How to Choose a Play-To-Earn Game
When choosing a play-to-earn game, you can analyze metrics that can influence the game's performance, such as market size, token performance, and community sentiment. You can also opt for new blockchain games, as these usually offer generous rewards upon launch to attract players.
Key Takeaways
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Players can use tools to monitor on-chain data, such as active users, transaction volume, and transaction value, along with tracking token performance and community sentiment, to make strategic decisions.
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New blockchain games present opportunities, as early participants are usually rewarded with NFTs and tokens that increase in value as the game grows. However, it is also possible that the game does not take off and the digital assets may lose value.
The world of gaming is undergoing a paradigm shift with blockchain technologies, ushering in a new era of rewarding decentralized game experiences.
As this ever-changing landscape continues to evolve, it is important for both experienced and new players to stay informed about the emerging trends and analytics that are shaping the web3 gaming industry now.
In this article, we will introduce you into the exciting world of web3 gaming analytics. We'll dive deep into the data metrics and insights that every gamer should be paying attention to, from overall game data to in-game tokens and NFTs.
In addition, we will share three tools that simplify the process of accessing, analyzing, and gaining useful insights from these data.
GameFi According to Gamers
Blockchain games are revolutionising the gaming industry by introducing an open economy and digital asset ownership, setting them apart from traditional games. Unlike traditional games, which are closed ecosystems hosted on servers, players of blockchain games have real ownership of in-game assets as these are recorded on the blockchain, and the freedom to trade or sell them for cryptocurrencies. This fundamental shift is attracting both gamers and crypto enthusiasts, resulting in the emergence of a user-centric gaming world.
Gamers play a pivotal role in the web3 gaming world as they actively create, trade, contribute to and shape the gaming ecosystem. In a promising game, it is essential that on-chain data is transparent, enabling gamers to make informed investment decisions and optimise their game accounts at the right time and place. This allows them to maximise their gaming experience and stay engaged with the game for a longer period of time.
Projects in the blockchain gaming space are aiming to provide players with compelling games, while players can actively monitor metrics that can influence the game, ensuring their rights are protected and allowing them to reap more benefits from their participation.
Here are a list of web3 gaming metrics for gamers to consider:
Market Size
Market size refers to the total value of a specific market, usually measured by revenue or sales. In the web3 games industry, market size is a broader concept that helps you understand the size of a game currently, and it is essential for players to determine the stability and reputation of a game. By analyzing market size, players can make informed decisions about investing their time and resources in a particular game.
Several important factors affect market size in the web3 game industry. To determine a game's market size, gamers should notice the number of active users, transaction volume, and transaction value.
Source: Top Web3 Games
In the realm of web3 gaming, the number of active users plays a crucial role in determining the popularity and impact of a project. A larger user base indicates greater influence and stability. Transaction volume and value serve as a measure of the project's commercial potential, reflecting the level of user engagement and trustment. A higher transaction value indicates greater revenue and profit potential.
By considering all of these elements, players can gain a clear understanding of the market size of a particular game and make an informed decision about their commitment to the project.
From the Footprint Analytics research page, you can track all the data you need to evaluate game size, including the number of active users, transaction volume, and transaction value. By analyzing the data, you can find games that are not only entertaining, but also stable, profitable, and have a strong in-game economy.
Token Performance
Token performance is a critical factor in determining the trend and development of a web3 game, as it indicates an increase in market confidence, which can attract additional gamers and even investors to the game.
A game's native token is often used as a medium of exchange within the game's ecosystem, and its market performance indicates market confidence and expectations for the game. Because the value of these tokens can change based on supply and demand in the real market, it is crucial for players to regularly monitor token performance and make strategic decisions in the game.
Source: Token Performance
When the price of a token rises, it means that the market is confident in the game and expects it to get better. Also, a game with good token performance will be more likely a strong game that receives long-term stable support from the gamers. However, token price fluctuations can also indicate market uncertainty and potential danger. A sharp drop in price could indicate a lack of confidence in the company, causing investors and players to lose interest.
The ideal situation would be a steady increase in token price with moderate volatility. This shows that the market is positive and believes in the project, but there is no excessive speculation. In order to achieve a steady increase in the token price with minimal volatility, a number of components must be in place, including a clear and defined game roadmap, a strong and loyal community, a robust risk management game environment, and well-designed token economics. Therefore, gamers should actively track a game's token performance, as by gaining insight into token performance, players can better engage with and influence the dynamic economy that underpins the game itself.
