The biggest bull run in crypto gaming history is about to begin....
Miles Deutscher@milesdeutscher
106 views
Mar 12, 2024
~7 min read
Advertisement
1
The biggest bull run in crypto gaming history is about to begin.
$MAVIA set the tone, but it's only one of many high-profile launches coming this year.
If you want to capitalise, this thread is for you.
🧵: My ULTIMATE crypto gaming guide (full strategy + top altcoin picks).👇
$MAVIA set the tone, but it's only one of many high-profile launches coming this year.
If you want to capitalise, this thread is for you.
🧵: My ULTIMATE crypto gaming guide (full strategy + top altcoin picks).👇
2
In this thread, I'll cover:
• Why crypto gaming is poised for significant growth in 2024 (and beyond)
• My approach to investing in gaming
• The specific gaming projects I'm investing in
• Why crypto gaming is poised for significant growth in 2024 (and beyond)
• My approach to investing in gaming
• The specific gaming projects I'm investing in
3
2024 has already started with a bang for crypto gaming.
• @MaviaGame has done ~4x from launch.
• @GunzillaGames just launched their game on XBOX.
• The total gaming market cap just hit $20B.
But this may only be foreshadowing what's yet to come.
• @MaviaGame has done ~4x from launch.
• @GunzillaGames just launched their game on XBOX.
• The total gaming market cap just hit $20B.
But this may only be foreshadowing what's yet to come.
Yano 🟪@JasonYanowitz
I think this is the first crypto game on Xbox:
- 60 hr narrative campaign
- 150 player battle royale
- 250+ employees
- Neill Blomkamp (legend) is chief creative
- Economy is fully onchain (Avalanche subnet)
- Custom in-game NFT wallet
Something something, slowly but surely.
- 60 hr narrative campaign
- 150 player battle royale
- 250+ employees
- Neill Blomkamp (legend) is chief creative
- Economy is fully onchain (Avalanche subnet)
- Custom in-game NFT wallet
Something something, slowly but surely.
4
Firstly, let's take a look at the overall gaming landscape.
5
The global gaming industry is bigger than the film and music industries combined.
And it's showing no signs of slowing down, projected to hit $363 billion in revenue by 2028.
Crypto has a MASSIVE opportunity to grab a slice of a huge liquidity pie.
And it's showing no signs of slowing down, projected to hit $363 billion in revenue by 2028.
Crypto has a MASSIVE opportunity to grab a slice of a huge liquidity pie.
6
But why?
Crypto is a compelling retail vertical as it provides:
• The ability to have true, verifiable ownership over in game assets.
• The ability to financially reward/benefit users of the game, instead of purely sucking liquidity within a closed in-game economy.
Crypto is a compelling retail vertical as it provides:
• The ability to have true, verifiable ownership over in game assets.
• The ability to financially reward/benefit users of the game, instead of purely sucking liquidity within a closed in-game economy.
7
I'm also most bullish on crypto verticals that:
• Are easy to understand
• Give retail a genuine incentive to interact with the blockchain
• Have the potential to onboard millions of new users
Gaming has all 3 of these traits.
• Are easy to understand
• Give retail a genuine incentive to interact with the blockchain
• Have the potential to onboard millions of new users
Gaming has all 3 of these traits.
8
Here's why I believe we're at an inflection point for crypto gaming.👇
9
Much of the investment flow into crypto gaming was in 2021/2022.
Games take years to build, so we’re only now starting to yield the fruits of the initial raises.
Over the 2024-2027 period, we're likely to realise the true extent of this funding, via a raft of new quality games.
Games take years to build, so we’re only now starting to yield the fruits of the initial raises.
Over the 2024-2027 period, we're likely to realise the true extent of this funding, via a raft of new quality games.
10
Interestingly, gaming has been gaining users quicker than any other sector.
The gaming sector captures over 34% of the dApp market, with 1.1 million daily UAWs in 2023.
The gaming sector captures over 34% of the dApp market, with 1.1 million daily UAWs in 2023.
11
An interesting catalyst behind this increase is the growth of the mobile gaming sector.
It's a vertical which I'm extremely bullish on, and is a key market to crack if crypto gaming is to reach mass adoption.
