Layer 2 Immutable X: How To Become A Top Web3 Game Portal?

Overview

The transaction costs required to operate games on the Ethereum Layer 1 chain are relatively high, and the speed is slow and easy to causes congestion. This weakness is more obvious under the actual operation demonstration of the former chain game leader Axie Infinity, which proves that Ethereum Layer 1 is indeed not great for game orientation purposes.

Ronin is an Ethereum sidechain born out of games, but unfortunately, Ronin does not currently have other games operating on the chain, so the actual use of the superiority has not yet been implemented, and the same applies for game operation purposes, Immutable X, which provides zero gas fees for games, NFTs, applications, and market transactions, has absorbed many Web3 chain game projects in a short period of time. What is the attraction of Immutable X? What are the prospects?

Immutable and Immutable X

Immutable

Immutable is a global blockchain technology company founded in 2018 by James Ferguson, Robbie Ferguson, and Alex Connolly. It is headquartered in Sydney, Australia, and currently has more than 300 members. The company’s background covers blockchain, FAANG, finance, financial technology, and management consulting. (FAANG=Facebook, Apple, Amazon, Netflix, Google）

Get technical or financial support from NASPERS, BITKRAFT Ventures, King River Capital, AirTree, Temasek, Coinbase, and other giants.

At present, the main products are Immutable X, an Ethereum layer 2 expansion solution platform, and NFT games Gods Unchained and Guild of Guardians.

In fact, there is another point that few people mention. Immutable’s previous name was Fuel Games.

Immutable X

Immutable X is the first layer 2 expansion solution on Ethereum, which belongs to the Layer 2 protocol used to verify transactions on the Ethereum chain. The amount of information required by Ethereum when trading or creating NFTs, thereby reducing the cost of proof, thereby achieving the so-called 0 gas cost, and allowing 9,000 ERC-20 and ERC-721 token transactions per second. It has the advantages of safety, fast speed, and 0 gas cost.

IMX Details

IMX Overview

Simply put, Immutable can be compared to Sky Mavis, Immutable X can be compared to Axie Infinity’s Ronin, Immutable can be compared to Gods Unchained, and the token $RON on Immutable X is $IMX.

• Token name: IMX
• Blockchain: Immutable X
• Token Type: ERC-20 Utility Token
• Use:

1. Fee: used to pay transaction fees, 20% of each transaction fee on the agreement is settled in IMX tokens.
2. Stake: Token holders earn rewards by staking their rights in the reward pool.
3. Decentralized Governance: Token holders submit community proposals and vote to participate in the governance of Immutable X.

• Total supply: 2,000,000,000 IMX. (two billion)
• Maximum supply: 2,000,000,000 IMX. (two billion)
• The current circulating supply is 790 million
• The current market value is 900 million
• Currently, FDV reaches 2.4 billion.

IMX Allocation Token Distribution

• Ecosystem development: 51.74%=1,034,800,000 (billion)
• Project development: 25%=500,000,000 (500 million)
• Foundation retention: 4%=80,000,000 (80 million)
• Public offering: 5%=100,000,000 (100 million)
• Private placement: 14.26%=285,200,000 (285 million)

IMX’s current unlock status

A total of 54 months to complete the unlock.

Unlocked: 760,713,803, accounting for 38% of the total

• Ecosystem development: 322,036,343
• Project development: 123,076,923
• Foundation reserved: 80,000,000
• Public offering: 100,000,000
• Private placement: 135,600,537.

Unlocked: 1,239,286,197, accounting for 62% of the total

• Ecosystem development: 712,763,657
• Project development: 376,923,077
• Foundation Retention: 0
• Public offering: 0
• Private placement: 149,599,463.

Investment and financing

Self-financing

Immutable, formerly known as Fuel Games, raised its first round of financing in July 2018 and its A round of financing in September 2019. Investors include:

*NASPERS, among them, is a world-leading multinational media group and the largest shareholder of Tencent.

In September 2021, it raised 60 million at a valuation of $410 million. By 2022 last year, it received a 200 million investment led by Temasek at a valuation of $2.5 billion. Investors include Mirae Asset, ParaFi Capital, Declaration Partners, Tencent Holdings, etc.

After receiving 200 million in funds in 2022, Immutable started to develop and expand. Under the background of layoffs of major companies around the world, Immutable recruited 200 more employees and launched a 500 million venture capital fund in June to promote the development of Web3 games. There are more than 100 games on Immutable X, and the market share has reached the top 5.

Investment and financing of games on the IMX chain

According to Delphi Digital’s report, there are more than 100 games on Immutable X, and a total of $900 million in funds will be raised in 2022. Among them, the exclusive games on Immutable X will receive $300 million in capital investment, and the multi-chain games based on Immutable X will have $600 million.

Founders 2023 Predictions

Immutable founders Alex Connolly and Robbie Ferguson made a simple prediction for 2023 at the beginning of the year, which mentioned the hot topic A.I., I don’t know whether Alex Connolly, the chief technology officer of CTO, will introduce A.I. related technologies to IMX, which is also possible Pay attention a little bit.

Due to the increasing number of games on Immutable X, they plan to launch Immutable Passport in April, and users will be able to use one-time email passwords to log in to their accounts, providing users with convenient and secure authentication.

AXS/GODS, RON/IMX

As mentioned above, both Immutable X and Ronin were created for game users. Both of them started because of games. Immutable X was born because of Gods Unchained, while Ronin was born because of Axie Infinity.

These two games were also popular all over the world, but because the economic benefits of Axie Infinity are huge. At that time, the market value reached 10 billion, making Axie Infinity sit on the throne of the chain game leader, while Gods Unchained, which is known as “Hearthstone” in the chain game, is relatively low-key.

Up to now, although the popularity is not as good as before, Axie Infinity’s AXS FDV is still as high as 2.8 billion, with a market value of 1.2 billion, while Gods Unchained’s GODS FDV is only 150 million, with a market value of 60 million. It’s not on the same level anymore.

At present, there is only one giant game, Axie Infinity, on Ronin, while Immutable X already has as many as 100 blockchain games of various colors. From the perspective of FDV, IMX is as high as 2.2 billion, with a market value of 800 million, while Ronin’s FDV is only 800 million, and the market value is 140 million.

From this point of view, Sky Mavis focuses on quality rather than quantity, while Immutable wins by quantity. All kinds of games have chosen to migrate to IMX. From a certain perspective, the more people use it, the more valuable it will be.

Great, so far, Immutable has won over Sky Mavis. Sky Mavis has not launched a new game for a long time, and I am afraid that it will miss the opportunity to become the mainstream, while Immutable has gradually become one of the important choices of chain game portals, and the value space of IMX will also be greatly improved.

Conclusion

At the beginning of this year, the crypto market picked up, and the chain game GameFi also surged. Various standby chain game projects have been quietly launched. In 2021 and 2022, there will be two popular games, Axie Infinity, and StepN, respectively. Both Ethereum and Solana have been used by more people because of these two chain games respectively. Everyone knows the economic value of the game on the chain.

Immutable X, who was born out of games, has more and more game projects deployed here, and IMX obviously has more opportunities to operate, but if one of these games becomes a small Axie or trotting shoes in 2023, Then the development of IMX will become more attractive and attractive.

DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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