How blockchain tech can usher in the next era of gaming for developers and players

[Music] okay afternoon everybody so my name I'm a CEO of Magna chain it's a blockchain built from scratch devoted to gaming so blockchain means different things to different people depends on who you're speaking to in terms of audiences the level ending so just quickly how many people here believe they know the difference between blockchain and cryptocurrency okay good start for those of you who don't using there's lots of crazy stuff out there in the news and things but the easiest way

to think about it is kind of with the internet Internet's a highway websites sit on the highway one doesn't really exist without the other it's probably the explained blockchain technology in crypto blockchain is the underlying technology of any cryptocurrency or anything crypto related cryptocurrency is something like Bitcoin or aetherium or to that Holl alternative coins or alt coins that you hear about really when you talk about fundamental shifts in gaming as you can see up in the game industry forever I started out with playstation kind of running in Germany and China just a patch of countries in Eastern Europe and launching ps3 PSP and the big pillar software franchises and peripherals accessories and such and then moved on to code masters here in the UK where I had up national with distributed taurah Tories emerging markets like Asia Eastern Europe and etc during these

times there were lots of shifts discovered a decade and some of those shifts were into mobile nobody believed would be over seventy billion dollar business which it is today over half the total industry I remember when they first lost launched PlayStation Network you know it was not the experience you have today to put a month nor was it on Xbox or anything else so you go through these cycles and a lot of times one of the speaker's yesterday in the blockchain track was saying it's a made a very good point is that previous cycles really in format it was about changing your game and making it work on mobile or changing your game and making it work on switch block change something different this is a totally new underlying technology and most importantly it has real world value and that's a first if you have some digital assets and I'll talk about it more in a second you can

change those assets for cash on an exchange so this is the first time really you can openly and under your control another huge difference not on servers or something like that where you own these assets and you can buy sell distribute trade burn them whatever you want as you like and that's that's something quite different and that can have huge impact for those of you who are developers in the room how many are developed the room right now it actually made games and how many you make mobile games probably at least say 80% I'm guessing you spend what 90 percent of your marketing money to retain 10% of your users and of those 10 maybe 2% us it's tough it's a real buy you surrounded eSports platform in Singapore from Oh ball games and synchronous game play it's killer to try to find those guys let alone hang on to them so there's a lot of advantages as well which talk about in a second but watching technology does not have to be this you know mysterious thing and it's

all dodgy and crypto there's scams that really shouldn't be it's gonna be around for a very long time it's gonna a lot of people think it's gonna have a bigger impact than the Internet and a lot of people think that it's having a fundamental impact on the way people do business and we'll talk about why gaming is important for that in a second here this counters not working so you're gonna have to let me know somehow about timing and such okay so I know these stats but I want to talk about how it relates to blockchain here so global market it seems last year about a hundred and forty billion as I said over half is mobile games for the first time about one in three people in the world you can define it how you want but it means they play game somehow on their phone on a PC whatever on their PlayStation eSport says all the talk it's all the buzzword I've worked in it I'm sure some of you have but the fact is it's just about a billion I think 2018 it began to crack a billion of a

hundred and forty billion not that big plus it revolves around about five games now hopefully that's gonna change in the future you're gonna have a lot of mainstream games but if you take out those who work hard core games you know counter-strike League of Legends blah blah blah you're not left with a whole lot and it's extremely intimidating your chances of being a top eSports player is the same thing as being a professional footballer and of course kegger continues to grow so overall brilliant market but what's really interesting when you look at the at the blockchain space is what the impact watching can have on gaming and vice versa blockchain with all the talk and all the buzz around it one major problem it is a big R&D lab right now there's very few real-world use cases and those people in the block chaining blockchain industry crypto industry are looking for these real-world use cases which sector is gonna do it effect banking it's gonna affect legal a real estate but these are

these are trillion dollar businesses there's gonna be a lot of resistance from these businesses to change game change gaming is different one it's much smaller than those businesses but to gaming has an audience their base which is really comfortable with new technology at early adoption online transactions sending money back and forth for digital assets that aren't physical there's a there's massive you know concurrency between the blockchain early adopters and gamers in general and that's proven in a million studies so one of the things that blockchain technology must have to really go global and be used alot is not just being able to buy Starbucks cup of coffee but have that you need to have a wallet crypto wallet and they might end up being in your watch or your phone it's already happening your little mobile wallets that happen now or you see WeChat pay everywhere in Asia nobody touches money when these things are crypto enabled it's gonna be something too so businesses are great to run on 1% the 1%

rule do you think we convert 1% of the world's two and a half billion gamers you pretty much about doubled the amount of crypto wallets that are there in the world right now so very few industries can do that there's about 30 million wallet holders some have multiple wallets but there's about 30 million people that hold wallets so that's why people are really excited and that's why you're starting to see all these great gaming projects come online so magnet change it's like etherium but it's built for gaming specifically and it's built for game developers by game developers so ease of use we have if you go to our website it's it's self show it at the end again but it basically has a hold they have onboarding section even in a blockchain game it doesn't matter we have SDKs for unity unreal the Grisha and you can just you know give it a try onboarding site our team will talk you through it the whole point is we want thousands of developers using our blockchain but what's really important is this could be a clean new way for developers to earn real money without

