How One Startup Is Leveraging the Power of the Blockchain to Disrupt the $90+ Billion-Dollar Gaming Industry 0 88

The nested potential of blockchain far exceeds what we see in today’s volatile cryptocurrencies.

If implemented effectively, this disruptive piece of technology represents a far greater opportunity to fundamentally change the way society organizes and secures its information.

At a high level, we can leverage the decentralized nature of blockchain in a variety of spaces to supplant the need for costly middlemen, eradicate fraudulent players, and instantly verify transactions – all of which are core benefits, inherent to blockchain, that can make industries radically more efficient. It is this exciting, not-so-distant future that is fueling entrepreneurs and investors from around the world to invest their time and funding in tackling real business problems with the power of the blockchain.

Gameflip, a vibrant digital goods marketplace with millions of users, recently announced their upcoming offering of FLIP, a crypto-token for peer-to-peer buying and selling of digital goods for games on all platforms. They are an example of an experienced team developing an innovative solution at the upslope of a hot market.

Perhaps most importantly, their solution is accelerating an inevitable shift in the marketplace that enhances the experience for all involved parties.

The digital goods opportunity is truly massive, and growing every year. Believe it or not, online gamers purchase nearly USD $100 billion in digital goods annually. The model works as follows: users play, invest, and compete in games to earn rare, digital collectibles, like weaponry and custom skins. While these items become illiquid (and practically valueless) once the game goes out of style or the user becomes disinterested, the digital marketplace has been booming as most casual and hardcore gamers obsess over earning collectible items.

Gamers spend immense amounts of time and money, building up their characters and harvesting special player upgrades…but if you cannot transfer the value of the assets after your hard work, then what is the true long term value?

The problem, however, is that the “gamer-earned goods” market is insanely underdeveloped, as there is no unified home for secure transactions of digital goods.

This is what initially inspired the launch of FLIP, as the Gameflip team had seen countless instances of passionate, dedicated gamers falling under the trap of losing their digital “investments.”

Other companies have identified and tried to work on this problem before. The popular Steam Community Marketplace attempted to address this problem by enabling the trading of digital goods on their platform. This, however, fell short – gamers want the ability to “cash out,” and not just earn market credits. So they turned to their only other option, which was random, unsecured forums such as Reddit, many of which were rampant with scammers and fraudsters.

The solution to this entire trust management problem is exactly what Gameflip is doing: using blockchains to create a secured, transparent mechanism for exchanging digital goods.

Already, Gameflip has a 2 million member-strong global digital goods marketplace for gamers. Of which, they have over 500,000 active monthly users who conduct millions of transactions each and every month.

FLIP, their tokenized product, leverages the Ethereum blockchain and ERC-20 Token interface to provide a decentralized ecosystem for transaction digital goods through smart contracts. Effectively, the contract will automatically confirm ownership of the digital goods, enabling gamers to transact safely without risk. More than that, for perhaps the first time ever, gamers can truly own their digital goods with real value. Meaning they finally have access to liquidity when and wherever they want it, as they can sell and trade digital items for cash without the threat of fraud.

The FLIP team, having been former publishers themselves, also plans to incentivize game publishers to adopt this new model by issuing FLIP network growth tokens, with a built-in commission for each transaction made through their games. Publishers are crucial to the network effect and, ultimately, will be the gatekeepers towards universal adoption.

While their strategy for growth is ambitious, the Gameflip executive team brings with them more than a century of combined business experience, including decades in the gaming industry. They have successfully built, managed and architected, global, free-to-play gaming businesses like Aeria Games, meaning they understand the mechanics of the industry from the ground floor.

They are also backed by world-class investors, like Lightbank, and already have strong interest and active discussions from a handful of top global publishers. It will be exciting to see FLIP, among others, develop as implementations of crypto gain mass appeal. They will have their FLIP ICO main sale on Dec. 4 (as their pre-sale ended at 112% of our goal with over 3k ETH raised).

As momentum around blockchain technology continues to develop, we will begin to see more and more of the potential get exposed. This is truly just the start, as more entrepreneurs see innovative applications just waiting to be built. The question in all of us, as consumers and professionals, is which implementations will most affect us? Which are most likely to disrupt the world?

This article was originally published in The Huffington Post on November 16, 2017.

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Starting her career on Wall Street at just 19 years old, Danielle went on to be one of the youngest equity traders in the industry. After a successful career in Financial Planning, she went on to found her media company What Vibes Your Tribe, which connects the worlds of digital marketing and public relations. Her experience in brand strategy along with successfully developing the thought leadership of C -level executives has played an integral part in her client's achieving prestigious awards such as Inc 500, Forbes Next Billion Dollar Startup, Entrepreneur 360 among other top level recognition.

