Dear friends and family of Anichess,
As we approach the end of 2023, I wanted to take a moment to reflect on the state of the market, celebrate what we have achieved together at Anichess, and offer a glimpse into what to expect going into next year.
It is almost crazy to think that we were navigating a bear market just weeks ago. In a swift turn of events, we are now witnessing Bitcoin surpass USD40,000 for the first time since April 2022, NFT sales surging above USD1.5 billion in the past 30 days, and blockchain games dominating timelines on Crypto X (mine included).
In the midst of the recent euphoria and hype particularly around gaming following a series of successful token launches, it is essential to look beyond the noise and focus on the macro trends that suggest why gaming is on the cusp of an exciting year in 2024 and why it remains one of the most compelling cases for the mass adoption of Web3:
- Over a third of the global population, representing 3.2 billion people, play games regularly and already have an emotional connection to their in-game assets
- Gaming is expected to be a USD347 billion industry in 2024 and is already larger than the music and film industries combined. Blockchain games are projected to account for USD70 billion of this market
- Gaming giants such as Ubisoft, Square Enix, and Zynga are entering Web3, suggesting rising institutional adoption and recognition of the value of blockchain in gaming
- Perceptions of blockchain gaming are also maturing. More than 75% identify digital asset ownership as the top benefit, while play-to-earn benefit has receded in favor of interoperability and transparency compared to last year
- A new wave of games that were funded in the last few years and building through the bear market are set to debut as early as Q1 2024
The pace of industry development despite the challenges of crypto winter is impressive. The days when “play-to-earn” or “blockchain” sufficed as unique selling points didn’t seem that long ago. Yet, here we are anticipating the next generation of games that are moving towards a future where this valuable technology isn’t the product itself but an enabler of a much better gaming experience via the ownership paradigm.
My point isn’t that we have everything solved given how early we are in the innovation adoption curve. In fact, there are still many challenges such as misconceptions about blockchain/NFTs, friction in the onboarding process, and regulatory headwinds (though less so in Asia and the Middle East) that we must address. But with every challenge comes new opportunities, and there is no doubt that the decentralized and permissionless nature of Web3 promises a growth trajectory unmatched by any other industry. As a byproduct of this exponential growth, projects will be forced to recalibrate and adapt much more rigorously than their traditional gaming peers. While many games will become victims of this process, those that make it will lead the industry one step closer to the day when people no longer differentiate between Web2 and Web3 games.
Anichess aims to be one of those long-lasting games. Chess, with a rich heritage of over 1,500 years, has not only stood the test of time but also captured millions of fans across generations. Moreover, it resonates with the core tenets of Web3 — fairness, transparency, and accessibility. In our quest to develop a sustainable brand, it became apparent that there was no better way to do so than to align ourselves with one of history’s most enduring games. Our ambition, however, extends far beyond simply reproducing a blockchain version of the classic game. We aspire to pioneer a new and distinctive genre that combines the strategic depth of classic chess with elements of modern gaming mechanics. Hence, chess with a drop of magic.
Since our inception in June 2023, Anichess has made considerable progress including the release of our first digital collection, launch of the spell chess puzzle early access single player experience, and onboarding of professional players including five-time world champion Magnus Carlsen. Let’s recap some of the key milestones we achieved together:
A recent highlight was our spell chess puzzle early access experience in November, where an overwhelming 92% of participants awarded the gameplay a rating of 9 or higher out of 10 and 88% cited the unique spell chess mechanic as their top reason for engagement — outweighing even the allure of earning rewards. Thanks to our passionate community, we also obtained valuable feedback that helped inform the upcoming full launch of the spell chess puzzle game.
Moving into 2024, we will continue to develop the three pillars of our ecosystem — the game, the lore, and the community. The full launch of the spell chess puzzle experience in January marks the beginning of many exciting initiatives to come. Players can look forward to daily challenges, missions, and new spells to engage in. As many of you are aware by now, achievements in the spell chess puzzle will carry forward to subsequent phases of our roadmap. Second, we will harness insights from the spell chess puzzle to craft an immersive main game designed to allow player-versus-player (PvP) and community tournaments. Third, [REDACTED] will signal a defining moment and officially set the Anichess ecosystem in motion. These are just some examples of what’s on the horizon, so please stay tuned for more updates as we progress throughout the year.
In closing, I want to express my deepest gratitude to our community, partners, and investors who have placed their trust in our vision and contributed to our journey. A special acknowledgement to the dedicated members of our project team, who have been working tirelessly both behind the scenes and on the front line to bring our vision to life. I believe the resilience and groundwork established during the bear market will set the stage for a transformative and thrilling year ahead for Anichess.
Happy new year!
Best,
Brian
Anichess Lead