having to pay Apple without having a cake Google of course you can put your apps on those things but you're gonna have to play or pay your normal 30% and you'll have to market through those channels which tend to bankrupt mobile developers with the blockchain it's all about community really more than anything else because that's what the whole industry was built on if you market very well to your compute community you can make a lot of money with a very small user base that is simply not possible in the world of mobile gaming or I know a developer with a top game and blockchain I think they have 700 users they're making 50 grand a month show me a mobile game that does that it's very hard because people have a propensity to spend a lot more with crypto because the old fort was built for seamless p2p really almost almost free transactions cutting out the middleman so moving on because I know at times an issue what we have is something called magma in aetherium they call it gap so I won't get into mining and all this stuff

but basically for those of you I'm from the hands before unless everyone was I think everybody knows what kind of mining is on the blockchain we have our version of it which is Magne it powers the trim now we're gonna have some other things that you know we're gonna do on on which are which kind of give our token a very unique utility specific to the gaming industry but at the end of the day it's it's really about having a really vibrant developer community play or community as well all about partnerships same as same as that the the normal gaming industry so what we did one of the first partners and strategic investors we brought on was the original licensee and operator craft in China and back then in the mid-2000s mmo's were not what they are in China now they built it from nothing ended up being the second company to ever list on the Nasdaq Chinese gaming company listed on the Nasdaq after Shinda games and there they've been a great partner for us and it gives us a in an extremely extremely difficult market to crack

regulatory is something you'll hear about all over the place you probably heard about it in 2018 for those of you that that had crypto or still have what's left of it good thing because it has what they call custodial solutions which means people like Deutsche Bank and fidelity whoever announced you know their their big foray into block chaining and crypto they can entrust as you can entrust to your broker to set up your account so this is gonna bring in a whole nother level of money into crypto which will be sitting here in five years looking at a multi trillion dollar industry not you know a few hundred billion one of the partnerships were really excited about as well as in Korea number one target market right now and we're actually already active there the Korea mobile gaming Association imagine if we had to go around the world meeting developer developer developers now we're gonna happen so we try to work with large scale organizations ie game engines like unity agree sure but also associations who have tens of thousands

of members or hundreds of members and all for example in Korea they want all of these guys on the blockchain so we're looking to work with them and we're already have a partnership we just announced a competition I'll show where we're trying to bring more and more livers onto magnet chain to really have a really vibrant ecosystem as a whole another great way to do it and grow your block chain if you know hopefully it'll be feds of block chains in a year or two but initially is to pee in brands that people know I people's from Korea in early 80s they licensed from a company in the early 80s that started the Korean version of monopoly they want to make a blockchain game everybody in Korea if you say blue marble it's the same way of saying monopoly in the West so they want to make a blockchain game out of it they're in the process of it now so we want to take that user base reactivate it and everyone recognizes says oh I'll try this and by the way I could actually earn real money so monopoly beings what a perfect game to adapt into crypto fun

block Factory is using a classic and well-known mobile mechanic match three games but adapting that to the blockchain and they've got some really really cool concepts they're gonna be one of the first games in the coming weeks we actually launched what's our main net which is in blockchain terms the equivalent of go live Alto da IO is a company and other partner of ours that is a marketplace it's not a game it's a place where you know you can see develop the digital assets for you and this is a really cool concept you can use those assets across different games so I'm sure most of you heard about crypto Kitty's a cat selling for a hundred and fifty thousand dollars it happens these are tokens as cats that's it but people pay for scarcity the same way in gaming people pay for ultra rare items or gems and etc so this is a proven model skins on machine guns and Counter Strike and eSports this is not new it's been around a while the difference is

when you put it when you would when you integrate blockchain technology into it you don't have to trade these items on a secret dark web third party ecosystem you can do it out in the open my wallet to your wallet we agree the price transferred done once I have that asset then I consult somebody else and I don't need a publisher or developers permission to do it it's a pure pure free market and democratization of assets that's why you hear it all the time and you'll also hear a term called NF TS non tokens these are one of a time one of a kind scarce really really rare assets and those assets are gonna have value and that's why crypto Kitty's was the hit it was and now there's lots of other games trying to promote off that but we feel that IP patient NF T's these non fungible tokens are going to be crucial to blockchain gaming being a success so some of the partners I just talked about initial partnerships and we've got more we're gonna announce in the coming weeks as we launch I'm gonna fly through this because the time being it's getting tight we want to have developer centers around the world in

