Note: This text is a translation of the official white paper of Legendary Space, combined with industry trend cases. All information should be based on the official sources.
1. About Legendary Space
Legendary Space is a new generation of leisure game platform built on a decentralized Web3 architecture, with Telegram set as the initial entry point for the future platform ecosystem development.
At the same time, Legendary Space has reached a cooperation with Adsgram.ai, the first advertising distribution platform on Telegram, to jointly build a new open game ecosystem platform based on user game traffic and advertising revenue. Legendary Space uses blockchain distributed means to re-value traditional games and advertising revenue, so that they can precisely serve every user who contributes to the ecosystem development, and will work hand in hand with users to redefine the value of the past Web2 Internet into a Web3 model.
The goal of Legendary Space is to build the largest leisure game ecosystem platform in the Telegram and the entire Web3 domain. At the same time, with Web3 technology, users' virtual assets in the game can be truly owned and freely traded, realizing the redistribution of value.
2. Industry Trends
Web3 has always had difficulty connecting with the traditional Web2 login method, causing many inconveniences for users when switching between the two. This not only limits the popularization and promotion of Web3 applications, but also makes many users who are accustomed to the convenient Web2 login method reluctant to use Web3.
Recently, with the opportunity of Telegram's global user base of 1 billion, some innovative attempts are underway. Telegram is starting to integrate the TON ecosystem + crypto wallet payment + mini-program ecosystem, which is expected to break the login barrier between Web3 and Web2.
Traditional users can directly integrate their wallets through their familiar Telegram accounts, and more smoothly access the payment of Web3 applications. This not only greatly reduces the user's usage threshold, but also brings potential huge traffic to Web3 applications, and this transformation also brings new opportunities and challenges to the developers of Web3 applications.
Taking Dogs and Hamster Kombat as typical examples, relying on the Telegram mini-program ecosystem as the traffic entrance, the number of participating users reached 200 million in just a few months. The growth scale of its users has exceeded the number of new users in the entire cryptocurrency field over the past few years. This eye-catching data fully demonstrates the huge potential contained in the integration of traditional Telegram social and Web3.
This is very likely to become one of the key driving factors for the next bull market outbreak. In the current market downturn, the lack of high-quality narratives to attract users into Web3 is the biggest industry challenge, and the integration of Telegram social and Web3 will be one of the biggest dividends of this bull market. It can also be inferred that games are one of the largest traffic entrances in the Telegram ecosystem, and games can attract and build a large user traffic ecosystem.
3. Global Game Market Report
Web3 games are considered the prototype of the metaverse. This year, the blockchain version of "Adventure Island: MapleStory Universe" has raised $100 million, becoming the star Web3 game project of the year. In Web3 games, assets such as characters, equipment, and props are confirmed and circulated through blockchain technology, protecting the rights and asset value of players.
Putting game assets on the chain is the direction and trend of future game development, and it can be said that games are the best medium to connect the existing Web2 and Web3. According to the [Newzoo] Global Games Market Report, in 2023, the global number of game players will reach 3.305 billion. It is expected that by 2026, the global number of game players will reach 3.675 billion.
How much value does the game ecosystem create? According to a report released by VGI, a PC game data research organization, the Steam game platform exceeded $9 billion in accounts receivable in 2023.
According to the latest report by market analysis company Newzoo, the global game industry is expected to reach $187.7 billion in 2024.
According to data analysis by Statista, a German company, the global electronic game market revenue is expected to reach $455.28 billion in 2024, and is expected to reach $666.68 billion by 2029.
4. Game Market Classification and Proportion
In terms of game classification, the current game market is roughly divided into fifteen game types: ACT, AVG, FPS, FTG, MUG, PUZ, RAG, RPG, RTS, SLG, SPG, STG, TAB, ETC, and MMORPG: Massively Multiplayer Online games. To distinguish user groups, they are classified into two major categories: "casual games" and "mid-to-hardcore games".
3.1 Casual Games
Casual games have simple gameplay, low entry barriers, and are easy to get started. Players can participate in their fragmented time, with a wide range of players from 5 to 70 years old, covering a broad user base. They account for 70% of the global game user base.
Casual games include Tetris, Plants vs. Zombies, Travel Frog, Temple Run, Subway Surfers, Snake, Angry Birds, and many others. These games have countless players worldwide and have great influence.
3.2 Mid-to-hardcore games
Mid-to-hardcore games are mainly characterized by high game difficulty and high game immersion, such as role-playing, MOBA, and competitive shooting games, which attract players who have a deep pursuit of games and require relatively high skills, accounting for 30% of the global game user group.
According to the above report, it can be summarized that the game industry has huge growth potential, and for Web3 games, it is a huge opportunity for growth from close to "zero" to 3 billion users and a $600 billion market space.
For current early-stage entrepreneurs, there is a high possibility of seizing this opportunity to create a Web3 unicorn game platform, which can bring tens or even thousands of times the growth return to the relevant participants, and this opportunity should not be missed.
