Crown of Insight. This is a rare item that usually can only be attained by completing events. This item is needed to fully upgrade a char's skills.

With this token gated feature, fully upgraded chars show some effort and not just P2W.

10/24

@GenshinImpact Crypto games tend to focus too much on the token economy, tweaking money supply here and there like a central bank. Add in bug fixing, devs have no more time left.

Your game should be the one keeping the players, not the tokens that they are bag-holding.

11/24

@GenshinImpact 3. Curated experience

Most of Genshin's content can only be properly enjoyed in single player mode. This has certain advantages.

Devs can build the game as how they wish players will enjoy. A curated story line, managed difficulty setting & minimal disruptions.

12/24

@GenshinImpact Multiplayer PVP games needs a lot of maintenance. Devs would have to constantly keep up with balancing the meta, keeping players in sync, managing F2P vs P2W players.

For crypto games, add on the work of a central bank in overseeing their token economy and policies.

13/24

@GenshinImpact 4. Simple token model

Genshin has 2 main currencies:

- Primogems: For summoning chars & weapons. F2P players can only earn a small amount daily or through events.

- Gold: For upgrading stuff and game progression

14/24

@GenshinImpact If Genshin was crypto game, Gold would never be an on-chain token.

Spenders can pay for gold to skip the resource grinding. But there is no point in allowing players to encash the infinite supply of in-game gold, subjecting it to open free market economy volatility.

15/24

@GenshinImpact Most of crypto games today use the 2 token following the footsteps of GameFi poster child @AxieInfinity ($AXS and $SLP)

@nateliason wrote a great piece on One vs Two Token Models.

16/24

crypto.nateliason.com/p/one-vs-two-t…

@GenshinImpact @AxieInfinity @nateliason @nateliason suggests that an adv of 2 tokens is that a fixed supply token ($AXS) that accrues value can be for investing and speculation, while the infinite supply token ($SLP) runs as a stable game currency.

I tend to disagree as speculation will always be there when..

17/24

@GenshinImpact @AxieInfinity @nateliason ..you open up to the free market. A look at $SLP is evident.

There were popular trading narratives like long $AXS / short $SLP since the SLP is a farm & dump token while AXS will accrue value. Even bigger speculators may also long $SLP to profit from short squeezes.

18/24

@GenshinImpact @AxieInfinity @nateliason Not everything in game, like the gold needed for progress, sld be decentralized and tradable.

Primogems are not needed for game progress. They unlock periphery experiences for enjoyment, that ppl will pay far. They are a BONUS. A perspective crypto games cld consider.

19/24

@GenshinImpact @AxieInfinity @nateliason 5. Marketing

Back when Genshin just came out in Sept 2020, I remb it being called a Breath Of The Wild (BOTW) copycat.

Since then, Genshin has differentiated itself from being a fork of BOTW. They are now known for great graphics, nice char designs & unique gameplay.

20/24

@GenshinImpact @AxieInfinity @nateliason If Genshin marketed itself like a crypto project, they would call themselves a Gacha game: "Pay and earn your waifus!"

Gamers hate loot boxes. This has plagued mobile games and its also the main source of why gamers hate #NFTs.

Marketing your game as an X-to-earn..

21/24

@GenshinImpact @AxieInfinity @nateliason ..crypto game only attracts crypto audience which majority tend to be profit driven.

I think Genshin promoted themselves well here as an exploration and action game first, then make you stay for your waifus/husbandos/Klee despite the loot box sigma.

22/24

@GenshinImpact @AxieInfinity @nateliason Similar approach crypto games can take is to market themselves with just a good game, but players stay in the game after getting hooked by the sticky economics, that somehow intertwined with their real life.

23/24

@GenshinImpact @AxieInfinity @nateliason This is just a thought piece and by no means a comprehensive study. Biz model of well known games like Genshin and Fortnite could work also because they have huge SCALE. But I do believe some elements are worth picking up.

24/24

If you find this interesting/helpful, give the first tweet below a like and retweet🙂

https://twitter.com/CryptoTakai/status/1535167612040056832

Would love to hear the thoughts of some crypto gaming chads on this.
@nateliason @larsiusprime @NicoVereecke @0xRyze @Jeremystormsky @Loopifyyy @AndrewSteinwold @pierskicks @0xWangarian @Arthur_0x @Tocelot @gabusch @amytongwu @ysiu @Fwiz @shaunhengcj

https://twitter.com/CryptoTakai/status/1535167612040056832

Would love to hear the thoughts of some crypto gaming chads on this (con't):
@chng_raymond @cloudxgmf @DeFiVader @JanisLegler @0xkapital_k @p_petertherock @0xAikoDai @playtern @_calmdonut

https://twitter.com/CryptoTakai/status/1535167612040056832