Economics

Circular Game Economies

Our toolchain allows developers to create reward systems in a meaningful and sustainable way. Using the modular stack, developers can stimulate sustainable, circular game economies. Circular game economies recycle player expenses and redistribute them as rewards to players proportional to their achievements. Perpetually rewarding players in this way allows for meaningful and continuous progression.

Synthetic Demand

We’ve created a network that generates revenue from all the avenues available. It uses this revenue to buy the player’s goods that are up for sale. This is different than your web2 tycoon model.

In web2 players are rewarded based on a constant reward that is matched to the item they just sold. In this case, we reward players in proportion to how many people are producing said item in the market, at what rate, how many can they serve, and how much revenue the network is generating.

Users utilize their gained revenue to expand their plots, transfer funds, and buy on marketplaces. This generates revenue for the network, which immediately goes out to paying earning players.

Thus, creating a circular earnings loop, with minimal emissions. This is a reward model using its circulating supply rather than newly introduced supply.

Dynamic Pricing

Developers should not dictate the constant reward of specific items. In real economies prices go up and down, and so should the values of consumable goods on the network. What consumers pay should be directly proportional to the quantities of the item on the market and the quality produced.

Using a restaurant example, the optimality of a specific stove is directly dependent on how many people are using the said stove, the earning of a recipe is entirely dependent on how many people are cooking it.

The more players are using a stove the less valuable it becomes and the smaller amount of tokens a player will earn from it. The same goes for recipes that are being cooked.

More of stove x being used == less earning from stove x

More of recipe y being cooked == less earning from recipe y

The mechanism is designed to lower and raise the prices of the consumers' goods dynamically and in real-time.