Introducing Kaby Gaming Token $KGT to Kaby Arena
During Kaby Arena Open Beta, we conducted an experiment in the background about our current reward mechanism. We concluded that a new gaming token $KGT is necessary for the mutual benefits of both players and investors and the sustainability and stability of Kaby Arena game economy in the long run.
Why $KGT is necessary
During the Open Beta, we conducted an experiment on the effect of our reward mechanism where we assume two scenarios: players will receive $KABY as the reward OR players will receive a Gaming Token as the reward. The result is then extrapolated to a 6-month period and we reach the conclusion that the later scenario with a Gaming Token is more beneficial for both the players and the investors.
The one-token mechanism for GameFi in general seems not sufficient to stabilize the interest conflicts and the overall economy. While players pay more attention to the gaming experience and the P2E yield, investors are more focused on investing the potential growth of the value and assets in the project like token or NFTs. If we utilize the same token for rewarding and investing, the conflicts between these two parties will gradually grow until a complete burst, hurting the interest of both.
As a result, we will apply a two-token model for Kaby Arena, with $KABY remaining as the investing token and $KGT (Kaby Gaming Token) being our gaming token, responsible for all in-game activities. With this model, combining with the treasure box mechanism we have introduced in the previous post, we expect stability and sustainability of Kaby Arena economy as shown in the result of our experiment.
$KGT is expected to launch at the same time with the official game on November, 15th, 2021 and will immediately be utilized in-game.
The use case of $KGT and $KABY
$KGT for all in-game activities
$KGT will take over the role of $KABY as a gaming token. $KGT will have the following use cases:
- Reward Token: all token reward will be in the form of $KGT, which include but not limited to PvP top rank reward and tournament rewards.
- In-game currency: $KGT will be the main currency in-game, it can be used to buy items from our stores, trade on Peer-to-peer market, buy ticket for participating tournaments, etc.
The role of $KABY
- Investing Token: $KABY will be shielded from the selling pressure and is the token for investors who believe in the growth potential of Kaby Arena.
- NFT related transactions: $KABY will continue its role as the currency for purchasing NFT from our Marketplace. NFT heroes’ stars upgrading and Hero fusion will also require $KABY.
*Note: Stars upgrading can also be done through in-game collection of Star Shards. Upgrading with $KABY will save the time and effort for the investors. - Governance Token: holder of $KABY can make bigger impact on the game via voting of important game decisions.
- Revenue sharing: Marketplace fee will be adjusted to 5% after the official game release and this revenue will be partly shared to Kaby Holders.
Tokenomics of $KGT
As mentioned above, $KGT will be our main in-game token. The token is BEP-20 and run on BSC Network.
We will hold a $KABY staking campaign for holders to receive $KGT prior to the launch date. Details will be announce soon!
Launch important information
- TGE (When & Where): November 15th,, 2021 on Pancakeswap
- Listing Price: TBD *
- $KABY Staking program to receive $KGT date: TBD
- Token Symbol: KGT (Kaby Gaming Token)
*Note: $KGT is valued at 10 KGT = 1 KABY, the listing price in USD will be determined at listing time.
Supply of $KGT
The supply $KGT is uncapped and based on demand. New KGT tokens will only be minted and added to the circulating supply when rewarding players for their rank on the leaderboard or their achievement in our Tournaments.
We will decrease the supply of $KGT by periodically burning of all $KGT revenue (i.e. purchase on our store, revenue from tournament tickets, etc.)
Our updated Game Economy and why $KGT will be sustainable
A major concern for a gaming token is its liquidity. For many other games, their gaming token will free-fall when the player base stop growing. There are often very few use cases for those tokens while it still being rewarded to players on daily basis. As a consequence, when the player base stop growing, there is a sudden decrease of demand resulting in the free-fall.
Beside relying on the burning mechanism, Kaby Arena game economy overcome this by a well-structured P2E model and the utilization of the Peer-to-peer Market.
In this P2E model, the Top Rank players (PvP Leaderboard) will receive $KGT token directly as the reward for the performance in PvP mode or in Tournaments. However, to remaining on top, they will have to spend consumables to upgrade their team continuously.
The casual players, through their effort in PvE and PvP mode will receive the Treasure Boxes which contain the consumables. They can choose to sell these assets through our Peer-to-peer Market for $KGT from Top Rank players.
Details about our first Treasure Box: Winter 2021 Treasure can be found here
Together with the burning mechanism above, this P2E model will create a closed loop , generate a constant high demand for $KGT, making it sustainable and bringing stability to our Economy.
About Kaby Arena
Kaby Arena is a Free-to-Play turn-based NFT game where everyone can start playing without the need for an investment. Kaby Arena employs the Play-to-Earn model to reward players with tokens and equipment through dynamic gameplay and participation in PvP tournaments.
This seamless combination of the F2P and P2E models gives players of Kaby Arena the opportunity to play and profit at the same time.
Kaby Arena is developed by Ziga Studio, an established game studio since 2014. Kaby Arena will be the first blockchain project released by Ziga, expected to join a list of 8 existing games which totalled to nearly 1 million Monthly Active Users from Ziga’s player base.
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