Blockchain games have a retention problem, with 90% of blockchain games going inactive within 30 days. This has resulted in most GameFi projects today being just DeFi protocols with nicer graphics and some interactive elements. On-chain data can help developers understand their users and how they participate in Web3 to increase retention.
However, the industry must consider more valid metrics than volume and retention. Tokenomics will also need to shift to give more incentives to whales to retain the most valuable players in their ecosystem. Airdrops and how to leverage them to retain users are also discussed, and it is suggested that a balance must be struck between value extraction and input. The report also examines how teams building blockchain games should segment users.
