In a down market for crypto games, what can make them work?
Even though the first phase of crypto game market growth is slowing down, many web3 companies are still having successful financial raises around the world. However, the days when play-to-earn games were virtually guaranteed are long gone. Investors are now looking for only the best quality games and studios.
Investors are only willing to back projects that stand out. Here are some strategies that can set you apart when you’re looking for capital and preparing for take-off.
Grow big enough to survive the worst case scenario.
The angel investor wants to make sure you’ve thought of the worst case scenario. So make as many plans as possible, considering the challenges that may arise.
If the market turned unfavorable, what kind of resources would you need? What if I can’t find the right talent? What if the launch was unsuccessful? It’s never a problem to have a lot of money, but it can be catastrophic to have little.
A strategy to make money in a clear and direct way is indispensable.
Building a game that will succeed means developing monetization strategies that withstand the market volatility that Web3 is famous for, combining the best of Web3 technology with proven Web2 revenue models such as free-to-play.
Be careful when talking about Web3 technology with angel investors.
It’s crucial to be strategic when communicating about Web3 technology in relation to your game. After all, investors tend to be wary of game creators looking to cash in on trends, Web3 is very much in hype right now.
So focus on how your game is going to succeed, and not so much on Web3 technology. Who will play and how will they earn money?
Teams with experienced professionals in the field of traditional games.
If the games are good, they will appeal to traditional Web2 players. To attract attention, they need great graphics, rich knowledge and robust mechanics. A team that combines Web3 fundamentals with Web2’s lucrative gaming experience for mobile, desktop and console platforms will set them apart in this market.
Talent acquisition can be difficult. The demand for specialized professionals is so high that the search can take you beyond international borders. Still, it’s worth investing the time and money to find the right people.
Do not use tokens as your main source of income.
In a falling market, investors will be much more likely to pursue stock in your company than tokens. Think of smart strategies for this. For example, a scenario where investors are entitled to claim a certain percentage of tokens issued at launch could be an exception to this rule.
The game is about to begin.
As such, it is important to remember that quality in blockchain games is a priority and will continue to be. So invest time to find people who make good games with good strategies to earn money and attract players.