Disclaimer: This post has the sole purpose to generate enough hive to buy myself into the top one hundred of crownrend.;-) so 100% of author rewards will be converted to Denar via hive engine... :-) and its certainly not an investment advice!
For sure hive still needs new apps, new users and new games.. so in general any new initiative, any new game is great. That's why I also decided to join the player gang of crownrend. While I enjoy the game quite a lot, unfortunately it had the same start as nearly every game on hive to this very day. Intentionally or not, payouts and the corresponding price on hive-engine of the native token Denar had a very high return for the very first players. While the buy-in for the game is 10 USD worth of hive, you could have easily gotten out five times that amount after just two weeks. And while this might attract in the first days many "investment-players" -which in my point of view enter the game for the totally wrong reason-, this is of course a sure way to hit the wall. So did happen what had to happen, like in similar cases... payouts too high, price too high, subsequently followed by hyperinflation and a price crash of the native token.
While this might look like a total disaster, the game itself is still enjoyable and - very much up to what the developers will bring out next - could still have a promising future.
However if you calculate how much Denar you have to spend for your production base vs. how much you make from internal in game production from those "investments", you discover that the IRR is around 20 % per month - which of course is not sustainable. So the game developers have to come up with a fix to the game's internal hyperinflation. I believe a tenth of the current inflation could be sustainable.
I wrote already in the past how to design game / crypto economics in a sustainable way... https://peakd.com/hive/@solarwarrior/game-economics-or-the-magic-of-math-and-feedback-loops
But if hive-engine is right (which I highly doubt to some extend), there are atm 383,285,801 Denar outstanding (everything else might have been spent already inside the game, or is held liquid inside the game) which equals at current price of 0.000005 hive approximately 2,000 Hive.. but if I get the numbers right, Yabapmatt as the leading player has such a high production base already, that he alone prints around that amount of Denar each day.. so once he decides to sell, the economy is doomed... but I want to exploit that current low price level anyway and try to get into the top 100 and give it another try... who knows with what the developers come up in the near future... ;-) and your upvotes will make this happen... hopefully.. ;-)
