P2E Market Limitations

Market Limitations

Based on a report from the research firm GRAND VIEW RESEARCH, it is forecasted by experts that the expenditure on blockchain solutions worldwide is expected to increase, possibly reaching close to $19 billion by the year 2024.

The blockchain gaming market in the United States is experiencing rapid growth, expected to have a compound annual growth rate (CAGR) of 68.3% between 2023 and 2030.

Nevertheless, the blockchain gaming industry is encountering notable obstacles, primarily stemming

from the persistent bear market within the blockchain P2E sector since 2022.

Consequently, this downturn has led to the termination of over 20,000 jobs within the industry,

affecting affiliated game enterprises. Despite the development of new P2E games by prominent

companies and the recent recovery of the global cryptocurrency market, the prices of P2E game-related tokens remain largely unimproved.

• P2E TOKENOMICS & MODELING

• Ecosystem Distribution by BOT(Mining Bot)

• Reduced Accessibility for Web 2.0 Users

The primary factor responsible is the design of Tokenomics for users engaged in mining.

Users exchange the tokens they acquire through Bots for money without reinvesting them back into the

game, leading to a decrease in the value of In-game goods and causes Tokenomics to collapse.

The accessibility of acquiring tokens and the rapid increase in supply relative to player numbers

underscored issues with the conventional P2E model, compounded by the presence of bot-related

challenges. Consequently, the likelihood of P2E token prices plummeting and destabilizing the P2E

economy is apparent in the absence of an effective distribution mechanism.

It is also not readily available to current users of Web 2.0.

This is since Web 3.0 P2E platforms necessitate the use of meta-masking and transferring assets

between wallets for access, posing a challenge for newcomers to Web 3.0.