<p>Blockchain technology is becoming an agent of change in the ever-evolving realm of digital entertainment, redefining the way games are owned, played, and how they earn money. Two unique paradigms - fully on-chain games and Web3 games - have emerged within this domain. Albeit they both make use of blockchain-based technology, their architecture, complexity, scalability, and development methodology differ significantly. In this article, we are going to examine the subtle differences between these two groups, including their unique qualities and benefits, and offer examples.</p><p>&nbsp;</p><h2><strong>Fully On-chain Games: Harnessing the Integrity of Blockchain Integration</strong></h2><p><br>Astute observers of the industry would have first heard of fully on-chain games in connection with the ground-breaking, space-conquest RTS <a href="https://twitter.com/darkforest_eth">Dark Forest</a>, which was first revealed in 2020. Since then, fully on-chain games have gathered significant directional momentum.</p><div class="raw-html-embed">
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</div><p>Fully on-chain games are the pinnacle of blockchain integration as they operate completely within the decentralized environment of a blockchain network. These games use smart contracts to encapsulate all game logic, assets, and interactions, promoting a transparent, immutable ecosystem of “true ownership.” Despite their infancy and inherent limitations, fully on-chain games demonstrate the potential of blockchain technology to reshape the gaming scene.</p><h3><strong>Two main characteristics that defines FOCGs:</strong></h3><p>1. Fully On-chain Game State and Logic&nbsp;&nbsp;<br>&nbsp; &nbsp; &nbsp;a. By implementing game state and logic on-chain, where actions have a real economic stake, players will attach greater significance to their on-chain game actions, feel deeper degrees of immersion, and have greater involvement in the game. Growth of this immersion will be possible without platform risk because of on-chain games' resistance to censorship. Running on a public blockchain also ensures that the game will persist indefinitely.</p><p><br>2. Permissionless Composability&nbsp;&nbsp;&nbsp;<br>&nbsp; &nbsp; &nbsp;a. In order to achieve a ground-up vision of an interoperable “metaverse,” on-chain games allow users to influence the canonical game experience, encourage modders to mod, and better match incentives between modders and game makers by permitting anyone (due to its permissionless nature) to extend or edit the game.</p><figure class="image"><img src="https://assets.funjible.games/blockchain_7856215_640_f17b01105a.jpg" alt="blockchain-7856215_640.jpg" srcset="https://assets.funjible.games/thumbnail_blockchain_7856215_640_f17b01105a.jpg 234w,https://assets.funjible.games/small_blockchain_7856215_640_f17b01105a.jpg 500w," sizes="100vw"></figure><p>However, on-chain games do have a flaw - every action requires a transaction. That means, whenever you make a move in the on-chain game, a pop-up will appear in your wallet and you have to sign it in order to <i>successfully</i> make that move.</p><p>Fortunately, this shortcoming of theirs can become a significant feature of on-chain games. Since transactions inevitably cost money, any transactional acts in the game should be strategically planned. This implies that you should make an effort to incorporate as much of the player's thought process as you can into a single transaction.</p><p>As such, we hypothesize that in light of the interaction associated with these characteristics, players of on-chain games will have a more intimate and immersive connection to the game and its assets.</p><figure class="image"><img src="https://assets.funjible.games/pirate_nation_ship_shark_8518a948d4.jpg" alt="pirate-nation-ship-shark.jpg" srcset="https://assets.funjible.games/thumbnail_pirate_nation_ship_shark_8518a948d4.jpg 245w,https://assets.funjible.games/small_pirate_nation_ship_shark_8518a948d4.jpg 500w,https://assets.funjible.games/medium_pirate_nation_ship_shark_8518a948d4.jpg 750w," sizes="100vw"></figure><h3><strong>Examples of Fully On-chain Games</strong></h3><p>While on-chain games are, at the moment, rather new, there are some that went live recently which shook the Web3 gaming stage by storm. They are:</p><p><a href="https://twitter.com/PirateNation">Pirate Nation</a> by <a href="https://twitter.com/ProofOfPlay">Proof of Play</a>&nbsp;&nbsp;<br>Loot Survivor by <a href="https://twitter.com/LootRealms">Loot Realms</a>&nbsp;&nbsp;<br><a href="https://twitter.com/primodiumgame">Primodium</a></p><p>Each of these games possess either a milestone or a quality that makes them one of the role models in the fully on-chain gaming sector.</p><p>With Pirate Nation, a pirate-themed turn-based game, the studio <a href="https://twitter.com/ProofOfPlay/status/1704876956762956188">secured $35 million in funding</a> during the bear market last year. That sum isn’t small given the market’s condition. Yet, they achieved it and went on to become one of the most successful fully on-chain games to onboard both fully on-chain and Web3 gamers.