It's a vertical which I'm extremely bullish on, and is a key market to crack if crypto gaming is to reach mass adoption.
12
According to Outlier Ventures, mobile games like Mavia are poised to become onboarding engines.
Mobile games offer a less-intimidating gateway to crypto, via their accessibility and ease of use.
The end goal is for users to play crypto games without even realising it.
Mobile games offer a less-intimidating gateway to crypto, via their accessibility and ease of use.
The end goal is for users to play crypto games without even realising it.
Miles Deutscher@milesdeutscher
11. @OVioHQ Ventures: Web3 Outlook
• Mobile-first applications could act as an onboarding engine.
• Centralised exchanges will launch custom L2 solutions, in the wake of Base's success.
• Web3 projects will start building their IP, with physical products & IRL activations.
• Mobile-first applications could act as an onboarding engine.
• Centralised exchanges will launch custom L2 solutions, in the wake of Base's success.
• Web3 projects will start building their IP, with physical products & IRL activations.
13
So, now you have more context as to what underpins my crypto gaming thesis - now it's time to discuss my investment strategy.
14
Firstly, before we even begin allocating to specific gaming projects, you have to calculate what % of your portfolio you want to allocate towards the gaming sector.
This will depend on your bullishness vs other sectors, alongside your risk tolerance.
For me, it's ~10-15%.
This will depend on your bullishness vs other sectors, alongside your risk tolerance.
For me, it's ~10-15%.
15
I take a pyramid (tiered) based approach to my gaming portfolio.
At the base, is gaming infrastructure (lower risk, lower reward).
In the middle, is the gaming studios (medium risk, medium reward).
At the summit, is the individual crypto games (high risk, high reward).
At the base, is gaming infrastructure (lower risk, lower reward).
In the middle, is the gaming studios (medium risk, medium reward).
At the summit, is the individual crypto games (high risk, high reward).
16
Let's break down these sectors even further.
1. Gaming infrastructure.
This encompasses L1s, L2s, SDKs etc. Basically any tech required to power crypto games + ecosystems.
This is a more indirect way to get exposure, but you can invest in gaming-specific infra.
1. Gaming infrastructure.
This encompasses L1s, L2s, SDKs etc. Basically any tech required to power crypto games + ecosystems.
This is a more indirect way to get exposure, but you can invest in gaming-specific infra.
17
2. Gaming studios.
I like studios as it allows you to spread risk by betting on multiple titles, instead of replying solely on one game.
Some examples are Gala, Nakamoto, Vulcan Forged etc.
If a studio releases 20 games, they only need one hit game to succeed.
I like studios as it allows you to spread risk by betting on multiple titles, instead of replying solely on one game.
Some examples are Gala, Nakamoto, Vulcan Forged etc.
If a studio releases 20 games, they only need one hit game to succeed.
18
3. Individual games.
This is the highest risk sector, but clearly the one with the most upside.
Although the odds of an individual game succeeding are statistically low, if it gains traction - this can result in monster gains (even if that traction is temporary).
This is the highest risk sector, but clearly the one with the most upside.
Although the odds of an individual game succeeding are statistically low, if it gains traction - this can result in monster gains (even if that traction is temporary).
19
So now I've broken down my crypto gaming thesis, and my investment strategy, let's take a deeper look into some of the altcoins I'm interested in within the ecosystem.
20
Note: I'm actively adding to my gaming positions, as well as researching and investing in new games/studios/infra.
In the future I'll share new picks with you as I find them, so this list isn't static - it's moreso intended to highlight some cool products I'm currently eyeing.
In the future I'll share new picks with you as I find them, so this list isn't static - it's moreso intended to highlight some cool products I'm currently eyeing.
21
• @Immutable
As a gaming-focused L2 scaling solution for ETH, $IMX is a high-conviction infra bet for me.
$IMX is the base layer for high-budget games like $ILV & $GOG, with large distribution partners such as GameStop.
Vaneck predicts that IMX will be a top 25 coin by mcap.
As a gaming-focused L2 scaling solution for ETH, $IMX is a high-conviction infra bet for me.
$IMX is the base layer for high-budget games like $ILV & $GOG, with large distribution partners such as GameStop.
