Scope of Free-to-play web3 games

Thousands of players are playing the free-to-play web3 games at the time of writing this article. We all knew that play-to-earn games reached their potential in the first quarter of 2023 as per the report from Footprint Analytics. Then why is there a new term called Free-to-play games?
 

What are Free-to play web3 games?
 

After the massive adoption of play-to-earn games, some web3 game operators insisted on mandatory buying of certain NFTs for entering gameplay. This was seen as an entry barrier for early adopters of web3 games since they don’t have much idea about how web3 games works. This little dilemma triggers game developers, investors and stakeholders in the web3 game space to come up with the idea called Free-to-play web3 games. 

This method welcomes every web2 gamers with the option of free signups and getting started. In this, the gaming community can enter the games for free and if the players are interested in in-game assets like NFT purchase or trade, they can go ahead. Using the method alone, big game players attracted their community without spending much on marketing.
 

Is Free-to-play Web3 the future of gaming?
 

Big players like Axie infinity whose active daily users were high among the web3 games have adopted this buy NFT to play model. Back then, people needed to rethink their investments in web3 games. The investments were beginning to fall and new gamers were hesitant to play the games before seeing them. Infact, many industry experts are upset with the idea. 

Gabby Dizon, the co-founder of Yield Guild Games, says to Cointelegraph “ a renewed focus on free-to-play gaming will help boost Web3 game adoption”.

Free-to-play web2 games are nothing new since we knew this format in traditional web2 games. This is similar to in-app purchases we are currently seeing in mobile app games. For example, Candy crush, PubG are notable examples. 
 

How can gamers benefit from playing Web3 games?
 

1. Ownership of In-Game Assets
 

• Empowering Players: Free-to-play Web3 games allowing gamers to truly own their in-game assets. Whether it's characters, weapons, or other items, players have tangible ownership, providing a sense of value and permanence.
   
• Tradable Assets: The use of Non-Fungible Tokens (NFTs) facilitates the trading of in-game assets with interoperability. Gamers can sell, buy, or trade their unique items across platforms, creating a dynamic and player-driven economy.
   

2. Earning Opportunities
 

• Economic Empowerment: These games enable players to earn real-world value through their in-game activities. Completing quests, achieving milestones, and contributing to the virtual world can translate into tangible rewards.
   
• Financial Incentives: The integration of cryptocurrency and blockchain technology allows gamers to earn tokens that hold real-world value. This financial incentive transforms gaming from a recreational activity into a potential source of income.
   

3. Transparent and Fair Gameplay
 

• Decentralized Governance: Web3 games often implement decentralized governance models, giving players a say in the development and decision-making processes. This fosters a sense of community and ensures that the gaming ecosystem aligns with the interests of its participants.
   
• Fair Reward Distribution: Blockchain technology ensures transparency in reward distribution. Players can trust that the rules of the game are encoded in smart contracts, eliminating the risk of manipulation and ensuring fair compensation for their efforts.
   

How big is the Free-to-play Web3 gaming market?
 

The free-to-play Web3 gaming market is already showing signs of significant growth. According to a report by DappRadar, the number of unique active wallets interacting with free-to-play Web3 games increased by 12% in Q2 2023 compared to Q1 2023. This suggests that there is a growing interest in free-to-play Web3 gaming, and that the market is likely to continue to grow in the coming years.

Here are some additional statistics that demonstrate the growth of the free-to-play Web3 gaming market:

• The number of free-to-play Web3 games has increased from 100 in 2021 to over 1,000 in 2023.
   
• The total amount of money spent on free-to-play Web3 games has increased from $100 million in 2021 to over $1 billion in 2023.
   
• The number of players who have played a free-to-play Web3 game has increased from 1 million in 2021 to over 10 million in 2023.
   

These statistics suggest that the free-to-play Web3 gaming market is on track to become a major force in the gaming industry. It has the potential to disrupt the traditional gaming industry by offering players a new way to own and monetize their in-game assets.
 

What features Web3 games must have?
 

• Ownership of in-game assets: In free-to-play Web3 games, players own their in-game assets non-fungible tokens (NFTs), which are unique digital assets that cannot be replicated or counterfeited. This gives players a sense of ownership and control over their in-game assets, and it also allows them to trade or sell these assets on secondary markets.
   
• Play-to-earn (P2E) mechanics: All the Web3 games incorporate P2E mechanics, which allow players to earn cryptocurrency or other digital assets by playing the game. This can be done through a variety of methods, such as completing quests, winning battles, or trading in-game items. P2E mechanics can provide players with a new way to monetize their gaming time, and they can also attract new players to the game.
   
• Decentralized governance: Free-to-play Web3 games use decentralized governance models, which allow players to vote on decisions about the game's development. This gives players a voice in how the game is run, and it can help to ensure that the game is designed in a way that is fair and equitable for all players.
   

Challenges and Future Horizons

Addressing scalability issues
 

• Meeting the demands of a growing player base can strain the scalability of Web3 games, leading to performance issues, slower transaction speeds, and potential user dissatisfaction. To overcome this, we at iMeta Technologies will implement Layer 2 scaling solutions in the NFT games development process to enhance transaction throughput in meeting the large volume of users.
   
• Also we need to Utilize decentralized cloud services in full to distribute computing power.  Regularly optimizing and upgrading game infrastructure with respect to the industry standards can be helpful in regulating your gaming community.

Ensuring a balanced in-game economy 
 

• Maintaining a balanced in-game economy is crucial for player satisfaction in free-to-play web3 games. If the game operator doesn’t uncheck inflation or deflation of in-game assets,  it can impact the perceived value of users' virtual assets they own.
   
• To solve these in-game economy problems, you should engage with the player community to gather feedback on every aspect.
   
• As a game operator, you should have decentralized governance mechanisms and conduct voting processes in certain intervals  to involve players in economic decision-making.
   
• Regularly analyzing and adjusting in-game rewards and tokenomics can ensure a stable and fair economy inside the web3 game forever. 
   

Conclusion
 

Reading this blog, you may come to know about the rise and scope of free-to-play web3 games in the game economy. The trends and indications show how free-to-play game models encourage the users mindset in gameplay when comparing buy-to-play models. 

Due to a lack of understanding about the underlying technology, the majority of the gaming community is still on the verge of adopting web3 games. Therefore, web3 game developers should make it simple to sign up, allow for complete gameplay flexibility, and make it simple to trade assets between web3 games in an entertaining fashion. Then, there is a large possibility for profit for game producers from a variety of revenue streams. Limiting the gamers to opt-in for asset purchases could raise questions for those who are new to the web3. 

References

https://www.forbesindia.com/article/cryptocurrency/state-of-web3-gaming-2023-report-reveals-web3-gaming-industry-trends/89771/1

https://www.footprint.network/

https://cointelegraph.com/news/free-to-play-web3-games-mass-adoption-ygg-gabby-dizon

https://dappradar.com/blog/state-of-blockchain-gaming-in-q2-2023