</p><p>Next up is Loot Survivor, a text-based survival game. They are one of the <a href="https://twitter.com/LootRealms/status/1722749795528499685">first FOCGs to go live permanently</a> on the <a href="https://twitter.com/Starknet">Starknet</a> chain. They are also the only FOCG to release a native token: <a href="https://coinmarketcap.com/currencies/lords/">$LORDS</a>. Additionally, a <a href="https://twitter.com/cryptsncaverns/status/1734431928269562042">community-run project created a mod</a> (or an extension) for Loot Survivor, further proving that “Permissionless Composability” does exist right now.</p><figure class="image"><img src="https://assets.funjible.games/primodium_base_0f52288877.jpg" alt="primodium-base.jpg" srcset="https://assets.funjible.games/thumbnail_primodium_base_0f52288877.jpg 238w,https://assets.funjible.games/small_primodium_base_0f52288877.jpg 500w,https://assets.funjible.games/medium_primodium_base_0f52288877.jpg 750w," sizes="100vw"></figure><p>Lastly, we examine Primodium. A Factorio clone but fully on-chain, Primodium has been capturing the eyes of &nbsp;gamers ever since its launch on the testnet. While they have yet to go live on a mainnet, the DAU of players have been constantly increasing, suggesting that on-chain games aren’t as dead as the people thought (given its infancy).</p><p>And if you were to take a closer look at each of them, they have one similarity: every action is recorded on a public blockchain and is viewable to all; take Primodium as an example.</p><h2><br><strong>Web3 Games: When Monetization Meets Traditional Gaming</strong></h2><p><br>Comprehending Web3 gaming necessitates acknowledging its capacity to transform the gaming industry. A Web3 game platform is more than just incorporating blockchain into gaming; it is about building an ecosystem in which players have true ownership of in-game assets and the gaming experience is more engaging, immersive, and player-driven.</p><p>Web3 games, while embracing blockchain technology, provide a hybrid strategy that combines on-chain and off-chain aspects to provide immersive gaming experiences. These games use blockchain for asset ownership, transactions, and interoperability, but still rely on standard web infrastructure for game logic, graphics rendering, and networking. If a comparison were to be made, Web3 games are more mature than (fully) on-chain games when it comes to how long they have been in the blockchain gaming scene.</p><div class="raw-html-embed">
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</div><h3><strong>Two main characteristics that defines Web3 gaming:</strong></h3><p>1. Ownership and Monetization of In-Game Assets (NFTs, etc.)&nbsp;&nbsp;<br>&nbsp; &nbsp; &nbsp;a. In traditional gaming, ownership is primarily a symbolic term. Web3 technologies allow for true ownership of in-game assets, which redefines player engagement. Because of this feature, players can buy, sell, trade, or gather these assets without worrying about game developers or other parties getting in the way. This increased flexibility is about empowering and establishing a personal stake in the gaming community, not just about possession.</p><p>2. New Revenue Streams&nbsp;&nbsp;<br>&nbsp; &nbsp; &nbsp;a. More interoperability between games and apps is made possible by Web3 technology, which may open up new avenues for gameplay and profit. Developers may make use of the cross-game economy to generate new revenue streams, and players can utilize their in-game assets in other games or services.</p><p>Web3 gaming has come a long way. The most prominent Web3 game to date is <a href="https://funjible.games/games/Axie-Infinity-Origins">Axie Infinity</a>, which underwent a parabolic run during the previous bull cycle back in 2021.</p><figure class="image"><img src="https://assets.funjible.games/Axie_Infinity_8a5f9cf0ed.jpg" alt="Axie Infinity.jpg" srcset="https://assets.funjible.games/thumbnail_Axie_Infinity_8a5f9cf0ed.jpg 245w,https://assets.funjible.games/small_Axie_Infinity_8a5f9cf0ed.jpg 500w,https://assets.funjible.games/medium_Axie_Infinity_8a5f9cf0ed.jpg 750w,https://assets.funjible.games/large_Axie_Infinity_8a5f9cf0ed.jpg 1000w," sizes="100vw"></figure><p>Within Web3 gaming, there are several metashifts:</p><p>First, there was Play-to-Earn.&nbsp;&nbsp;<br>Then, it was Play-to-Own.&nbsp;&nbsp;<br>Next, Play-and-Earn.&nbsp;&nbsp;<br>Now, Play-to-Airdrop.</p><p>And if you were to examine closely, all four trends have a commonality - incentivization. Or, in other words, monetization.</p><p>Earning money from games was all the buzz in 2021, as explained by the trend of Play-to-Earn. You had gamers applying to be <i>scholars</i> where NFT assets were being rented out to them by the asset owners. This was a <a href="https://twitter.com/OwlOfMoistness/status/1415320304411365380">genuine means of earning a passive income</a> to some, if not the majority, of the Web3 gamers then.</p><p><i>(Scholars are gamers who couldn’t afford an NFT to play the game, so they approach owners to rent them the necessary NFTs to generate income from them. Some NFTs cost more than $1,000 USD to play the game.)</i></p><p>The reason why this got many intrigued and interested was because gamers are limited to using their in-game earnings, such as experience points or in-game money, in a single game due to the centralization of most gaming platforms in the traditional gaming industry (Web2).</p><p>Contrarily, the decentralized paradigm of blockchain games allows players to own their data files and utilize them in other blockchain games (interoperability).</p><p>When a player wants to stop playing a blockchain game, they have several options: they can transfer their winnings, if they have amassed experience points and weapons in one game; sell or trade their winnings; or even take their winnings out of the game and deposit them into their wallet or bank account.</p><div class="raw-html-embed">