Vaneck predicts that IMX will be a top 25 coin by mcap.
VanEck@vaneck_us
Prediction #11: A breakout blockchain game may surpass 1 million daily players. Immutable X is poised to climb market cap ranks with key releases and the Immutable Passport, streamlining wallet usage and enabling wider adoption.
22
• @VulcanForged
Vulcan Forged is a blockchain gaming ecosystem consisting of:
• Vulcan Studios (a web3 gaming studio)
• Elysium (a carbon-neutral Layer-1 blockchain)
• MetaScapes (an upcoming Metaverse-as-a-Service project)
The team continues to ship cool new products.
Vulcan Forged is a blockchain gaming ecosystem consisting of:
• Vulcan Studios (a web3 gaming studio)
• Elysium (a carbon-neutral Layer-1 blockchain)
• MetaScapes (an upcoming Metaverse-as-a-Service project)
The team continues to ship cool new products.
23
• @EchelonFND
$PRIME is a gaming studio with one of the most successful crypto card games, Parallel Finance.
They plan on releasing more games, with their token PRIME powering the economy for the ecosystem.
$PRIME is a gaming studio with one of the most successful crypto card games, Parallel Finance.
They plan on releasing more games, with their token PRIME powering the economy for the ecosystem.
24
• @MeritCircle_IO
@BEAM is one of my top gaming infrastructure bets due to their gaming SDKs.
Beam's SDKs help developers ship games faster by abstracting out a lot of the grunt work.
Their first game @ForgotPlayland is launching soon.
@BEAM is one of my top gaming infrastructure bets due to their gaming SDKs.
Beam's SDKs help developers ship games faster by abstracting out a lot of the grunt work.
Their first game @ForgotPlayland is launching soon.
25
• @MaviaGame
Already garnering 1M+ downloads, $MAVIA is a key player in the mobile gaming ecosystem.
Their gameplay has a simple & addictive formula.
MAVIA is currently ~4x from their token launch on Feb 7th, looking to accumulate on any major dips.
Already garnering 1M+ downloads, $MAVIA is a key player in the mobile gaming ecosystem.
Their gameplay has a simple & addictive formula.
MAVIA is currently ~4x from their token launch on Feb 7th, looking to accumulate on any major dips.
Heroes of Mavia@MaviaGame
Heroes of Mavia has reached 1,000,000 global downloads on iOS and Android 🎉
Join us on our mission to bring mass adoption to Web3 gaming - one player at a time!
Join us on our mission to bring mass adoption to Web3 gaming - one player at a time!
26
• @playSHRAPNEL
$SHRAP is a competitive first-person shooting game on $AVAX, with over $20 million in funding. Think PUBG, but with NFTs.
They're one of the few games in my portfolio, mainly because their graphics are great & their pre-alpha launch has been well-received.
$SHRAP is a competitive first-person shooting game on $AVAX, with over $20 million in funding. Think PUBG, but with NFTs.
They're one of the few games in my portfolio, mainly because their graphics are great & their pre-alpha launch has been well-received.
SHRAPNEL » Play Now on Steam@playSHRAPNEL
The past few days have been an incredible roller coaster, and we are beyond grateful to each one of you for participating in STX1!
Witnessing your engagement, reactions, and valuable feedback has filled us with immense excitement and warmed our hearts.
This is just the beginning! We are thrilled to be building in public and shaping the future of Shrapnel with the community!
We’re committed to improving the game, and these events help us do just that.
We look forward to seeing you in the Sacrifice Zone again very soon! Stay tuned!
Witnessing your engagement, reactions, and valuable feedback has filled us with immense excitement and warmed our hearts.
This is just the beginning! We are thrilled to be building in public and shaping the future of Shrapnel with the community!
We’re committed to improving the game, and these events help us do just that.
We look forward to seeing you in the Sacrifice Zone again very soon! Stay tuned!
27
• @NakamotoGames
Nakamoto is a gaming studio with over 200 games.
What I like most here is the mobile-focus & loyal community $NAKA has built.
Nakamoto is a gaming studio with over 200 games.
What I like most here is the mobile-focus & loyal community $NAKA has built.
