Oracle Is The New Meta: Play-To-Earn Games With Oracle System. How Does It Work?

The introduction of this article does not mean any harm or bad notes for the community of Cryptoblades NFT game but solely an example for the benefits, whether bad or good, for an NFT game to use the Oracle-driven economy.

As far as I know, Cryptoblades - a click-to-earn NFT game in the Binance Smartchain, was the first ever Play-To-Earn game that uses an Oracle System in order to balance the game economy. The purpose for this was to maintain the dollar cost for minting NFTs and more importantly, the rewards payout.

This was looking like a game changer and a savior act to save the game, however, it didn't turned out great. Simply because of these reasons;

• Rewards was cut to half, then cut another half after some weeks.

• People were uncertain about the future of the game, so they pulled out their invested money.

• Rewards pool are being depleted. More $KING tokens were going out than going in to the reward contract/pool.

All the fear, uncertainties and the doubts towards the game made Cryptoblades, that was once the no. 1 Play-To-Earn game in June 2021, nowhere near even in the top 20 NFT games right now.

For a conclusion, it was not the Oracle System implementation's fault why Cryptoblades is in the dark room right now, but how the Cryptoblades teams delivered and the reaction from its community.

How Oracle System Works.

Example:

Minting

This is how an Oracle-driven NFT game works;

Let's say that there is a new game called PlayBCH with $PBCH as the game token that uses an Oracle in the game.

PlayBCH game only requires 1 NFT worth $100, payable using $PBCH token, to start playing.

So if the price of $PBCH is $1.00, you will be needing 100 $PBCH token to buy/mint an NFT to start playing and earning in the game.

But what if the price of $PBCH changes?

Considering the price of $PBCH has grown up to $2.00 from $1.00 (+100%), then this is where the Oracle take action.

Since the dollar value only needed to mint an NFT is $100 worth of $PBCH, now you will only be needing 50 $PBCH tokens. How? Here's the math.

When the price of $PBCH token is at $1.00:

$100 ÷ $1.00 = 100 $PBCH tokens needed.

When $PBCH is at $2.00 and Oracle is triggered:

$100 ÷ $2.00 = 50 $PBCH tokens is only needed!

So if you bought $PBCH at $1.00 and hold it till $2.00, then you would be needing only 50 $PBCH tokens to mint an NFT instead of 100 $PBCH tokens. Both traders and players are taking advantage of this tool for their benefit.

Rewards Payout

Some says using an Oracle to calculate rewards is an advantage but some says it was a bad idea (greedy people).

Here's how it works;

Let's say that every victory you get in the game will give you $1.00 worth of $PBCH tokens. If the price of $PBCH is at $1.00 each, that means you will be rewarded 1 $PBCH token per win.

But, if the price of $PBCH goes up to $2.00 per token, then the game will only reward you 0.5 $PBCH tokens that is currently worth $1.00.

For a better view;

Minting

Token price goes up --> lesser token needed to mint.

Token price goes down --> more tokens needed to mint.

Rewards

Token price goes up --> lesser token as a reward.

Token price goes down --> more token as a reward.

Is Oracle-driven Really Sustainable?

There is really no exact answers for this as crypto is very unpredictable and a sudden change in the community can make an impact of the game.

But the best example of an Oracle-driven NFT games are CryptoMines and CoinToFish.

CryptoMines is a Sci-Fi and Space-designed inspired click-to-earn game that has been running for around 4 months now but still the game is sustainably handling all its players . Its user base is constantly growing because of the Oracle System where new players can start with the dollar value for minting NFTs same with how old players started in the game. There is no early and no late players for the game because the Oracle System make it possible for new players to start playing with a dollar value, no matter how high the price of the token is. With its success, the $ETERNAL token, the only token of CryptoMines game, reaches $1 Billion market cap.

And CoinToFish - a fishing game that also started uses an Oracle System just a month ago. Since the implementation of Oracle, the user base of CoinToFish started growing massively and its market value is now near $700 million.

There are lots of NFT games right now using Oracle and I can say that some of them are on the verge of success, just more developments are needed.

Some of them are BNBHeroes and AUREO that I have been watching currently.

Final Say.

I can't really say that using Oracle to balance the game can really sustain the game in the long run. Some of the successful game right now that doesn't use Oracle are Axie Infinity and MOBOX. These two are running pretty fine without the Oracle and rewarding its player greatly. Both of them are on the top list in their chains proving it's all about the development and greatness delivered for its players.

Original Image from: Idea Usher

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