🪙Tokenomics Problems Overview

The crypto industry is increasing, but we still have many problems and challenges to solve before crypto becomes integral to everyone's life.

What kind of problems are these?

Newcomers' problems: they need help to begin using decentralized exchanges.

The problem with game mechanics is the complex mechanics of common games are superimposed on the difficulty of understanding DeFi interfaces and processes.

The Pump & Dump Tokenomics Problem

• The short life of projects, where the main users lose their investments.

• Weak resistance to mass withdrawals.

• Lack of mass sales containment mechanics.

• Lack of mechanics of fund accumulation stabilization.

• There are no dynamic deflationary mechanics.

The problem of honesty and transparency in projects

• Rapid team and early investors exit to the detriment of the first users.

• Lack of decentralized reserve fund - warchest.

• Lack of multiple sources of filling the reserve fund - warchest.

• Lack of DAO principles in the management of money in the warchest.

The Magic Alchemy game is designed to meet these very challenges. Further in the document, we will detail how we solved these problems and how the game mechanics, interfaces, tokenomics, and decentralization will work.

Briefly on how we solved these problems

• We created our own DEX to detach from the logic of third-party DEX platforms.

• We simplified the mechanics of working with liquidity by using our DEX platform on the principle of one button.

• We simplified money entry directly from the card into the in-game wallet.

• We replaced crypto terms with common ones used in games.

• We convinced a player they are playing a regular game, not working with DEX.

• We increased interest in the game through the opportunity to earn by playing rather than paying to play, as in classic games.

• We created an exciting game world and a legend in the style of dark fantasy, which is still unique to crypto games and a great success in classic games.

• We created strategies for engaged and busy players who want to spend only a little time playing.

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At this stage of GameFi development, the vast majority of crypto game projects use the Play to Earn (P2E) concept, which in its current form focuses more on "Earn," and the "Play" component comes next, ultimately resulting in poor gameplay appeal and visuals.

In addition, most games need more sufficiently developed tokenomics. Economic models of games that provide growth by bringing in new users but leave no value to players after the end of the game's life cycle have the characteristics of Ponzi schemes, which, in the user's mind, extends to the whole crypto-industry.

Therefore, distrust of DeFi and intimidating, sometimes too high commissions, create an additional point of rejection at the very beginning of a new user's acquaintance with the decentralized world.

Another area for improvement with the P2E concept is the possibility of abusive gameplay mechanics by players with large capitals. By investing significantly more in the game than the average player, such users get advantages in the speed of playing, the struggle for ratings in leaderboards, and monetization of game time.

Thus, the key to success, as a rule, is the possession of a thick wallet rather than the gaming skill of the user, which is undoubtedly unfair to players with small deposits.