Overview of GameFi and In-Depth Analysis of YGG

The concept of GameFi was first proposed at the end of 2019, with the core feature being "play to earn". It empowers traditional game assets through blockchain technology, transforming them into on-chain NFTs or FTs, giving games financial attributes. This allows players to truly own game data, breaking the monopoly of game companies on data.

Putting game assets on the blockchain is a win-win choice: game companies can earn revenue from the secondary market, players can make money through games, and it also promotes the richness of game content. Although GameFi currently faces some challenges, it remains the preferred choice for breaking boundaries, and the decline in popularity actually helps projects settle down and address practical issues. The ecological environment is relatively healthy, with DAOs like YGG integrating resources to form beneficial communities. Full-chain game narratives represented by Dark Forest are also gradually unfolding.

YGG is a blockchain-based gaming guild that connects global players and investor communities. It supports NFT assets and provides players with multiple earning opportunities in blockchain games. YGG operates in the form of a DAO, allowing members to participate in decision-making and share profits.

YGG was founded in 2020 and has rapidly developed. It first partnered with Axie Infinity to launch a yield program and then continuously expanded its influence. In 2021, it completed a $24 million financing round, and in 2023, it raised another $13.8 million for the development of a reputation Token. Its subsidiary YGG Japan also completed nearly $3 million in financing, showing that capital is optimistic about the GameFi market.

The native token of YGG is YGG, and holders can participate in governance decisions and share profits. It is also used as an incentive mechanism to encourage community participation. As of August 2023, the assets managed by YGG are valued at approximately $186 million, most of which comes from the native token.

The core mechanism of YGG includes guild organizational structure, revenue distribution and sharing, and cross-game ecosystem collaboration. It adopts a two-tier structure of a core committee and player guilds, and has regional guilds and sub-DAOs. Revenue distribution is based on proof of contribution, ensuring fairness and transparency. YGG also actively promotes cross-game collaboration, integrating different game assets and communities.

Community-driven is a major feature of YGG, attracting members to participate through open and transparent governance. In games like Axie Infinity, YGG has established a comprehensive community governance, education, cooperation, and cultural mechanism.

YGG's sustainable development faces numerous challenges, including the stability of game economic models, the growth prospects of the blockchain gaming market, and the uncertainty of the regulatory environment. However, YGG is still actively seeking partnerships during the bear market to prepare for future development. Maintaining high community participation and activity is key to YGG's ongoing success.