Nowadays, it’s hardly surprising to see Play-to-Earn (P2E) mechanics in new projects entering the market. P2E originated within blockchain games and the crypto economy, becoming popular due to its ability to allow players to earn real money by playing video games. This approach opened new opportunities for millions of people worldwide, especially in developing countries where video games became a source of income. However, despite the initial hype, P2E encountered several challenges, including a decline in player interest.
Indeed, P2E primarily focuses on the user’s ability to earn money, often neglecting the important aspect of gameplay. As a result, the gameplay in P2E games, based on repetitive actions, turns into a routine and kills all the fun.
To regain users’ interest in blockchain games, the P2E concept needed a rethinking. Thus, the rising trend of Play-and-Earn (P&E) games was born. Unlike P2E, it focuses not only on earning but also on the quality of gameplay and player engagement. In this model, earning is more of a pleasant addition rather than the main goal of the game. Players are rewarded for performing various actions in the game, but the game mechanics and storyline remain the main focus. This approach helps retain users longer and creates a healthier gaming economy.
But how did this new genre come about?
The Play-and-Earn concept was first articulated by Bao Doan, CEO of Pixel Craft Studio and former developer at Sky Mavis, known primarily for the popular game Axie Infinity. At the recently held GM Vietnam 2024 conference, he stated that Play-and-Earn is “the next step in the evolution of the gaming economy and industry as a whole.”
Indeed, it seems that P&E offers a more sustainable and motivating model for players than its predecessor P2E.
“What’s the point of turning entertainment into job? When creating a game, it’s important to remember what exactly you are creating and why. And what your players will seek in it,” Bao Doan said.
As a key figure in creating the Play-and-Earn concept, Bao Doan emphasized the importance of balancing enjoyment with the opportunity to earn. Apparently, his experience at Sky Mavis, working on Axie Infinity, allowed him to see the weaknesses of projects focused solely on earning.
Axie Infinity became a symbol of the success of the Play-to-Earn model, but over time, the project faced difficulties. The game’s economy became subject to inflation, player interest declined, leading to a search for new paths in the industry’s development. It was on this wave that Bao Doan proposed the Play-and-Earn concept, which focuses on entertainment and player engagement.
So, what is the main advantage of the Play-and-Earn concept?
It seems to lie in a balanced approach to gameplay. Players primarily play for enjoyment, immersing themselves in captivating worlds and developing their characters. However, they can also receive rewards for their achievements, which becomes an additional motivation rather than the sole purpose.
This approach also creates a more sustainable gaming economy. Since earning is not the main motivator, in-game currency and assets become more stable, avoiding sharp fluctuations and inflation that undermine long-term interest in projects. Developers, in turn, can focus on creating quality content that attracts and retains players, rather than constantly searching for new monetization methods.
Play-and-Earn is already beginning to change the paradigm in the gaming industry. Companies previously focused solely on the Play-to-Earn model are starting to adapt their projects by adding elements aimed at improving user experience and engagement. This shift towards a more game-centric and sustainable approach opens new opportunities for developers and investors, attracting a wider audience.
Thus, Play-and-Earn can rightfully be considered the future of the gaming industry, combining the best features of traditional games and innovative blockchain technologies. The concept proposed by Bao Doan has already begun to change the approach to game creation and perception, emphasizing fun and engagement rather than earning money at all costs. This genre has every chance to become the foundation for new successful projects, capable of attracting millions of players and creating a sustainable gaming economy that benefits both users and developers.