13/01/2022 Blockchain gaming survey: 7 investors discuss regulation, opportunities and NFT hype

The video-game industryhas always been on the bleeding edge, but blockchain gaming is still widely viewed as emerging technology.

In October 2021, Valve banned all blockchain-related games from its Steam platform. Meanwhile, within Axie Infinity, an NFT-based online game, new players are paying hundreds of dollars to acquire mythical pets and love potions.

There’s still a haze of uncertainty surrounding blockchain games, so we reached out to several active investors in the space to get a clearer picture of where opportunities exist today and what they see on the horizon. We asked them to share the advice they’re giving their portfolio companies, along with their thoughts on how future regulation might impact the industry.

Interestingly, at least one investor noted that growth wasn’t a key consideration: “We tell our companies to really think about the missing pieces, particularly in gaming infrastructure,” said Banafsheh Fathieh, head of investments, Americas at Prosus Ventures. “What are the pain points we can alleviate for users and builders? Growth is less of a focus now, utility is incredibly important at this stage.”

We surveyed:

  • Anton Backman, principal, andKenrick Drijkoningen, general partner,Play Ventures
  • Banafsheh Fathieh, head of investments, Americas,Prosus Ventures
  • Josh Chapman, managing partner,Konvoy Ventures
  • Eddie Thai, general partner,500 Startupsand general partner,Ascend Vietnam Ventures
  • Beryl Li, co-founder,Yield Guild Games
  • Rajul Garg, founder and managing partner,Leo Capital

Anton Backman, principal, and Kenrick Drijkoningen, general partner, Play Ventures

What was your initial reaction on hearing about Steam’s ban on blockchain games?

It was not an entirely unexpected move from Steam. Incumbents tend to be more wary of adapting new business models and gaming is no different. As a fledgling space, NFTs are beridden with projects of varying quality and we believe Steam wants to do some quality assurance and wait until the situation stabilizes before allowing blockchain games en masse. Interestingly enough, at the time of writing (Nov 14) MIR4, a crypto-enabled MMORPG on Steam, is running at 88,000 concurrent users. Seems that there’s still a gray area in terms of how these games are classified.

What advice have you been giving your portfolio companies to grow? What sort of guidance and assistance do blockchain gaming companies seek from you?

We typically act as a sparring partner for founders in strategy-related matters. With blockchain gaming companies we have mostly assisted the teams in navigating the technology stack, i.e., what blockchains and/or scaling solutions to consider, as well as token economic design. In our view it’s key to embrace a crypto native approach of building and experimenting with the product while also involving your community in the process.

How do you view the regulatory environment for blockchain gaming? Is the uncertainty making you reconsider your strategy?

No. It’s not the first time innovation has outpaced regulation and we see it as a natural reaction to new consumer behavior and ways of building companies. Similarly, Uber fought an uphill battle with regulators before eventually democratizing the taxi medallion system and providing an outsized improvement for end users of taxi services. This doesn’t mean that companies and projects should build products that are against the law but rather engage in healthy discussion with regulators as the adoption of their products increases.

Arts

https://techcrunch.com/2022/01/11/blockchain-gaming-survey-7-investors-discuss-regulation-opportunities-and-nft-hype/

Interesting NFTs
Wink
The eye of providence blinks. Originally posted to tumblr June 26, 2012.
Source Code for the WWW
OWNER: Sir Tim Berners-Lee Sir Tim Berners-Lee, b. 1955 Source Code for the WWW 1990-1991 Work includes: Original archive of dated and time-stamped files containing the source code, written between 3 October 1990 and 24 August 1991. These files contain code with approximately 9,555 lines, the contents of which include implementations of the three languages and protocols invented by Sir Tim; HTML (Hypertext Markup Language); HTTP (Hyper Transfer Protocol); and URIs (Uniform Resource Identifiers), as well as the original HTML documents that instructed early web users on how to use the application Animated visualization of the code being written (Video, black & white, silent), lasting 30 minutes 25 seconds A Scalable Vector Graphics (SVG) representation of the full code (A0 841mm wide by 1189 mm high), created by Sir Tim from the original files using Python, with a graphic representation of his physical signature at lower right A letter written in the README.md file (in “markdown” format) by Sir Tim in June of 2021, reflecting upon the code and his process of creating it Non-fungible Token ERC-721 Minted on June 15, 2021, ed. 1/1 Smart Contract Address: 0x86ade256037d80d6d42df8df96d5be21cd25bd8f
Cockerel and chick
Katsushika Hokusai (1760-1849) Cockerel and chick late 1810s - Japan
Kitty #2401 Purebred Salmon
Uh, hi! I'm Kitty #2401 Purebred Salmon. I believe the world is flat. I put ghost pepper hot sauce on everything. Like, everything: hot dogs, salad—everything! Will you be the maple syrup to my pickles?
/ TWO BLINDFOLDED EYES /
Trust your Intuition, two blindfolded eyes look much clearer than a blind mind.