The Rollup - XAI Games: The Arbitrum Gaming Hub Explained - Revelo Intel

The Rollup – XAI Games: The Arbitrum Gaming Hub Explained

In this episode of The Rollup, which took place on February 19, 2024, Robbie, Andy, and Soby discuss web3 gaming, and XAI Games. Read our notes below to learn more.

Background

  • Robbie (Host) – Merkle Tree Maxi, Co-Founder of The Rollup
  • Andy (Host) – zkProof Maxi, Co-Founder of The Rollup
  • Soby (Guest) – Core Contributor at XAI Games
  • XAI Games – a game studio to onboard the next billion gamers into Web3.

Evolution of XAI Games and Incentive Design

  • Soby says that they started as a game studio called X Populus before transitioning towards incentive design in video games. They recognized challenges with incentives in gaming leading to an interest in on-chain games to combat cheating.
  • He adds that they explored various blockchain providers before partnering with Arbitrum for XAI’s development. He emphasized improved user experience, gasless transactions, higher limits, and governance features on XAI.
  • Soby highlights XAI’s decentralized permissionless protocol attracting contributors like Offchain Camelot and Rare Bull.

Benefits of Blockchain in Gaming

  • Soby says that centralized game studios could impact players negatively. Players cheating against each other is a concern in traditional gaming. Lack of analytics and data transparency in traditional games affects decision-making. Empowering players through transparency is crucial despite potential challenges.
  • He adds that blockchain enables transparency for player decisions and game interactions. He is excited about future fully on-chain games with high production quality and user base. ZK rollups are considered promising for enhancing gaming experiences.

Scalability and Transactions in Blockchain Games

  • Soby says that there are different types of transactions. Defining transactions as state changes onchain, not just financial actions. Latency issues with serverless games running entirely on-chain require solutions like ZK technology. Pima Studios implements core game logic and assets on-chain for battles and pets, ensuring tradeability.
  • He highlights the spectrum of possibilities in on-chain gaming and emphasizes that there is no clear answer to what aspects can be put onchain. Standardized frameworks for determining what should be onchain are expected to improve over time as more games are developed onchain. He encourages putting game logic used in distributing incentives onchain to enhance security by reducing vulnerabilities. He envisions a future where different games interact with each other, allowing players to use universal characters across various games, leading to unique experiences and incentives.

Composability in On-Chain Gaming

  • Soby emphasizes that composability allows for modular characters to enter different games, enabling diverse interactions between various gaming worlds. He states that achieving a high level of composability requires multiple games living onchain and interacting with one another, leading to a convergence around standards within the industry.
  • He discusses how cross-selling and interconnectivity between different games can revolutionize player experiences by offering seamless transitions between game environments.

Challenges Faced by Crypto Gaming Developers

  • Soby highlights the extended development timelines of crypto games compared to market cycles, which can lead to emotional highs and lows for developers and players alike. He acknowledges the unpredictability in crypto gaming outcomes, ranging from significant financial gains to potential losses due to market fluctuations or fraud incidents.

Advantages of Arbitrum Orbit Chain

  • Soby says that Arbitrum Orbit chains do not require payment for block space when there are no transactions. This feature enhances scalability and cost-effectiveness.
  • He adds that The DAO is perceived as unfriendly towards builders due to existing frictions, such as numerous Telegram chats causing confusion and difficulty in accessing grants. Founders face challenges in scaling up due to time constraints and existing governance complexities within the DAO ecosystem.

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Show Information

  • Medium: Youtube
  • Show: The Rollup 
  • Show Title: XAI Games: The Arbitrum Gaming Hub Explained
  • Show Date: February 19, 2024