As new play to earn games start to emerge, many are wondering which ones will succeed and which ones will fail in the long term of all the play to earn projects out there. Gala games stands out as one of the few ecosystems which could stand the test of time. Today, I’m going to explain what gala games is, how it works and why the gala token might become one of the biggest play to earn cryptocurrencies out there before we build up our stats, i need to hit y’all with some facts. If you came here looking for financial advice, i’m afraid you won’t get any of that. If you came here looking for entertainment and education, however, this video is packed.
Please contact a financial advisor if you need help stacking sats. If this is your first time here, my name is guy and crypto is my career. My mission is to make complex, crypto topics simple and clear: blockchain layer, twos, decentralized, finance, technical analysis and other big words that fill you with fear. If this is the kind of content you want to see every day, subscribing to the channel and pinging that notification bell is the only way if time is of the essence, you can use the time stamps below to skip to the topics you crave or you can Watch until the end, if you’re feeling brave so without further ado, let’s get on with gala games, gala games was founded by eric shimayer and mike mccarthy. Eric is the former cto of intermix media.
The company behind myspace eric is also the co-founder of zynga a publicly traded gaming company with a current market cap of around 7 billion mike is the former creative director at zynga and is credited with creating farmville the famous facebook game. Eric has been dabbling in cryptocurrency since 2014 and he was inspired by the play to earn model pioneered by axi infinity in 2018.
Eric founded blockchain game partners, inc in january 2019, a for-profit company based in the united states, which develops and does business as gala games eric, currently serves as the ceo of gala games and mike serves as the president of games at gala games, which is a cool Job title, if you ask me now, although eric and mike, have been actively engaging with the community, the de facto face of gala games has been jason brink, who serves as the chief marketing officer of gala games, jason used to work for the united nations and his Main motivation for joining gala is the potential that play to earn games have to lift people out of poverty in developing countries. Jason also saw the sheer scale of corruption. That’S going on at these international organizations and hopes that cryptocurrency protocols will eventually replace them, and i am with you on that one buddy, as for eric and mike they have a quote axe to grind with centralized gaming companies and big tech.
In a group interview from march, the duo explained that free-to-play games cost game developers up to 20 dollars per user, which forces them to focus on profits over the quality of the game. Cryptocurrency and especially play to earn, makes it possible to make profitable free-to-play games while simultaneously giving more control to the users through nft items and on-chain governance. This lets game developers focus on quality, while also allowing them to scale, and this is why eric and mike founded, gala games, gala games mission is to basically become the biggest gaming ecosystem in cryptocurrency and crush its centralized competition. In contrast with other crypto projects, gala games has received no vc funding of any kind and there was no ico for the gala token, either more about gala’s tokenomics. Later nagala games got its initial funding from its founders and currently makes its money by selling nfts.
For its current and upcoming blockchain games, all the tokens and nfts associated with these games are on ethereum and will eventually exist on the upcoming gala chain side chain, which i’ll come back to in a moment. The only gala game that’s currently live in alpha is townstar. A farming game similar to farmville townstar actually has its own town token, which is earned by playing the game and can be used to purchase town star nfts from the gala games, nft store or marketplace. Spyder tanks is the only other gala game. That’S currently live, but it’s only in beta now.
That said, the game is playable and is reportedly seeing some serious traction in south korea. The only thing that’s really left to implement is spider, tank’s own play to earn mechanics which should be hammered out later this year or early next year. Besides tan star and spider tank gala games is currently working on legacy, a game similar to sims last expedition. A first person shooter similar to dead space, echoes of empires, a game similar to starcraft fortified, a tower defense game, the walking dead empires a recently announced survival game and mirandas a fantasy role-playing game similar to runescape. According to the gala games website, its live games have over 1.
million monthly active users and 26 000 nfts have been sold, the most expensive of which supposedly sold for three million dollars. What’S odd, is that doesn’t seem to be any active player tracker anywhere and the trading volume on the gala games? Nft marketplace also can’t be found on any dap or nft tracking websites. This might have something to do with the fact that most of the activity happening on gala games is apparently being handled by a separate set of gala nodes. While it’s honestly not entirely clear what gala nodes currently do in the future, they will power the gala chain side chain.
Documentation about the gala chain side chain has yet to be released, so there aren’t many details about transactions per second and such what is known is that the gala chain will feature 50 000 gala nodes, which jason brink believes will be enough to scale to 100 million Monthly active users there are currently around 23 000 nodes, which are also known as founders nodes. There will only ever be 50 000 founders nodes now to become a founder’s node. You need to pay around 165 000 gala for a founder’s node license which works out to about 80 grand at gala’s current price. Now i believe this gala goes to gala games in exchange founders, nodes earn gala along with nfts and tokens from gala, game’s, current and future games. In addition to other, yet to be announced, perks and prizes, founders nodes also govern the gala games ecosystem, primarily through voting on which new games should be added to it.