major cities where we can have we can have kind of very very loose meetups the same way Facebook or Google does we're gonna start out maybe every few months Lee and then we'll see how it goes but these are the core cities right now our focus markets are China Korea and Japan but China regulatory is quite difficult right now so these meetups and educating developers obviously the west coast of the US there's a lot of them UK here some Singapore I've just lived seven years there these places are hotbeds of development Talat where we want to have our meetups and our get-togethers and educate people on not just Magna chain but blockchain technology in general because that kind of can intimidate for no reason at all it's an SDK you're going through the same integration or API plug-in that you would normally the only Dutch chain technology is you have to think about how cryptocurrency can actually impact the monetization ecosystem of your game which is very delicate if you start

introducing like crypto you have to you have to really put put some thought into it because it can found affect on the way that your your monetization ecosystem can work within your game or platform just generally some of the things we're doing conferences like this a lot of public relations but in blotching the blockchain industry and the world of crypto these communities are enormous ly powerful and like I said a very small community can fund a lot of money to your game and you can do things where you're directing people to your website there's an apk you download it and your not so we say transgressing rules of the big the big app stores and things like that it's in how blockchain technology works so there's lots of ways that you can monetize and keep a lot more revenue for yourself at the end of the day and of course we want to start our vision isn't of MAG Khan's same way unity does with unite where every quarter we're doing larger scale events as we grow our blockchain developer and play your community alike so some of the team here

you can see we worked with some of the biggest gaming companies in the world both in the West Dana and other parts of Asia and we're augmenting our development team right now we've got about 13 in Guangzhou we've got a few people in Europe helping out with biz dev community management Investor Relations a few of us in the US and I'm doing about 10 days a month in spending more time there than when I lived there and but in general everybody's been around the block a little bit so these scams and other things that you hear about in 2017-18 and crypto 2018 was a painful year in crypto but unnecessary one very healthy correction the next bull markets gonna be very long very sustained it's gonna have Wall Street and institutional money behind it as you start seeing custodial solutions and things like that in gaming for sure will be one of the leading sectors watch-chain technology to the masses and hopefully blockchain technology will bring a new way and bust some of these broken business models especially in the mobile gaming industry where developers

don't have to worry about living month-to-month so much anymore and I have to have eight million users for my success there's already proven in in blotching technology that you don't need that amount of users to do it so let's get this part but this is basically our first competition we just announced in Korea we launched it this month and we're gonna announce the finalists in May ideas for games and and we've got certain parameters so it can't just be a wacky concept it's got to be at least some kind of running out for a beta and we'll allowance the winners in in May in Korea so that's it there's the website the community groups are on the bottom it's a to join and where we're running up to launch now so we're gonna you'll probably be hearing a lot more about us in the coming weeks so any questions hey Raj yes I mean I'm just wanting to chuck in because perhaps you have that she works on a blockchain game I worked I was in reality clash which soft-launched in Australia in a couple other places last few days I mean we actually designed the gun skin model so

we have - one of the lessons that we learned is to think about what happens to those tokens outside your game well because it's blockchain it's a distributed asset listeners and you know it's awful difficult I think for a designer to to think outside of their own game and like you said earlier but there's a balancing act between how that might means you get new things coming into your game versus how your things you think the objects you sell we reuse do you have any kind of advice for people on how to get started to think like that in terms of the impact of script outside your game yes yeah well think think about right now in your current ecosystem you've probably got some kind of super rare gem or item that's where the payers either have to play for or and do lots of progression think about the impact if you brought in something worth a thousand times more because the fact is this is if you have a theory or a Bitcoin you can go or any other altcoin most of them you can go to an exchange no money you can't do that with

a green or blue frog in your game so it's a very delicate balance to have you certainly want to treat it like something super rare but it's not just about the currency and the tokens in your game that you might have the assets as you just mentioned these assets that you know maybe cannot be massively accumulated in the game but one crypto kitty is worth 150 grand in some cases so it really even the assets in the game here's a car wheel a rim on it call anything you've got to think of it more like skins in these digital assets that can have crazy value moving forward so I would say just really think about the balance of your ecosystem monetarily how the introduction of crypto can can can really impact it heavily I mean for our experience what we found is that was really interesting thinking about what made the asset unique so we see realized the sternum for each weapon and we will append history to the weapons as

well so as you actually know where it's been you know where it's being you know what was done how many headshots so hopefully when we have our Walther PPK equivalent there's serial number dozen there will only be one of them and if I can add to that it's also quite cool when you start getting into mass games that have really competitive gameplay you know some of these players are heroes especially in eSports and if you happen to have an asset we're on Team ledger I can see this guy owned it this girl owned it this guy had it oh it was owned by the superstar guy that's cool that's like owning a football or a helmet by a professional sports player so it gives it that value and it also gives you a real corner ship I think it's important to realize why you're using it and if it's not thinking about distribution you might find that it's actually complicated to implement and you're really not getting the value you should so think of using carefully much on that note thank you very much Thanks

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