Article source: ChainCatcher
Author: cointelegraph
Compiled by: ChainCatcher
According to a survey by the Blockchain Game Alliance, 42% of respondents believe that player reward models are the biggest advantage in attracting new users. However, as the GameFi industry develops, blockchain games will face multiple challenges in 2025.
Tobin Kuo, CEO of Seraph, stated in an interview with Cointelegraph that maintaining player engagement, adopting new technologies, and building a sustainable in-game economy are the obstacles that GameFi must overcome to remain competitive.
Tobin pointed out that over 60% of players will quit Web3 games within 30 days. He believes that the lack of long-term incentives and poor game mechanics are the main reasons why Web3 games struggle to sustain growth. He told Cointelegraph:
"With the accelerated development of the attention economy, projects must prioritize player-centered design, focusing on immersive narratives, skill-based rewards, and game mechanics that transcend the 'profit-first' model, rather than relying on trends to attract attention."
In 2025, developing better blockchain games will also require the integration of emerging technologies such as generative AI to enhance player experience. Tobin pointed out that GameFi projects that fail to adopt new technologies in a timely manner usually see a 30%-40% decrease in player retention.
According to a survey of the Web3 gaming industry, these issues are considered the biggest challenges facing the GameFi sector in 2024. Source: Blockchain Game Alliance
Building a sustainable in-game economy
Tobin emphasized, "The unstable in-game economy is the main reason for project bankruptcies." He believes that constructing a sustainable token model that controls inflation and is based on data-driven player rewards is key to maintaining player retention.
He further explained that "dynamic loot distribution, staking-based rewards, and economic strategies controlled by players through decentralized autonomous organizations (DAOs) could become best practices for GameFi development."
Taking Hamster Kombat as an example, this clicker game made headlines in July, and within less than five months, the number of users exceeded 300 million. However, after experiencing what was considered the largest token airdrop in cryptocurrency history, the number of active users for the game plummeted by 86%. As of November, the number of players for the game remained only 41 million, a significant decrease compared to the summer peak of 300 million.
The current state of the blockchain gaming industry in 2024
The Blockchain Game Alliance recently released the (2024 Industry Status Report), which surveyed 623 professionals in the Web3 gaming industry.
The report shows that about 53% of respondents believe that poor user experience and complex user interfaces are the biggest challenges hindering new players from entering Web3 games.
Industry insiders outlined the main issues facing the GameFi sector. Source: Blockchain Game Alliance
An early report from BGA indicated that 10% of users gave up entering Web3 games due to the complexity of setting up a cryptocurrency wallet.
At the Blockchain Futurist Conference held in August, Anomaly Games CEO Long Do stated that abstracting blockchain functionality and allowing players to interact with the chain unconsciously is key to driving adoption.
In addition, BGA's 2024 report also shows that 33% of respondents believe that poor gaming experience is one of the top three challenges facing the industry today.
According to survey results from earlier in 2024 by OnePoll, among over 2000 adults, most surveyed players have a lack of understanding of blockchain games.
The survey shows that 52% of respondents do not know what blockchain games are, and another 32% said they have heard of blockchain games but have never played them.
Conclusion
With the rapid development of the GameFi industry, changes in player demand and market competition have prompted developers to continuously innovate and optimize. In 2025, how to maintain player retention, introduce new technologies, and establish sustainable economic models will be key to determining the success or failure of GameFi projects.