Founders nodes must remain online for a minimum of six hours per day to earn rewards and obviously the longer they stay online. The more rewards they earn, based on a recent video by another youtuber called the sorensen family channel. The current rewards for running a founder’s node are around 150 per day or around 50 000 per year in gala and other gala games tokens not bad at all. As far as i understand, the gala chain side chain will introduce two additional nodes when it goes live. These are paid nodes which will operate the infrastructure for specific games and free nodes, which will be able to provide support to founders nodes or paid nodes for a portion of their rewards.
What’S crazy is that the gala chain side chain will actually have three consensus mechanisms: founders, nodes will run proof of work, computation paid nodes will provide proof of stake. Security and free nodes will provide proof of storage to ensure the entire gala games. Ecosystem is decentralized. What’S more is that the gala chain will automatically adjust token rewards based on what the ecosystem requires, giving more tokens to founders nodes if it needs more computing power giving more to paid nodes if it needs more security or giving more tokens to free nodes, if it Needs more storage. This sounds eerily similar to thor chain’s incentive pendulum, and you can learn more about that project by using the link in the top right.
But before you do that, though, let’s have a look at gala’s tokenomics. So in terms of tokenomics gala is an erc20 token on the ethereum blockchain and also exists on the binance smart chain. As a bep20 token, gala is currently used to purchase gala games nfts and the aforementioned founders node license in the future. Gala will likely be used to pay for transaction fees on the gala chain. Gala has a total supply of quote approximately 50 billion, which makes it unclear as to whether the token has a maximum supply or not gala games.
Tokenomics page is also not very detailed. So i had to stitch together its tokenomics with the help of some other secondary sources. So from what i was able to gather the first gala tokens were minted in july 2020 and 25 billion were minted in the first year, i.e between then and july 2021.
Every july the amount of gala minted will be cut in half meaning there will only be 12
5 billion gala minted between july 2021 and july 2022, 6.
5 billion gala minted between july 2022 and july 2023 and so on. Fifty percent of newly minted gala goes to founders nodes for the time being and will likely be split among the paid nodes and free nodes. I mentioned earlier the other fifty percent of newly minted gala goes to the quote: gala games conservatorship, which seems to be a sort of community treasury. That’S used to support the development of new gala games. What’S interesting is that founders nodes must pay eth gas fees to open a treasure chest to claim the gala tokens and other rewards suggesting that gala was minted from zero and continues to be minted from scratch.
In other words, gala could very well be a fairly launched cryptocurrency like bitcoin’s btc. This idea is supported by gala’s on-chain presence on etherscan, which currently shows a maximum supply of 36.3 billion. Oddly enough, this doesn’t seem to match up with the emission schedule detailed by gala, games’s tokenomics page. Moreover, gala’s circulating supply on coin market cap or coin gecko is very different and none of gala’s supply is currently held in any smart contracts.
This is concerning because it means that gala’s actual circulating supply might actually be 36.3 billion, which would give gala games a massive market cap of almost 20 billion dollars. This means that it would take a lot of money to push up the price of the gala token, and this brings us to gala’s. Price gala is up over 500x since it first started trading in the summer of 2020, and most of those gains have happened over the last few months. The first pump happened in september and it was caused by the announcement that binance would be listing.
Gala gala games also published a promo video for spider tanks, which gained some decent traction. The second pump happened in november and it was caused by the announcement that coinbase will be listing. Gala gala games also revealed the utility of its recently dropped, vox nfts and i’ll leave a link to that blog post in the description if you’re interested the third pump is more of an anomaly since it happened on gala’s, obvious downtrend. This pump was caused by the announcements made at the galaverse conference in las vegas. The biggest announcement was probably the formation of a 100 million dollar blockchain game and metaverse fund with the help of c2 ventures.
A crypto vc firm, with close ties to the hobie exchange. Assuming gala’s current market cap is correct. It still has a lot of room to grow compared with other cryptocurrencies in its niche. Now the leader in this niche is, of course, axe infinity and if gala catches up to axs, that would be a 2x assuming axs market cap stays the same. Unfortunately, for gala there seems to be leaning on the supply side of the economic equation.
