New tribes of the Metaverse — Community-owned economies

People have been talking in glowing tone about the transformative properties of blockchain since Satoshi Nakamoto launched Bitcoin (BTC) back in 2009 — books have been written, thousands of panels and presentations have completed its vistas, and clothed Bitcoin fanatics have bragged about their newfound wealth. Despite these acclaim, the transformation has been slow.

However, whether the delay is due to the global COVID-19 pandemic, or just the time needed to create innovation, we are now on the cusp of change that is creating new economies and ways of human interaction. Metaverse, with its powerful blend of game theory and blockchain, creates token stimulation in virtual worlds. Decentraland is already starting to revolutionize people’s lives and interactions, and many similar platforms are being built. The Metaverse will grow to include multiple capabilities across the chains as the virtual economy grows in importance.

NFTs and the gaming industry

GameFi, a term used to describe the burgeoning intersection between decentralized technology and the video game industry, where the real value is created. Non-fungible tokens (NFTs) allow players to own assets with tangible value in the real world and incentivize players to participate for longer periods of time, as well as allow developers to create in-game economies based on the creativity and interactions of players such as creators and owners.

Related: Metaverse and the new economic model of gaming

Blockchain offers many advantages to GameFi:

  • Transparency: By making gamification mechanisms clear, transparent and possibly codified through a smart contract, users tend to trust more and thus invest more resources in terms of money and time.
  • Compatibility: The blockchain allows for the possibility of creating the portability of virtual resources beyond the limits imposed so far.
  • Liquidity: It is now possible to buy, sell and exchange assets outside of individual games.
  • independent automation With smart contracts, which may enable multiple parties to interact with each other, even without human intervention.

NFTs can increase player engagement and create better gaming experiences that ultimately increase the value of NFTs and in-game tokens. Players can now have agency within the games they want to play, and how those games develop.

Axie Infinity has emerged, in part, due to its social impact in lifting families out of poverty during the pandemic, and the player-created “Scholar” program, which encourages community development, is growing rapidly. It is now a game ecosystem in which the player controls billions of dollars.

BlackPool is another example of an early decentralized autonomous organization (DAO) designed for NFT gaming and trading. This platform is largely community driven; It combines a passion for games, art, data analytics, and machine learning to provide revenue for users. BlackPool has also published Axie-like scholarship programs, opening up new sources of income for those excluded. Blockchain technology enables participation, voting rights, and monetization within the economy. It is also possible through interoperability to anticipate the creation of networks of online communities, with exchanges and interactions between them.

community first

The big story here is that we are seeing a transition from ‘company first’ to ‘community first’. Society is shaped around an idea or interest through participation and cooperation with the community, and concepts emerge from the community. It’s “community first” and “community fast!”

These communities are decentralized and governed by the community – designs can be put to a vote, and the artwork with the most votes from the community can eventually be accepted for the final design. Every time someone mints an NFT, the artists who worked on the original get royalties from them for each transaction. This will open up unexplored areas for monetizing creative knowledge and skills. ️

Related: DeFi’s quest to reimagine financing must come from a community-based design

The build-to-earn model allows the creators to take full control of the game studios and directly participate in the development of the game. This provides the community with the opportunity to create in-game assets, build NFTs, and sell them in secondary markets. This is a powerful new innovative economy that is emerging, where players and programmers can free up their ideas, improve the in-game experience, and invest their intellectual capital. This makes the gaming ecosystem more community-oriented, as content creators are motivated to improve the overall gaming experience. Anyone with basic programming skills can contribute to the game.

This will also lead to the emergence of new social networks between creators and fans. The attention economy will be replaced by social tokens in the Metaverse to bring a new fan-run economy. Brand, community or influencer based social icons will allow communities or celebrities to generate more income. They will create two-way relationships between creators and consumers, with benefits on both sides. These Web 3.0 communities collaborate, publish, and create tribal network influences, all of which help each other drive the value of their platform.

Digital societies form networks through token economies. The more players use or promote the community, the more powerful the game and the underlying blockchain will be. Players are stakeholders.

Related: DAOs will be the future of online communities in five years

This creates the data infrastructure to enable a coordinated and interconnected Metaverse that also enables privileged NFTs to embed digital data rights, and to store, track and enforce those data rights. We are still in the early days of this transformation, and the future is in the hands of the innovators, creators and the community that supports them. These communities are the new tribes in the Metaverse, and the only limit to what is possible is your imagination!

This article does not contain investment advice or recommendations. Every investment and trading move involves risks, and readers should do their own research when making a decision.

The opinions, ideas, and opinions expressed here are those of the author alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Jane Thomason He is a thought leader in blockchain for social impact. She holds a Ph.D. from the University of Queensland. She has held multiple roles with the UK’s Blockchain & Frontier Technologies Association, Kerala Blockchain Academy, African Blockchain Centre, UCL Center for Blockchain Technologies, Frontiers in Blockchain, and Fintech Diversity Radar. I have written many books and articles about blockchain. Featured in Crypto Curry Club’s 101 Women in Blockchain, Decade of Women’s Collaboratory’s Top 10 Digital Frontier Women, Lattice80’s Top 100 Fintech for SDG Influencers, and Thinkers360’s Top 50’s Thought of Global Leaders and Influencers on Blockchain.