The rise of Web 3 gaming has revolutionized how players engage with digital economies. Unlike traditional games where in-game assets hold no real-world value, play-to-earn (P2E) games enable players to earn cryptocurrency and NFTs that can be traded, sold, or used across different platforms. But what makes some P2E games more sustainable and profitable than others? Let’s break down the most effective earning models used by the top Web 3 games today.
1. Token-Based Reward Systems
Many successful P2E games, such as Axie Infinity and Gods Unchained, operate on a dual-token economy—one for governance and another for in-game transactions. Players earn tokens by completing tasks, battling, or trading NFTs. These tokens can be staked, swapped for other cryptocurrencies, or reinvested into the game for progression.
This model is also being refined in newer blockchain games, particularly those leveraging layer-1 solutions like Ethereum and Cardano. Projects such as Cornucopias are integrating token-based economies while maintaining scalability and efficiency.
Challenges:
- Inflation risk due to oversupply of tokens
- Dependence on a steady influx of new players
2. NFT-Based Ownership and Trading
Games like Illuvium and The Sandbox leverage NFTs to represent in-game assets such as characters, land, or skins. These NFTs can appreciate, allowing players to sell them for profit. Unlike traditional games, where items are locked to an account, NFT ownership enables real asset liquidity.
In the metaverse, platforms like Decentraland and Pavia—Cardano’s first virtual world—are enhancing NFT utility by allowing users to develop virtual land and monetize assets.
Challenges:
- High upfront investment for rare NFTs
- Market fluctuations affecting asset value
3. Staking and Yield Farming
Some Web 3 games incorporate DeFi (Decentralized Finance) mechanics to reward long-term players. In Star Atlas, for example, users can stake their tokens or NFTs in liquidity pools, earning passive income over time. This model incentivizes users to hold their assets rather than selling immediately, helping stabilize the in-game economy.
Similarly, Cardano-based gaming projects like Drunken Dragon explore NFT staking mechanics, where in-game assets provide passive rewards.
Challenges:
- Requires deep understanding of DeFi concepts
- Smart contract risks and potential exploits
4. Rental and Scholarship Programs
High-entry barriers have led to the rise of NFT rental and scholarship programs. Games like Axie Infinity allow NFT owners to lend their assets to scholars (players who can’t afford an initial investment) in exchange for a revenue split. This model creates earning opportunities for both investors and players without upfront capital.
Expanding on this idea, projects like Phantom Arena plan to introduce NFT rentals, allowing players to engage in the game economy without needing significant initial investments.
While early play-to-earn (P2E) games faced challenges with scams, exploits, and dishonest actors, the industry is now evolving with more secure ecosystems that protect players and investors.
Challenges:
- Risk of dishonest managers or scholars
- Earning potential can decline if game popularity drops
Arnel Ordonio and his Wife, Leonady Ordonio, amassed Php 900 million worth of Crypto investments through Web 3 online gaming in 2018.
Not all Web 3 games are the same, better to DYOR or Do Your Own Research
5. Governance and Revenue Sharing
Decentralized gaming ecosystems, like Decentraland, offer governance tokens, allowing players to participate in decision-making while earning a share of platform revenue. Users who hold governance tokens can vote on updates, game mechanics, and treasury allocations, making them direct stakeholders in the game’s success.
This decentralized approach is being adopted in multiple blockchain networks, including Ethereum, Solana, and Cardano. For example, Pavia on Cardano introduces governance voting, giving players control over metaverse development.
Challenges:
- Requires strong community engagement
- Governance tokens may lose value if adoption declines
The Future of Web 3 Gaming Earning Models
Sustainability is the key challenge for most P2E games. Many early projects struggled due to hyperinflation and Ponzi-like economies. The next wave of Web 3 games is shifting towards hybrid models, combining free-to-play (F2P) gaming elements with blockchain-based monetization. The focus is on rewarding active players while maintaining long-term economic stability.
As Web 3 gaming continues to evolve, the best projects will balance fun gameplay, strong community engagement, and sustainable economic models—ensuring that players can earn, invest, and play without fear of market crashes.