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Chinese Crypto Leader Li Xiaolai Suddenly Retires 0 70

One of China’s most prominent Bitcoin investors has announced his retirement from the crypto world. Billionaire Li Xiaolai is the founder of BitFund, a crypto venture capital firm that has fostered a slew of Bitcoin-related startups.

Li’s announcement of his decision to withdraw from cryptospace—and investing otherwise—came unexpectedly via his page on Chinese social media site Weibo.

“From this day on,” his post reads, according to TechNode’s translation, “I, Li Xiaolai, will personally not invest in any projects (whether it is blockchain or early stage). So, if you see ‘Li Xiaolai’ associated with any project (I have been associated with countless projects without my knowledge, 99% is not an exaggeration), just ignore it.”

Li is a former school teacher, and claims to be the first person in China to openly trade Bitcoins, rather than hiding behind its famous anonymity. Now, retired from both teaching and investing, he says he’s not sure where to go next. “I plan to spend several years to contemplate on my career change. As for what I’m doing next, I’m not sure just yet.”

Li closed his post by expressing that he still maintains a long term optimism about the blockchain.

Li’s Ventures Grew Crypto Capital, Controversey

Through BitFund, Li has incubated a number of blockchain related startups, including an off-chain wallet called Bitfoo, the crypto exchange YUNBI, and HashRatio, a miner manufacturing company. Li organized 2014’s Global Bitcoin Summit in Beijing, back when you could get a BTC for as little as $440, and years before China instated its full ban on cryptocurrencies.

Earlier this year, Li also acted as managing partner of Hangzhou Xiong’An Blockchain Fund, a billion dollar fund backed by the Hangzhou government. Li stepped down after fellow venture capitalist Chen Weizing introduced a series of accusations against him.

Included in the eleven accusations, which Chen broke on social media and messaging platform WeChat, were a supposed debt of 30,000 BTC that Chen says Li failed to pay on time. Li published a point-by-point response to Chen’s accusations, addressing the 30,000 BTC debt by saying “it’s not true… Chen is just muddying the water.”

Though Li called them “defamations,” and Chen did not offer supporting evidence for his allegations, Li said Chen’s antics “brought material and negative impacts on the reputation of Xiong’An Blockchain Fund” and that his resignation would “let the Hangzhou government continue its push for blockchain development.”

Li was the subject of controversy on another occasion when, in a candid conversation he did not know was being recorded, he outed several influential organizations as scams and said that the best way to succeed in blockchain, even if your project is worthless, is to get famous and build consensus.

The State of Crypto in the People’s Republic

All crypto and blockchain related websites are blocked by the Chinese government, and citizens are forbidden from engaging in crypto transactions. The People’s Bank of China released a statement on August 24th warning against ICOs, which they consider to be “illegal fundraising, pyramid schemes, and fraud.”

But the rules have been difficult to enforce, and crypto still enjoys an active user base in China. Beijing Sci-Tech Report, China’s oldest technology publication, is now the first Chinese publication to accept BTC as payment from its subscribers. Chinese crypto channel cnLedger announced in a tweet on September 25th that Ethereum Hotel, China’s first hotel to accept ETH as payment, is open for business in Sichuan Province.

A Crypto Landscape Without a Leader

The sudden exit of Li Xiaolai from the Chinese crypto scene could have caveats, or greater implications. Weibo users expressed their support and gratitude following his announcement, but some also speculated that his choice of words leaves room for Li to continue investing in crypto indirectly, perhaps through funds or corporate entities. Whether that will be the case or not, for many, his resignation marks the loss of a public blockchain leader.

The Block Talk Award Winners Announced 1 1110

Thanks to everyone for submitting your favorite blockchain innovators and influencers. Our editorial team had a great time learning about new projects and individuals that are building a foundation for our future with blockchain technology, and realizing amazing technological feats in the present.

While it was difficult to select just one project or individual in each category, we’re excited to announce the winners of our first inaugural Block Talk Awards.

  • Best ICO Analysis & Commentary – Tatiana Koffman, Various Outlets
  • Most Engaged Community – Rod Turner, Various Outlets
  • Favorite Blockchain Blogger – Rachel Wolfson, Forbes
  • Best Crypto Journalist – Jordan French, The Street
  • Innovative Female Founder – Amber Baldet, Clovyr
  • Best Podcast Host(s) – Joel Comm and Travis Wright, Bad Crypto
  • Favorite Blockchain Event Host – Adryenn Ashley, Loly.io
  • Top Crypto Speaker – Ian Balina, Crypto World Tour
  • Most Innovative Blockchain CEO – Trevor Koverko, Polymath
  • Top Social Entrepreneur – Evan Caron, Swytch

Winners in each category will receive a $1500 media credit on The Block Talk, access to a network of TBT Award honorees, and VIP access to TBT events in 2019.

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