Millions of gala are being minted every week to reward founders notes, and i reckon it’s reasonable to assume that most of them are selling a presentation by eric shimer in march also revealed that 2 billion gala have been set aside for a gala game fund, which is Likely adding to the sale pressure, never mind. The recently announced 100 million dollar fund, which may or may not involve the selling of gala. Meanwhile, the only things driving demand for gala are nfts in the gala games, marketplace whose trading volume can’t be assessed and the founder’s node licence, which is too expensive for most people to afford. Even so, gala has much stronger fundamentals than decentraland and if mana was able to briefly flip axs, i reckon gala can too you can learn more about decentraland using the link in the top right, like every other cryptocurrency gala’s long-term potential ultimately depends on the gala game’s Roadmap, the closest thing that gala games has to a roadmap is a recent blog post, which is titled the nodemap. The first paragraph explains that quote: we do not publish road maps, white papers or specific developmental timelines, which is very frustrating, as the next sentence admits.
Funnily enough, the first milestone is that gala games will likely scrap the roles of paid and free nodes. Instead, it will introduce game specific nodes and the first of these was announced. On the same day, the node map was published. The node map notes that quote the potential rewards for these nodes will be limited to the specific game from which they are derived. They will never receive gala or be afforded the benefits and privileges afforded to those who operate founders notes.
It also explains that game specific nodes will only have governance over their own games with a few exceptions. The last point is not entirely clear, but my interpretation is the founders nodes will get a cut of the gala that game specific nodes pay for their node licenses. I should note that gala games specifies that everything here is subject to change, and that quote, there will also be very substantial updates to the node plan and ecosystem in the near future. Additional milestones for gala games can be found in the interviews with the founders and the most important one is probably the release of mirandas, which is expected to happen at the end of next year. Gala games also seems to have some plans related to its partnerships with polygon and flair network.
The polygon partnership will see the creation of a new blockchain game and gala games will also leverage ethereum’s leading layer 2 to save on gas fees, though it’s not clear how or when the flair network partnership is especially interesting, because flair network is essentially the smart contract. Sidechain for xrp gala games has been providing semi-frequent updates about its partnership with flair and the latest. One notes that it will be possible to mint gala on flair and flair will add support for the gala token when it completes its ethereum bridge. Now you can learn more about flair network using the link up there in the top right. When it comes to the concerns i have about gala games.
Almost all of them relate to communication and transparency. For starters, gala games doesn’t really have any documentation. Most of the important information about the project is only found on its support page and said. Support page, isn’t all that easy to find gala games. Support page is also not very user friendly, not very detailed and where it is detailed.
It’S detailed to the point that it’s hard to understand, specifically when it comes to node reward calculations. I also find it a bit frustrating that garlic games doesn’t have a forum. I know that it uses discord as its go to discussion platform, but having something that lets you comb through concrete ideas and project proposals would go a long way in helping to understand what the project is up to. As i mentioned earlier, there’s also no white paper or road map and though i sort of understand the rationale behind not having either of these, i also think it makes it really hard to assess the project’s potential now. A convenient consequence of this, however, is that it keeps opportunistic investors at bay and increases the likelihood that the people holding gala are in it for the games and not just the gains.
On that note, it’s really not clear to me what the founders nodes currently do. The requirements to host gala node software are surprisingly low, certainly too low to host any high-powered gaming infrastructure. I also find it a bit unsettling that the software used to run founders nodes is owned and operated by the company behind gala games. This wouldn’t be a problem. Were it not for the fact that quote, gala may suspend or terminate the user’s access and use of platform services immediately and without notice, if, for any other reason, that gala determines at gala’s sole discretion, the user is in breach of any of the above conditions.
To the license put differently, gala games can revoke your right to run a node if you violate the terms and conditions of the license contract, at least that’s what this legal speak suggests to me, this ties into something that co-founder mike McCarthy said during the gala games Group interview in march and that’s that they can detect players that are botting in their games and ban them now. This is especially concerning, but it does raise the question of content moderation in a decentralized setting, something which deserves its own video. This fits into a much wider discussion about decentralized governance in general, and you can learn all about that by using the link in the top right. So, in closing, i’d like to say that the thing that sticks out to me most about gala games is its ecosystem approach and the unparalleled experience of its founders. If it can adequately address its setbacks, while leveraging its greatest strengths, gala games could easily become one of the top crypto projects in the blockchain gaming niche.
That’S all i’ve got to say about gala games for today remember to smash that, like button before you head on your way and be sure to subscribe to the channel and ping that notification bell. If you want to stay if you’re already up to date with all the videos here coin bureau clips is where you can go to get some extra cheer. You can also follow me on twitter, tik, tok and instagram for behind the scenes, amas and giveaways, and join my free telegram channel for daily crypto updates. My weekly newsletter comes packed with unparalleled knowledge which will help take your portfolio interstellar and the coin bureau. Merch store is packed with stylish crypto, teas, beanies and sweaters.
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