If web3 gaming were a game, it would be somewhere around level five right now, having effortlessly dispensed with all the low-grade baddies, breezed past the first few bosses, and had ample opportunity to flex its muscles. Now it’s desperate to seek tougher challenges, and in demonstrating that there’s life after P2E, it’s found the ultimate quest. If it can pass this test, it can surely handle anything that comes its way.
The first wave of Play-to-Earn (P2E) games, lest we forget, centered around economic incentives, attracting players primarily through financial rewards rather than engaging gameplay. The downside to this approach, which was all too predictable, is that many early projects struggled with hyperinflationary token economies and player retention issues, prompting a shift toward fun-first experiences that incorporate blockchain rewards as a secondary incentive.
Keeping Players Coming Back for More
It’s fair to say that many of the players who entered the first wave of web3 games were doing so not for entertainment but to maximize earnings. Mercenaries. There’s nothing wrong with being a mercenary, except when everyone’s a hired gun, it’s hard to tell who you’re fighting. Which is to say that when the P2E model led to unsustainable economies in which in-game assets became overinflated, “players” left en masse. These early P2E projects were driven by the lure of easy money; players would participate in repetitive tasks and grind for crypto rewards.
Unlike traditional games, which prioritize storytelling and user engagement, early P2E titles often lacked depth, leading to repetitive experiences that felt more like work than play. (Does that sound familiar, Axie OGs?) Recognizing these shortcomings, web3 developers have understandably switched to an approach that balances enjoyment with economic incentives rather than relying solely on tokenized rewards. The result is what some are calling Play-and-Own, a framework where fun comes first and financial incentives enhance rather than define the player experience.
Having Your Cake and Eating It
There are a number of web3 studios that exemplify this shift towards more sustainable player economies – like Mythical Games. Rather than focusing on high-yield earnings, Mythical designs games where players truly own their in-game assets but are not pressured to monetize them. A prime example of this model is NFL Rivals, the football game in which players collect and trade digital assets. Unlike traditional P2E titles, NFL Rivals doesn’t require crypto knowledge or upfront investment, allowing it to attract a much broader audience of mainstream gamers.
Players engage in skill-based, competitive football action that mirrors successful traditional sports games. While assets like player cards and teams exist as NFTs, they enhance gameplay rather than serving as mere financial instruments. The marketplace economy is designed to reward engagement rather than speculative trading, with blockchain elements that enhance rather than dictate the gaming experience. It’s now poised to replicate this with sophomore release FIFA Rivals.
While Mythical Games has set the benchmark for play-and-own experiences, other companies are also stepping up to the plate. Games For A Living (GFAL) is another prime example, integrating blockchain rewards with traditional gaming structures. Unlike early P2E titles, GFAL games emphasize AAA-quality design and immersive narratives. Their games feature in-game soft currencies alongside tokenized assets, ensuring economic stability and allowing players to engage without needing wallets or token purchases. It’s a smart way to onboard mainstream gamers.
We also have FYX Gaming, which places a strong emphasis on skill-based rewards integrated within esports-style tournaments. Unlike passive Play-to-Earn models, FYX integrates blockchain rewards into tournament-style play, where only skillful players can earn. These varied approaches illustrate that while the end goal remains similar – balancing fun with rewards – the pathways can differ significantly based on the target audience and game design philosophy.
Moving Beyond Extractive Models
One of the biggest problems in early P2E games was their extractive nature, where players primarily sought financial returns rather than long-term engagement. Astute web3 developers are now implementing sustainable gaming ecosystems that focus on long-term player retention. By making games fun and rewarding, these developers ensure users stay engaged beyond economic incentives.
Then there’s the prospect of community-driven economies, allowing user-generated content (UGC) and DAO governance structures ensures that games evolve organically rather than relying on external speculators. Balanced reward systems, meanwhile, support tiered incentives where players earn more through engagement rather than passive staking, creating healthier ecosystems.
Where Web3 Gaming Is Headed Next
Play-to-Earn is evolving into a hybrid Play-and-Own model where ownership, rather than financial speculation, becomes the key value proposition. The next wave of web3 games will emphasize gameplay mechanics and storytelling that ensure web3 elements are seamless rather than intrusive. Expect to see more games remove wallet and crypto onboarding barriers, allowing non-crypto players to engage easily.
Developers will also use AI to balance in-game economies dynamically, preventing asset hyperinflation.
These trends suggest that web3 gaming in 2025 will look far more like traditional gaming, with blockchain as a backend enabler rather than the main attraction. Novel genres will emerge, weaving decentralized ownership into puzzle games, RPGs, and large-scale MMOs.
Companies like Mythical Games, Games For A Living, and FYX Gaming are proving that blockchain-based gaming must prioritize player engagement first, with economic incentives as a secondary benefit. As 2025 unfolds, successful web3 games will not be those that offer the highest earning potential but rather those that deliver the most entertaining experiences. The journey ahead is one where fun and rewards coexist harmoniously, ensuring that the next chapter of gaming is as engaging as it is rewarding.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