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</div><h3><strong>Examples of Web3 Games</strong></h3><p><br>There are tons of Web3 games in the space right now and adding every single one of them would be a chore. That said, here are the popular ones back then and now:</p><p><strong>Back then</strong></p><ul style="list-style-type:disc;"><li>Axie Infinity</li><li><a href="https://funjible.games/games/The-Sandbox">The Sandbox</a></li></ul><p><strong>Now</strong></p><ul style="list-style-type:disc;"><li><a href="https://funjible.games/games/Pixels">Pixels</a></li><li><a href="https://funjible.games/games/Shrapnel">SHRAPNEL</a></li></ul><p>Axie Infinity had the most scholars for the longest period of time. One factor that made it stand out was their decentralized economy. <a href="https://coinmarketcap.com/currencies/axie-infinity/">AXS</a> and <a href="https://coinmarketcap.com/currencies/smooth-love-potion/">SLP</a> are two examples of in-game tokens that players can obtain via engaging in governance, finishing quests, and emerging victorious in fights. As a tangible reward for their efforts, gamers can trade these tokens on cryptocurrency exchanges, giving them real-world worth.</p><div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/emkEhakrv9c?si=ElFl0SkHObEV59FP" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen=""></iframe></div><p>The Sandbox, a metaverse, had a huge initial hype, <a href="https://decrypt.co/84995/ethereum-nft-metaverse-game-sandbox-raises-93-million">raising $93 million in 2021</a>, and generated more than $144 million in NFT sales. This led to people, including whales, dubbing The Sandbox to be the next big thing. As usual, scholars were flocking to the game in hopes to get their hands on in-game assets to generate some passive income.</p><p>Moving away from Play-to-Earn, we now have Play-to-Airdrop, and Pixels is THE game right now. Users tend to fall after a P2A campaign but <a href="https://twitter.com/whatslukedoing/status/1767981682752446517">Pixels is still going strong</a>. This, adding on the fact that they are building on the <a href="https://twitter.com/Ronin_Network">Ronin </a>chain, serves as a reminder that gameplay will always be the deciding factor of a successful game.</p><p>While SHRAPNEL isn’t a part of the P2A trend, the game itself has garnered plenty of eyes on it. Yes, it does have a native token right now but it isn't doing a marketing push for it. After all, it is planning to double-down on its gameplay rather than the shilling of its token.</p><p>If you’ve been observant, you will notice that Web3 games these days are all about gameplay rather than the incentivization of their games. Yes, P2A is all about incentivizing, but once again, Pixels show why gameplay is utmost in importance.&nbsp;</p><div class="raw-html-embed"><iframe width="560" height="315" src="https://www.youtube.com/embed/KNTVpHT-Xgk?si=s-r_vH_UmEWIhKEb" title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen=""></iframe></div><h2><br><strong>Conclusion</strong></h2><p><br>The differences between Web3 games and fully on-chain games demonstrate the diversity of blockchain gaming and its potential for revolution. Web3 games are a practical strategy that unites blockchain innovation with conventional gaming experiences, whilst fully on-chain games represent the epitome of blockchain integration. Both models will coexist and present distinct opportunities for developers and players alike as the blockchain gaming ecosystem develops. One thing is for sure: the future of gaming is decentralized, transparent, and player-owned, whether one chooses to explore the experimental worlds of fully on-chain games or immerse oneself in the dynamic landscapes of Web3 games.</p>

Axie Infinity Classic

Axies are dangerous animals who enjoy fighting and hunting for wealth! So, grab an Axie collection in an ever-expanding Axie Infinity universe!

The Sandbox

The Sandbox is an open-world metaverse game on Ethereum and Solana. You can create your own world, make a game, or just chat with strangers.

Pixels

Pixels is an open-ended world integrating 50+ NFT collections where players can create their own game worlds and adventure in those by other players.

Shrapnel

Shrapnel is the world's first AAA first-person shooter game that creates true digital ownership powered by Avalanche. 


Exploring the Nuances: Fully On-Chain Games vs. Web3 Games

Axie Infinity Classic

The Sandbox

Pixels

Shrapnel

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