What Are Gaming Guilds?
December 4, 2023
What Are Gaming Guilds?
On December 4, 2023 by adminIf you want to know how they work, and how they can help you earn money doing what you love…
Born as a solution to solve the “barrier to entry issue” with the play-and-earn game Axie Infinity, they’ve evolved into a key way to help beginners navigate the new world of web3 gaming.
So let’s dive right into what a gaming guild is.
What’s a Gaming Guild?
A gaming guild is an organization made up of gamers, investors, and managers that focus on play and earn web3 games.
“Play and earn” features in web3 games usually require you to buy expensive NFTs first. Guilds remove that obstacle.
Guilds lend NFTs to scholars…
And scholars play & share their earnings with the guild.
We’ll dive into what this profit sharing model looks like in a few sections…
But if you’re a gamer, this is how gaming guilds allow you to earn money doing what you love.
One of the biggest gaming guilds is Yield Guild Games.
They were one of the first to offer this profit-sharing model to players of the game Axie Infinity in 2021.
How Gaming Guilds work
Like small VC funds, members of a guild pool their money in to buy in-game assets for players (called scholars) to start earning in web3 games.
But guilds are technically DAOs, or “decentralized autonomous organizations”.
This is a fancy way of saying the web3 version of a company.
You can learn more about DAOs here.
What Roles Do Gaming Guilds Play In Web3?
Guilds Are Web3 Gaming Communities
Every top gaming guild has a strong community. And this community guides newbies as they navigate the web3 universe.
A lot of features of web3 games may be unfamiliar to players; the community helps.
Have a technical question on how to set up a digital wallet? How to withdraw money from the game? Or how NFTs work?
Gaming guilds are communities you can speak to and ask questions.
Guilds Offer Scholarships To Web3 Games
The scholarship model was invented to help everyday players participate in the metaverse and web3 using other peoples’ money.
Normally 10% of your earnings go to the guild as rent, 20% to the managers, and 70% to you…
Other guilds split the profits 50/50– it depends on the guild.
This system lets anyone in the world participate in new “play and earn” opportunities in web3 and the metaverse…
Here are some other roles gaming guilds play in web3…
Quality control for blockchain game projects
The Axie Infinity boom of 2021 brought a whole lot of popularity to web3 gaming…
As a result, several projects are now racing to bring to market the next revolutionary web3 game.
But there’s also plenty of low-quality, fraudsters in the space attempting to capitalize on the play-and-earn craze.
And it’s the guild’s job to protect their members from these frauds and rug pulls.
The top gaming guilds thoroughly vet the economic system of the projects they’re invested in, and run playtests before they offer scholarships to their members.
Guilds Are A Bridge Between Traditional Gamers and Web3
Web3 games are not the same as traditional video games.
Digital wallets, digital currency, gas fees…
These features can intimidate non-web3 users, so it’s critical we have tools to educate beginners.
Guilds are one of those tools.
They help educate non-web3 gamers on things like:
- How to create a digital wallet such as Metamask to access the game and marketplace…
- How to deposit and withdraw funds on web3 exchanges and apps for trading…
- How to keep accounts secure and make transactions…
- The gameplay mechanics and reward systems in the game
Some guilds like UniX Gaming focus heavily on educating their scholars with a learn-and-earn education platform. This improves player performance in the long run.
Guilds Allow Investors To Participate In Web3 Gaming Even If They’re Busy
Guilds can help investors indirectly invest in games through them without going through the hassle of research, managing accounts or operating the game.
So if you’re an investor who wants to invest in games, but don’t have time to play, you can invest in guilds.
Potential Drawbacks Of Gaming Guilds
The value of a gaming guild token heavily depends on the yields generated from the NFT assets from the guild’s treasury; which could be extremely unstable.
When you add in the volatile nature of the value of NFTs, and the shifting popularity of the games, it’s easy to see why.
In these early days of web3 gaming anything can happen, so it’d be wise to invest with caution.
Conclusion
Despite the bear market, here’s why we believe there’s a bright future for gaming guilds…
Gaming is the biggest entertainment industry in the world– bigger than Hollywood and the music industry combined. And who doesn’t want the ability to earn money doing something they enjoy?
As game companies build web3 games that last for years, and not just for a bull run, we’ll still need a solution to high entry costs.
Guilds solve this problem now.
Gaming guilds are also a wonderful place for non-web3 users to learn how to navigate the emerging world of web3.
So that’s what gaming guilds are, how they work, and what they do for both gamers and investors.
PS. You can get a lot of the benefits of a guild just by being an active member in the Joystick Discord without sharing any of your gaming profits…