5. Business Profit Model
5.1 Building a Web3 casual game platform
First, casual games have a huge user base. As mentioned earlier, they account for 70% of the global game user group, which means there is a wider audience that can be accessed and participate in the platform, indicating that developing casual games will bring Legendary Space huge user traffic and the potential to generate huge advertising revenue.
Secondly, the fragmented nature of casual games is in line with the lifestyle of modern users. People in their busy lives are more inclined to use their spare time to play a relaxing casual game to relax, with the characteristics of easy to get started and fast spread.
At the same time, the essence of Web3 games lies in the re-distribution of game asset ownership and value, where users are no longer just game players, but become owners of game assets, governance decision-makers, and beneficiaries of game profits.
This model can greatly improve user participation and loyalty, bringing stable user traffic and an active community atmosphere to the casual game platform, and with the support of Telegram's social traffic dissemination, combined with the development path of Telegram mini-program mini-games, the platform can achieve rapid development.
5.2 Game ecosystem advertising revenue
As mentioned above, casual games have a huge user base, accounting for 70% of the global game user group. This indicates that there is a wider audience that can be accessed and participate in the relevant platform, and it also means that engaging in casual game business will be able to bring Legendary Space extremely impressive user traffic, while also having the potential to generate huge advertising revenue.
In mainland China, there are many similar successful examples:
In 2023, the game "Sheep A Sheep" on the Chinese social platform WeChat mini-program can be used as a case study. "Sheep A Sheep" quickly became popular on the WeChat mini-program due to its simple and clear game mechanics and almost zero threshold operation model, attracting more than 30 million users, with a user retention rate of up to 70% the next day!
In the game Sheep A Sheep, players have to watch ads to revive when they fail, and this model of obtaining revival opportunities through ads has brought the game platform considerable advertising revenue, reaching up to 4.68 million RMB per day in advertising income. However, there is no such model on the Telegram platform yet, which will be a huge opportunity for the cooperation between Legendary Space and adsgram.
Legendary Space platform will be the first to incorporate advertising into its profit model, and the revenue generated from advertising will be distributed to users holding Legendary Space platform tokens.
Furthermore, the Legendary Space platform will not only have one game, but will continuously launch a variety of different types of casual games. This means that the platform will be able to attract a wider user base, and players with different preferences will be able to find suitable games within it.
Combined with the token incentive mechanism, compared to traditional casual games, its ability to retain users is stronger, and the actual wealth effect is more than 10 times that of traditional games, and all these benefits will be returned to the holders of the Legendary Space platform tokens.
5.3 Digital asset trading platform
In the future, with the continuous expansion of the Legendary Space platform ecosystem, the demand of players for game asset transactions will become more and more prominent. As users, they all hope to be able to achieve one-stop service through a platform, covering the trading and sale of game props, characters, game currencies, Non-Fungible Tokens, and tokens, as well as related services such as game equipment and Non-Fungible Token lending and leasing, in order to improve the utilization efficiency and liquidity of assets.
Therefore, the construction of a secure, convenient and efficient asset trading platform has become a necessity. Legendary Space will integrate the first game asset trading platform and decentralized cryptocurrency trading platform developed based on TON, to provide players with convenient services, allowing them to freely buy and sell in-game assets such as virtual props, characters, and land. This may be achieved through external investment.
Through this trading platform, not only can the game ecosystem be further activated, but it can also bring additional transaction fee revenue to Legendary Space. The generated transaction fee revenue will be distributed to the holders of Legendary Space tokens.
6. Platform Token
Legendary space will launch a governance token at an appropriate time, with the token abbreviation: LNS. The LNS token will serve as a core component of the platform's economic system, playing a key role in the trading, distribution and user rights definition of game assets.
Holding LNS tokens will allow users to participate in platform governance decisions and enjoy a series of exclusive benefits and rights. For example:
1. Users holding a certain amount of tokens can prioritize participating in the beta testing of new games, and receive exclusive game props and airdrop rewards.
2. Holding or staking tokens can qualify users to list new games on the Legendary Space game platform, directing the traffic of the Legendary Space platform to the ecosystem projects.
3. Holding tokens can participate in the distribution of game profits and advertising revenue on the platform, and through these rights, the holders of LNS tokens will deeply participate in the development and operation of the Legendary Space platform, forming a close community of interests with the platform.
4. Ecosystem development incentives, by using token incentives to attract third-party ecosystem projects to join, the more traffic they contribute, the corresponding proportion of token incentives will be obtained, promoting the development of the Legendary Space ecosystem.
In addition, the total issuance of LNS tokens will be reasonably set and controlled to ensure the stability and sustainable growth of its value. In the distribution mechanism, the interests of all participants will be fully considered to ensure fairness and justice. At the same time, in order to improve the liquidity and application scenarios of the tokens, active cooperation with major exchanges will be carried out.
In terms of game asset transactions, LNS tokens will serve as the universal transaction medium, ensuring the convenience and security of transactions. Whether it is virtual items, characters in the game, or other valuable digital assets, LNS tokens will play a key role. The detailed economic model of LNS tokens will be published later.
Please continue to read: Understand the core value vision of the Legendary Space game platform (Part Two) https://s.followin.io/s/cWKqPd4iEh
