The blockchain-based gaming sector will have to seek localized strategies to attract Web3 gamers, says decentralized gaming guild Yield Guild Games (YGG).
Speaking to Cointelegraph at the 2022 Tokyo Game Fair last weekAndy Chou, YGG’s head of ecosystem development, and Brian Lu, a partner at Taiwan-based venture capital firm Infinity Ventures Crypto (IVC), gave an overview of YGG’s plans moving forward, including how it is using their subDAOs.
YGG initially launched in the Philippines in late 2020, but following an early stage investment from IVC, the duo teamed up to expand YGG globally via subDAO, initially starting in Southeast Asia.
According to YGG terminology, sub-DAOs act as a “miniature, specialized economy that interacts with a larger, more inclusive economy” under the YGG umbrella. They entered the ecosystem of the JJ.OO. in July of last year.
While many may associate YGG with its Philippines-based organization that runs scholarship programs for play-to-earn (P2E) games like Axie Infinity, the guild has been gradually expanding to other countries and regions such as India, Japan, Brazil and Latin America through the use of subDAO.
Chou described the idea of a YGG sub-DAO as “kind of its own economy, which has its own treasury and its own token,” adding that each sub-DAO has a different setup and trade associations depending on which country it is in.
For example, Chou pointed out that although YGG’s concept of scholarships – in which active NFT gamers are loaned out so they can earn from gaming – has been a key driver for the adoption of Web3 gaming in the Philippines, he doesn’t see this as necessarily relevant in the context of YGG Japan.
Instead, Chou suggested that the best way to attract people to Web3 games in Japan is to take advantage of the long list of Japanese “Game Intellectual Property”, while Lu confirmed that they are focused on “helping to market Japanese games” rather than offer scholarships there, stating:
“Japanese intellectual properties are something that everyone covets. […] There are companies like Sega, Bandai Namco, all these game companies want to change course and get into Web3.”
Asked what he thinks is holding back the adoption of Web3 games, Chou noted that the onboarding process remains complicated for new users.something your YGG Japan sub-DAO has tried to fix recently.
On Friday, YGG Japan announced a partnership with IVC and Web3 technology company KryptoGO to develop a wallet specifically targeted at blockchain gamers. Although details were scarce in the announcement, the trio intends to create a simplified interface for users to access blockchain games and host all their assets in one place..
Choo said that other barriers included a lack of knowledge about what non-fungible tokens (NFTs) represent, as many critics continue to argue that the assets are worthless as they can simply right-click and save the artwork associated with the token. NFT:
“That whole onboarding process, once it’s more fluid, will help bring in more people. I think even on an educational level, just explaining what it means to own a digital item. Instead of saying ‘oh, I can copy this and get it.’”
“Having that digital ownership of those digital goods. It’s something that hasn’t really been explored. But as the world gets more and more digital, I think that’s where a lot of things are moving towards,” he added.
YGG was co-founded in 2020 by Beryl Li, blockchain developer OwlOfMoistness, and Gabby Dizon, the latter being one of the founding members of Oasys, which is scheduled to launch a gaming-focused blockchain later this year.
As of June, the YGG network around the world numbered more than 30,000 fellows. For lending their NFTs, YGG offers 70% of game profits to players, 20% to scholarship managers, and the remaining 10% goes to the specific subDAO.
Clarification: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information set forth herein should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Keep reading:
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the full amount invested may be lost. The services or products offered are not aimed at or accessible to investors in Spain.
