Presented by AppsFlyer

Web3 games offer new opportunities for developers and unique challenges. At this VB On-Demand event, get an inside look into the world of Web3 gaming, from what Web3 really means and how it works, to growth opportunities, potential roadblocks, and more.

Watch for free on demand now!

With blockchain and the idea of ​​asset ownership built into its DNA, Web3 is opening up a profound new layer of player engagement and developer opportunities. Playing to win becomes another style of play when users take into account the potential return on their playing time. Purchasable assets, such as a more powerful weapon or clothing for an avatar, become much more important to the player, when in fact they belong to him and not to the developer. And all of that becomes another source of revenue for the game developers themselves, says Alex Yip, senior solutions architect at AppsFlyer.

However, there is a learning curve: the complexity of the technology itself, the new paradigm of ownership, and the impact on the player-developer relationship pose challenges for developers beginning to tackle this Web3 space.

“The growth opportunities make Web3 an attractive new market,” says Yip. “Developers who solve these challenges are now becoming leaders in the space, moving to the head of the pack.”

Developer Opportunities Now

One of the coolest parts of Web3 is the added layer of ownership and identity, Yip says: players seizing the opportunity to design how they present themselves to the world. For example, the huge number of players in web2 games who design their weapons and wear their avatars to signal their identity.

“That level of ownership, where users can buy and sell, will introduce a compelling collectible aspect to the business,” says Yip. “And it’s a new source of revenue for developers, because every time these NFTs change hands, developers get a cut.”

Instead of selling assets and getting a fixed fee, suddenly these assets become a continuous source of royalties. Investors see this as an opportunity to completely transform the monetization model, Yip says. There are plenty of opportunities to rethink how these revenue streams and NFTs can change the way developers make a profit.

The other aspect is the transparency that the decentralized blockchain provides, making transactions visible. Players can monitor the economy, watch how the community is engaged, and see how the game is developing through their transactions.

“People within the community feel like they own a piece of the game, and that level of engagement is totally unique,” ​​he says.

The challenges behind Web3 experiences

Web3 technology is new enough that best practices are still being formulated, as developers jump into the gap, learn new coding languages ​​and a whole new economic model, as well as look for ways to bridge the gap between web2 and web3 projects.

Some developers are going the app and web browser route, experimenting with how and where to incorporate tokenomics. It’s a whole new and complex facet of game development, both in terms of player management and player behavior, and dealing with the technological side.

In play-to-win games where users look for ways to earn profit, it is inevitable that some users will look for ways to play the game. The mechanics behind the game are crucial in handling this factor and are also incredibly challenging. If you generate coins, are they inflationary or deflationary, and how does the generation of new coins impact the market? Are your NFTs and coins interoperable across different games and different protocols?

“There are so many layers to take into account, and it’s a whole new world of finance and trading that needs to be taken into account,” says Yip.

User acquisition in Web3

Community building has become an essential initial step in user acquisition for Web3 games, arousing interest sometimes long before a single line of code has been committed by the developer.

“Some of the new Web3 projects that have really taken off have started on social media,” he says. “And then your users have a lot of different tactics to grow these communities without you spending a dollar to get started.”

But it’s not just about chats between excited players. Many of these potential players arrive with the expectation that they will have a voice in the development of the project. Giving your audience a sense of ownership early on is a powerful way to turn early adopters into evangelists, going out into the world and promoting the new opportunity.

These users will ‘raid’ or pool information from the game through social media platforms. They will help design new memes and new GIFs to raise awareness. They will offer their skills such as translating promotional material to increase international awareness and more.

There are also tactics like airdrops, or finding the wallet addresses of potential players and dropping free assets for them to see your game, and famous influencers who are excited about the project and raising awareness.

Making Web3 Games Right

Digging into the nitty-gritty of the Web3, tokenomics, and blockchain of it all is essential for success in this new world, but some things never change: you need to build a good game.

“Ultimately, we’re talking about games here,” says Yip. “Focus on the game and the user experience. You want users to log in because they want to play this game, not because they’re just collecting tokens. A token dispenser has a much shorter lifespan than a really cool game.”

Watch it on demand here.

Diary

• What is Web3 and how do Web3 games work?
• How to take advantage of new growth opportunities and solutions
• Best practices for connecting and onboarding users
• Navigating the landscape of fragmented platforms
• Why measurement and attribution are critical from the start

presenters

• Philip DevineCEO, CryptoBlades
• justin vogelCo-founder, Safari
• john liuProduct Manager, AWS Web3 / Blockchain
• Alex YipSenior Solutions Architect, AppsFlyer
• dean takahashihead writer, GamesBeat (moderator)