28
Other notable mentions:
• @illuviumio
• @playbigtime
• @galaxy_sidus
• @AlturaNFT
• @playSIPHER
• @illuviumio
• @playbigtime
• @galaxy_sidus
• @AlturaNFT
• @playSIPHER
29
So those are just some of the core positions comprising my gaming portfolio.
I can't list them all, otherwise this thread would be too long - but as I said, I'm always on the lookout for new quality games.
(comment your favourite crypto gaming projects underneath this thread).
I can't list them all, otherwise this thread would be too long - but as I said, I'm always on the lookout for new quality games.
(comment your favourite crypto gaming projects underneath this thread).
30
However, many games I'm bullish on haven't even launched yet.
As gaming funding is relatively nascent, many games are only NOW starting to launch.
This gives you an opportunity to capitalise if you can get in early.
Here are some launches I'm looking forward to.👇
As gaming funding is relatively nascent, many games are only NOW starting to launch.
This gives you an opportunity to capitalise if you can get in early.
Here are some launches I'm looking forward to.👇
31
• @AetherGamesInc
If you've ever played Magic: The Gathering, you'll love Aether.
Has a viral formula + will be available on Mobile, PlayStation and Xbox.
+ they have an exclusive license with a huge multi-billion dollar franchise (stay tuned 👀).
Disclosure: I'm an advisor.
If you've ever played Magic: The Gathering, you'll love Aether.
Has a viral formula + will be available on Mobile, PlayStation and Xbox.
+ they have an exclusive license with a huge multi-billion dollar franchise (stay tuned 👀).
Disclosure: I'm an advisor.
Aether Games@AetherGamesInc
With the recent announcement of the $AEG TGE set for late February 2024, now is an ideal moment to reflect on the journey of #AetherGames, exploring its past, present, and future.
Let’s dive in👇
Let’s dive in👇
32
• @BloodLoopGAME
BloodLoop is a 5v5 tactical first-person shooter game on Avalanche that I'm excited about.
The gameplay looks great, and most importantly, fun.
BloodLoop is a 5v5 tactical first-person shooter game on Avalanche that I'm excited about.
The gameplay looks great, and most importantly, fun.
BloodLoop🔺 | Hero-Shooter@BloodLoopGAME
The Floor is Lava. 🌋
As the Argo Spaceship embarks on its journey to space, carrying the newest soldiers and S.E.M. Capsules to the front line, the BloodLoops are heating up... quite literally.
Are you prepared to face this challenge?
As the Argo Spaceship embarks on its journey to space, carrying the newest soldiers and S.E.M. Capsules to the front line, the BloodLoops are heating up... quite literally.
Are you prepared to face this challenge?
33
You can invest in BloodLoop early via a launchpad like @SeedifyFund.
Launchpads are a way to get access to new IDOs.
They are also an interesting bet as they typically perform well during periods of strong market sentiment.
Launchpads are a way to get access to new IDOs.
They are also an interesting bet as they typically perform well during periods of strong market sentiment.
34
I'm also keeping some stables on the side for new investments, as many new games are gearing up for launch in 2024.
It's highly likely that crypto's next AAA gaming title hasn't even launched yet.
I'll make sure to keep you updated if I find any gems.
It's highly likely that crypto's next AAA gaming title hasn't even launched yet.
I'll make sure to keep you updated if I find any gems.
35
I hope you've found this thread helpful.
In the coming weeks, I'm going to break down my other high-conviction narratives, such as DePIN and AI.
Follow me @milesdeutscher to stay up to date.
Also, Like/Repost the quote below if you can. 💙
In the coming weeks, I'm going to break down my other high-conviction narratives, such as DePIN and AI.
Follow me @milesdeutscher to stay up to date.
Also, Like/Repost the quote below if you can. 💙
Miles Deutscher@milesdeutscher
The biggest bull run in crypto gaming history is about to begin.
$MAVIA set the tone, but it's only one of many high-profile launches coming this year.
If you want to capitalise, this thread is for you.
🧵: My ULTIMATE crypto gaming guide (full strategy + top altcoin picks).👇
$MAVIA set the tone, but it's only one of many high-profile launches coming this year.
If you want to capitalise, this thread is for you.
🧵: My ULTIMATE crypto gaming guide (full strategy + top altcoin picks).👇