Gabby Dizon, one of the founders of Yield Guild Games, suggests that the key to mass adoption in Web3 games lies in a strategic shift towards free-to-play models. Dizon anticipates that the most successful Web3 games in 2024 will transition away from play-to-earn (P2E) structures, opting instead to be entirely free-to-play.
In contrast to games like Axie Infinity Classic, which necessitate the purchase of at least three Axie nonfungible tokens (NFTs) for participation, the upcoming wave of successful Web3 games aims to eliminate financial and technical entry barriers.
Dizon emphasizes the realization that for millions to engage with a game, it must initially be free-to-play. He notes a shift in the business model, where games prioritize free access, allowing players to mint NFTs or earn tokens during gameplay, without the initial requirement of NFT ownership.
This move towards a free-to-play approach is part of a broader initiative by Web3 game developers to prioritize gameplay over tokenomics. Dizon sees this shift as a solution to speculative Web3 gaming bubbles, as games that captivate players encourage ongoing investment, preventing the in-game economy from becoming solely profit-driven.
This strategic shift comes in response to the decline in crypto prices, with blockchain games experiencing their downturn following the collapse of Axie Infinity-related asset values in late 2021.
Mass Adoption in Web3: Dizon’s Outlook on Quality Games and AI Integration
Dizon believes that the negative trend is set to change with the upcoming launch of new Web3 games in the fourth quarter of 2023, exemplified by the recent open beta launch of the blockchain-based trading card game Parallel on the Epic Games store.
He anticipates a surge in high-quality games with experienced teams, experimenting with novel tokenomics and earning models. Dizon is particularly enthusiastic about the ERC-6551 token standard, also known as “token bound” accounts, which introduces exciting possibilities for AI integration into games.
Developers are leveraging this standard to incorporate artificial intelligence (AI) behaviors into avatars, enabling players to delegate tasks such as crafting, monster-killing, and treasure retrieval to their AI-driven counterparts.
Revolutionizing Web3 Gaming
Dizon envisions a new game genre emerging, where players interact with AI, reducing the need for extensive manual gameplay. By setting parameters for AI actions, players can engage in the enjoyable aspects of the game while leaving routine tasks to AI automation.
Dizon predicts a transformative era in Web3 gaming marked by free-to-play models, captivating gameplay, and innovative AI integration, ushering in a new dimension of player interaction and experience.