Gala Games plans to make money from blockchain games by encouraging player engagement.
The plan at Gala is to develop games in a player-owned blockchain Node Ecosystem. Players develop and own both the games and the Nodes. Players also develop the games with input from a discord channel.
The Gala (GALA) cryptocurrency is the utility token that drives Node Ecosystem. Gala will reward people who develop games and Nodes with the Gala token. Similarly, players will pay for games and play with the Gala token.
Gala has had some success attracting players to its network. Gala claims to have 1.3 million active monthly users. In addition, Gala claims its users have sold 26,000 nonfungible tokens (NFTs) through the Gala Network. In addition, they claim somebody spent $3 million on the most expensive Gala NFT.
A Blockchain Network that Really Does Something
Unlike many blockchain projects, Gala actually has products (games and NFTs) for sale on its platform.
Currently, Gala offers at least three games, Spider Tanks, Mirandus, and Town Star. Gala could release two more games, Fortified and Echoes of Empire soon. Notably, there is Gala Store that allows to buy games and NFTs with Gala (GALA) up and running now.
Interestingly, anybody can operate a a Gala Network Node on his home computer. To get a Node you need to buy a license. Hence, Gala has turned the Nodes into a source of revenues which is smart. People can join the Gala Games Community by getting a Node.
The ultimate purpose of the Gala Game Platform is to create games that human beings want to play. One way Gala tries to develop those games with simple game mechanics. Note: I see no evidence that human beings are playing the Gala Games. However, Gala claims to have 1.3 million users.
What Value Does the Gala Coin Have?
The Gala Coin (GALA) is an ERC-1155 token that operates on the Ethereum blockchain. That allows, Gala to send both NFTs and GALA in a transaction. Hence, it is easy to integrate GALA and NFTs into games.
The Gala Token uses a smart contract to transmit NFTs. A smart contract is a digital algorithm that makes a transaction when you transmit the token.
Mr. Market assigns some value to the Gala Token. CoinMarketCap gave Gala a 9.2267₵ Coin Price, a $646.570 million Market Cap, a $3.248 Billion Diluted Market Cap, and a 24-Hour Market Volume of $232.493 million. They base those numbers on a Circulating Supply of 6.988 billion GALA and a Total Supply of 35.24 billion GALA. Additionally, CoinMarketCap listed Gala as the 222nd largest cryptocurrency and the Fourth Most Trending cryptocurrency on 20 September 2021.
In comparison, Etherscan gave Gala (GALA) a 9₵ Coin Price, and a Fully Diluted Market Cap of $3.77 billion on 20 September 2021. They base those numbers on a Maximum Supply of 35.551 billion GALA. Etherscan estimates there were 22,643 holders of GALA on 20 September 2021.
Gala operates in a growing industry with massive value. That industry is video games. Statista estimates that the value of the global video games market grew from $52.8 billion in 2012 to $104.57 billion in 2017 to $138.4 billion in 2021. Statista’s data shows the video game market is capable of enormous and steady growth.
I think Gala (GALA) is an interesting company with a good business plan. However, I see no evidence Gala is making money. Consequently, I advise speculators to watch GALA but not buy it, because I do not see large moneymaking capacity there yet.
Originally published at https://marketmadhouse.com on September 20, 2021.