ServerFi may become the next hot spot, leading the second half of the market? !
A new paper from Yale University proposed the concept of ServerFi, which may be a new potential breakthrough in Web3 innovation:
1) Traditional GameFi is usually carried out in a "Play to Earn" way, and usually adopts a dual-currency model to maintain economic balance. Internal currency increases value through consumption and scarcity systems, attracting existing users to consume equity tokens while reducing selling pressure; external currency drives up the price of currency by attracting new users and funds, thereby increasing game activity and forming a positive cycle. However, the dual-currency model essentially relies on new users to support early players. This structure is likely to attract a large number of speculators rather than real game enthusiasts. This Ponzi-style structure, once the income expectations of old players decline, the game is likely to enter a recession, leading to a "death spiral". Axie Infinity, Stepn and CryptoKitties are all difficult to avoid this ending.
2) This paper proposes the concept of ServerFi, the core of which is to allow players to ultimately obtain server sovereignty through a combination of in-game assets. This new operating framework has the following characteristics:
- Emphasis on long-term participation and value creation: The server ownership obtained by players is based on long-term game revenue, attracting players who focus on long-term revenue, thereby improving the retention rate and loyalty of the game.
- Reduce Ponzi structure risks and reduce speculative behavior: Under the ServerFi framework, players pay more attention to the long-term value and operating revenue of the server, reducing the dependence on new users' funds, thereby lowering the participation threshold. Players who truly contribute to the long-term development of the game will gradually become the mainstream, while speculators will be marginalized.
- Driven by the decentralized community of #Web3 : The division of server ownership transfers the ownership of the game from developers to players and the community. In order to avoid malicious operations by developers, such games need to maintain transparency. Although this model may not have explosive growth in the short term, loyal players may get unexpected returns in the long run.
In short, the concept of ServerFi provides a possibility to bring GameFi out of the Ponzi dilemma, which is a beneficial exploration and progress. I hope to see corresponding phenomenal games in the future.
