Detailed Plan
NFT games present a new way by which players can earn value out of time and resource investment into a game. The usage of game tokens allows for a game to have its own system of value that is rewarding to existing players, affordable to new players and valuable to the community of game players.
Two-token systems can also be used to provide players with value, driven by their involvement in the game and a say in the governance of the game. These tokens can also be exchanged bi-directionally for in-game assets and governance say can be distributed according to value involvement in the game. This bi-directional exchange allows for a true play-to-earn model that is community oriented and creates an ecosystem of value where the community owns the value. The token should also be engineered to allow for a value withdrawal method. This means that value generated in-game can be withdrawn as real rewards. However this needs to be carefully designed to ensure that malicious players cannot exploit this mechanism to deprive the greater community of value.
These tokens should also be engineered to prioritize rewards for active involvement within the game's ecosystem. However, there should also be opportunity for passive value generation given historic activity to allow for long-term value investment. All of these threads should be captured within a framework that also provides some consideration for the free-market decisions made by players.
Within the academic fields of game theory, operations research and economics design, tools do exist by which this can be modelled. We therefore propose the creation of a framework for token design that pulls in tools from these fields and creates a baseline for token engineering within the NFT gaming ecosystem. The creation of a such a framework would provide game creators with valuable insight into:
- How does the token scale within the game?
- How can this token provide long-term sustainable value to players?
- How is this token affected by different scenarios and free market decisions?
The mathematical nature of the framework would also open the door for more technical tools such as sensitivity analysis, what-if analysis and Monte Carlo simulation.
Additionally, we recognize that this framework would be beneficial to the entire community more-so than within the confines of a closed profit-driven company. We therefore intend to make the findings and framework available to the community upon funding.
We also recognize that there are others within this ecosystem that could make valuable contributions so our goal is to establish the seed framework to which community experts could contribute and drive subsequent research.
Measurables (Auditability)
The deliverables for this research will be threefold:
1. Literature Review preliminary findings published on (Github & Revelar website)
2. Results in the form of a simulated use case upon model completion (Github)
3. Freely available paper detailing the research and the created model (Github & Revelar website)
Our goal is to make the base model freely available to NFT game creators to use as a basis for their own tokens. Game creators can choose to make a closed-source token on top of this base model, or expand upon the base model and make the expanded version freely available. <u>As such</u> <u>the research will be licensed under the MIT License.</u>
Timeline (Audibility)
120 Hours: Literature and state-of-the-art review. (Completion -> Deliverable 1)
160 Hours : Development of the math modelling framework
80 Hours : Creation of a long-run simulation mechanism
40 Hours : Testing of the model and simulation framework using a use-case (Completion -> Deliverable 2)
80 Hours : Compiling the complete model and results into a document for open-source publication (Completion -> Deliverable 3)
The completion of activities 2, 3 and 4 before realization of Deliverable 2 is to ensure that the findings presented in Deliverable 2 are true representations of the final framework. Structuring the deliverable in this manner allows for the research team to revise the model and simulation framework based on the findings of the use case.
Additionally, upon completion of each stage, a community update will be given (via a platform still to be determined). This will provide auditability in terms of the progression of the research. Where possible, redacted findings may also be presented.
Post funding timeline:
5-9 Weeks (Mid/Late Feb) : Literature and state-of-the-art review.
6-12 Weeks : Development of the math modelling framework (End of Q1- 2022)
3-6 Weeks : Creation of a long-run simulation mechanism
2-3 Weeks : Testing of the model and simulation framework using a use-case (Completion -> Deliverable 2)
3-6 Weeks : Compiling the complete model and results into a document for open-source publication (Completion -> Deliverable 3)
The week estimates are derived by taking risk seeking (25% shorter) and risk averse (50% longer) estimates given 20 hours allocated per week. Research is difficult to predict accurately hence some contingency for being under and over the initial allocated time is factored into the planning.
Costs & Use of Funds (Auditability)
The requested funding amount for $12000.00 will be allocated as follows.
$3000.00 : Literature Review
$4000.00 : Model development
$2000.00 : Simulation framework development
$1000.00 : Use case testing and analytics
$2000.00 : Compilation of final publication
The allocation of funding is derived by choosing an hourly rate of $25.00. The remainder of funding will be made up by Duo and Revelar.
<https://www.getduo.gg>
<https://www.revelar.co>
Proposers: Jason Toevs
- LinkedIn: <https://www.linkedin.com/in/jason-toevs/>
- Twitter: @JasonToevs
- Discord: ₳ussieGingersnap | DUO#1037
Benjamin Beer
- LinkedIn: <https://www.linkedin.com/in/benjamin-beer>
- Twitter: @bigbenbeer
- Discord: KarooSeun | DUO#2202