You can track a game token's performance on CoinGecko's Gaming (GameFi) token category, and also view the largest gainers and trending tokens on the category page. You can also use Footprint's Naga Analytics page, where players can monitor the performance of each game's token, including its fluctuations over the last 24 hours.
Community Sentiment
Community sentiment in a blockchain game includes the overall feelings, attitudes, and perceptions of players toward the game. The success of a blockchain game is significantly influenced by community sentiment, a collective measure of players' feelings, attitudes, and perceptions, which can be seen in various channels such as Twitter engagement and Discord interactions.
There are several key factors that contribute to this sentiment. The gameplay experience is a critical determinant and also fundamental to the success of a game – a game that is fun, engaging, and rewarding can retain players and foster positive sentiment. The management style of the team also plays a role. Developers who are transparent, responsive and actively engage with their community can foster a positive environment. Market conditions and token performance also have a significant impact on community sentiment, as a bull market is more likely to foster a thriving game community.
Source: Community Sentiment
Community sentiment has a broad impact on the dynamics of a blockchain game. It directly affects the perceived value of in-game tokens and NFTs. When sentiment is positive, it can stimulate demand and drive up the value of these assets. Conversely, negative sentiment can reduce demand and lead to a drop in value. Therefore, it has a significant impact on the health of the game.
Through DeGame, players have access to a wealth of data that reflects community sentiment, such as Twitter, Discord, and Telegram. By examining this data, players can gain a holistic understanding of the community's perceptions and attitudes toward a game.
Other Things to Check
There are other aspects to consider, such as gameplay. A compelling game is more likely to keep you playing for a long time, allowing you to earn more and have more fun. Longer and more frequent play sessions indicate the game's ability to immerse and entertain players. The presence of a rewarding sense of progression keeps players engaged and motivated to continue playing.
While gameplay enjoyment is crucial, it is also important to evaluate the revenue potential of a blockchain game. This involves analyzing token economics, the presence of secondary markets, and the fairness of payout distributions. Striking a balance between revenue potential and sustainable gameplay incentives is essential for the long-term success and growth of a blockchain game.
New Games: Opportunities and Risks
Beyond tracking the performance of existing games, players may also want to keep a tab on new blockchain game launches, which present opportunities and risks for players.
In the early stages, games typically spend a lot of money to attract users, and early participants always get great rewards. Early participation in new blockchain games can provide opportunities to earn rewards, NFTs, and tokens that can increase in value over time as the game grows. There are also risks, as the game may fail in the market and the digital assets may lose value.
If there is little data available, which is usually the case with a newly launched game, we should research the game's development team and their background, study the game's tokenomics and community engagement, and read some reviews from the community and KOLs to avoid taking too many risks.
Source: New Games
Through Chainplay, you can access a wealth of information about newly released blockchain games. The platform provides comprehensive details about different games, including their genres and descriptions. This allows you to explore different options and find games that match your preferences.
Conclusion
In summary, the emergence of web3 gaming represents an exciting new frontier, but it also requires players to stay informed. By monitoring key analytics such as market size, token performance, community sentiment, and new game launches, players can make strategic decisions to maximize their experience.
However, the risks inherent in this nascent industry mean that gamers should proceed with caution. By leveraging blockchain data tools, gamers can participate in GameFi opportunities while maintaining a measured approach. Although the world of web3 gaming is still taking shape, maintaining an awareness of key metrics will allow gamers to navigate this landscape and unlock its full potential.
This piece is contributed by the Footprint Analytics community.
Author: lesley@footprint.network
The Footprint Community is a place where data and crypto enthusiasts worldwide help each other understand and gain insights about Web3, the metaverse, DeFi, GameFi, or any other area of the fledgling world of blockchain. Here you'll find active, diverse voices supporting each other and driving the community forward.
Footprint Website: https://www.footprint.network
Discord: https://discord.gg/3HYaR6USM7
Twitter: https://twitter.com/Footprint_Data
Footprint Analytics is a revolutionary data infrastructure platform that seamlessly integrates Web2 and Web3. Follow the author on Twitter @Footprint_Data
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