Overview of the GameFi Industry and In-Depth Analysis of Yield Guild Games

The concept of GameFi originated at the end of 2019, with the core feature being "play-to-earn." It transforms traditional game assets into NFTs or tokens through blockchain technology, giving games financial attributes. This allows players to truly own in-game assets, breaking the monopoly that game companies have over data.

Putting game assets on the chain benefits both parties: game companies can collect taxes from the secondary market, and players can profit from the game. As user participation increases, the game content will continue to enrich, forming a virtuous cycle. However, the playability and sustainability of the economic model of GameFi still have issues.

Although the popularity has declined, GameFi remains the top choice for breaking into new circles. The decline in popularity instead helps to refine the user base, prompting project teams to address issues of gameplay and economic models. In addition, the emergence of DAOs like YGG is integrating resources and gathering users, forming a healthy competitive community ecosystem. Full-chain game narratives represented by Dark Forest are also slowly unfolding.

Yield Guild Games (YGG) is a blockchain-based game yield earning community, established in 2020. It operates in the form of a DAO, providing players with opportunities to earn yields in multiple blockchain games. The native token of YGG, YGG, can be used for community governance, profit sharing, and more.

The core mechanism of YGG includes guild organizational structure, revenue distribution and sharing, and cross-game ecosystem collaboration. Its guild structure consists of a core committee and player guilds, as well as regional guilds and sub-DAOs. Revenue distribution is based on a proof of contribution mechanism, implementing proportional distribution. In terms of cross-game collaboration, YGG achieves this through asset management platforms, community collaboration, revenue sharing, and investment.

YGG's sustainable development faces multiple challenges, including innovation in the GameFi economic model, the overall downturn of the blockchain market, and the uncertainty of the regulatory environment. However, during the bear market, YGG is still actively seeking partnerships to lay the groundwork for future development. As a DAO organization, YGG's success largely depends on its ability to continuously maintain and enhance community engagement and activity.