Preliminary Analysis of Monsta Infinite Economic Model

Original title: "A Preliminary Analysis of the Monsta Infinite Economic Model"

Original author: Uncle No. 7 Chain District Road

Recent BSC public The newcomer of GameFi on the chain - Monsta Infinite announced the MONI-STT exchange mechanism model of the game. Combined with the previously announced game model, this article will specifically explore the construction of the game's economic model and the operation of the economic system cycle.

Common nouns for games

Before introducing the economic system of Unlimited Cute Beasts, in order to facilitate your reading, here are the game economic terms:

Monsta Infinite: The game introduced in this article

Monsta NFT: pet asset in the game

Monsta Chain: side chain based on Binance Smart Chain (BSC), the basic chain for game interaction

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MONI: Game governance token

STT: Game currency

MONI-STT Liquidity Pool

MONI -The STT liquidity pool not only provides users with convenient interactive access in the game, but also enables participants to gain benefits in the long run. At the same time, the game currency STT functions as a value measure and means of circulation in the economic system. Before we start delving into the economic model of this game, let’s take a look at the MONI-STT liquidity pool.

Let’s take a look at the official liquidity pool cycle diagram :

We can see that Moe Beast has unlimited MONI-STT mobility The pool is on the Monsta Chain, and the interaction mechanism of the entire MONI-STT is roughly as follows:

1. Players purchase MONI on the BSC chain ;

2. Transfer MONI to Monsta Chain through the cross-chain bridge;

3. Players exchange MONI for STT;

4. STT is used as the game currency to purchase Monsta NFT and pet cloning and strengthening;

5. The STT received by the game is used to repurchase MONI;

6. The repurchased MONI is put into the pledge wallet;

7. Pledge will be open in September 2022 (the game has entered a stable development period);

8. Players will pledge their own MONI (reducing the circulation of MONI in the market) To get the MONI dividend in the pledge wallet.

This cyclic interaction mechanism of MONI-STT ensures long-term The holder's income growth and user base expansion will promote MONI to have a higher valuation.

Inner circulation of the game economic system

Currently there are no limitless cute animals The main announced economic activities include: combat, cloning and enhancement.

Each battle requires players to lead a team consisting of 3 Monsta NFT Form a pet team, and after winning, you will get STT, Jilaka core (used to strengthen pets), etc. as rewards. At the same time, the game has a Dozo ranking mechanism, and MONI rewards are given to the top players on each ranking board every season. Players use cloning and strengthening to grow their team and improve their strength, so as to get more rewards.

As shown in the figure above, the game ecosystem has two closed loops Four forms of interaction involve players, Monsta (NFT) and core tokens (MONI and STT). These two cycles respectively reflect the value creation and value consumption dimensions of the game.

Counterclockwise red outer loop: reflect The ability of this game to create value.

1. Players need to exchange actual funds for tokens to purchase Monsta when entering the ecosystem;

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2. The clone and enhancement of Monsta need to consume STT;

3. STT is used to repurchase MONI in the market and put it into Pledge pool;

4. Players will purchase and win MONI pledges to obtain income.

Clockwise blue inner loop: Embodies the ability to create consumption.

1. Players purchase MONI for community governance (in this process, most players’ MONI needs to be traded platform purchases);

2. Exchange STT for NFT purchases, clones and enhancements;

3. Participate in battles to win Get MONI and STT token rewards;

4. Sell NFT to get tokens to generate income.

In the entire dual cycle economic system, funds are exchanged by users To enter the system by buying NTF to play the game, and to leave the system by selling NFT and selling the tokens held.

In order to make the dual cycle economic system run more scientifically and well, In addition, the inflation control mechanism and the low system loss mechanism are added to reduce the systemic risk of the economy and make appropriate corrections to the economic system.

Inflation Control Mechanism

In this economic ecology, the number of ordinary Monstas is unlimited, but the number of clones of each Monsta is limited, and the STT consumed will continue to increase. In addition, it is necessary to strengthen the Monsta Consume other Monstas. This will control the amount of Monsta, thus keeping prices stable.

