Pegaxy reloaded: blockchain game’s second attempt to level up

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Hi there,

Keeping up with news in the play-to-earn (P2E) gaming space is one of my favorite bits about being a crypto journalist. I’ve kept a mental diary of how games have evolved over time.

While Atari’s classics captivated us with their simple yet addictive gameplay, and Tekken brought the realm of fighting games to life with its stunning visuals and intricate combat mechanics, blockchain games like Axie Infinity and Pegaxy introduced us to the concept of P2E gaming, where players can actually earn cryptocurrency by participating in the game.

Mirai Labs co-founder Corey Wilton has taken the hot seat on our newsletter this week. Pegaxy, the company’s Web3 game that was launched in 2021 and then succumbed to the pitfalls of the crypto and gaming world, is gearing up for a second attempt at success.

Despite its short-lived existence, Pegaxy raked in millions in transactions and generated over US$8 million in revenue for Mirai Labs.

With the bitter lessons learned, Wilton remains optimistic about the future of blockchain crypto gaming but acknowledges the necessity of integrating traditional mobile game design, which will help with broader distribution and revenue potential.

I’m personally rooting for a retro-gaming fix (like Super Mario) with a blockchain deal that brings back the magic of the early 2000s.

— Deepti

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🤿 THE DEEP DIVE

Pegaxy 2.0 – can a hybrid Web3 game succeed?

Pegaxy was launched during the P2E craze of 2021, but it quickly became plagued by server overload and skyrocketing prices of in-game non-fungible tokens. Wilton’s message urging players to exercise patience inadvertently backfired, leading to player exodus and a crash in NFT prices.

Undeterred by the setback, Wilton – who is now Mirai’s chief executive – is embarking on a new venture, shifting his focus to mobile gaming design and exploring the potential of in-game app purchases and advertising. NFTs are still a part of the game, but their ability to generate revenue is still an unanswered question.

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