Low system loss mechanism< br>

The running interaction of the game is based on the Monsta Chain. When the funds flow into the Monsta Chain, all interactions are 0 fee. This prevents the incoming funds from causing system loss in circulation and ensures the effective use of funds.

Business cycle

Monsta Infinite's internal economic cycle basically coincides with Merrill Lynch's investment clock, and is divided into 4 stages:

Phase 1 -> Phase 2

The game has just been launched, and there are few participants in the internal economic system. Early participants purchase MONI and threshold assets ( Monsta NFT) started the game, and the price of NFT remained low. But there was an initial uptick in NFT prices as early players started competing with each other and started buying more STTs and NFTs for cloning and enhancements.

Phase 2 -> Phase 3

The price of NFT has risen and the value of tokens has increased after the opening of MONI pledge. A large number of new players have entered the game, which has fundamentally increased the demand for basic assets. At the same time, players began to cultivate the game deeply, and the demand for STT from expeditions, clones, and enhancements increased rapidly, paving the way for subsequent outbreaks.

Due to the existence of the inflation control mechanism, the time interval of stage 2-> stage 3 will be greatly extended.

Phase 3 -> Phase 4

The game began to enter the mainstream media attention, cute beast Infinite games are portrayed as the future of work, and the bubble trend of NFT assets is getting worse. The cost of joining the game has become prohibitively high, and the rate of new player growth has plummeted. Incredibly large amounts of money are deployed into large-scale pet buying and cloning operations, NFTs are pushed to a temporary high price, and eventually the rising supply of NFTs starts driving prices down.

Stage 4 -> Stage 1

Due to the low return on investment, players who only play games for commercial purposes are gradually withdrawing from the game, bringing STT and NFT prices back to a level where new players who really like Moemon Infinity games can re-enter.

Forecast from the economic cycle chart, from now to the first quarter of 2022 After the official launch of the game, they are all in stage 1. However, due to the extremely high fans and popularity of Meng Beast Unlimited’s own community, combined with the Play to Earn mode, it is expected to enter stage 2 soon; due to inflation control, the market will start to stabilize from the second quarter of 2022. In the transition to phase 3, there is still MONI pledge open during this period, and the prices of all assets will continue to be pushed up. The market will eventually lose its rational pricing, and the asset will reach a new high in stage 3, and then will return to stage 4 again. Phase 4 will reset the valuation of most assets and start making new highs from there. This is also the cyclical pattern of most modern assets.

Summary of key points

1. New users The rate of growth is a key and decisive variable in an economic system

For most game economic models, it is very important to maintain a long-term growth rate of new users, and the consumption demand of new users is also the main driving force of economic growth. Therefore, understanding how changes in the price of each asset affect participants will help optimize economic models. In addition to the basic "Play to Earn" model and low participation threshold, Moe Beast Unlimited will also introduce pledges and land development to continuously attract new users and drive the consumer market. Judging from the current model, the game's user growth trend is sustainable.

2. Compared with the Axie economic model, it is more Scientific and more sustainable

Cute pets are called infinite For the "upgraded version of Axie", in addition to adding richer mechanisms to the game mechanics, the economic model has also been optimized. In-game economic activities will use the game currency STT, and increase the consumption of Monsta NFT. Compared with Axie, Meng Pet Unlimited is better at decoupling NFT assets from the addition of new players. At the same time, it reasonably controls prices through game currency regulation, which enhances the long-term volatility resistance of NFT asset prices and slows down asset bubbles.

3. Players should choose the right one according to the economic cycle Participation time

For stable players, in It will be the best choice to enter the game in phase 1 and phase 4, when the price of NFT assets is at a low level or has shrunk sharply. For aggressive players, accumulating NFT assets in the early stage of stage 1 to stage 2 will get more strategic options.

This article is from a contribution and does not represent the opinion of Rhythm BlockBeats 

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