Immutable X alternatives – the best blockchain for your game

Maciej Zieliński

17 Jan 2022
Immutable X alternatives – the best blockchain for your game

Recently, launching an NTF game has become a lucrative investment option. Therefore more and more entrepreneurs seek to find reliable tools that will enable them to launch their own title. Currently, the one created by Immutable and StarkWare seems to be particularly popular. But what are the Immutable X alternatives? 

Table of Contents 

  • Polygon 
  • Immutable X
  • Solana NFT 
  • Scaling solutions for NFT
  • Gas fees 

Polygon 

Immutable X alternatives: Polygon
Immutable X alternatives: Polygon

Polygon, formerly known as the Matic network, is a secure and scalable solution, that uses side-chains of the blockchain to provide faster and cheaper transactions on Ethereum. In many ways, it resembles other Layer 2 projects such as Avalanche and Cosmos, but according to its creators, it is much more efficient and secure. The practice seems to confirm this. 

Ethereum compatible blockchain networks 

Ethereum is the most widely used blockchain protocol, but it has a number of limitations, including:

  • High transaction costs 
  • Low throughput 
  • Problematic UX  

They are a challenge for blockchain products, including NFTs’ ones, especially because they highly decrease scalability. High gas fees and low fees are particularly detrimental for projects where multiple NFTs are regularly minted and traded, as is in the case of NFT games. 

Therefore, many projects are now exploring the use of Ethereum-compatible blockchain networks as a way to mitigate these limitations while leveraging the benefits of the entire ecosystem. Such networks are called Layer 2 solutions. (You can read more about Layer 2 solutions here). Polygon is definitely one of the most promising. 

As a Layer 2 solution, Polygon addresses the diverse needs of developers by providing tools to create scalable dApps that prioritize security, modularity, and UX. This is made possible through a protocol architecture consisting of Proof of Stake (PoS) Commit Chains and More Viable Plasma (MoreVP).

In a nutshell, the operation of the Matic network relies on Commit Chains, which are transaction networks that run on the main blockchain, Ethereum. Commit Chains to combine transactions into batches, which are then confirmed in bulk before returning the data to Ethereum.  

Zero gas fees 

First thing first: On the Polygon network one can mint, buy, and transfer ownership of NFT for free. Yes, that’s right. Quite a great advantage compared to Layer 1 of Ethereum where minting one NFT can cost even more than $100. 

This is particularly important for NFT games, where multiple NFTs are minted and traded. Polygon network can support it at a low cost, without compromising the security or traceability that Ethereum main network provides. 

Furthermore, Polygon’s NFTs can be easily traded ETH tokens. This will be very convenient for your players, as ETH is one of the most popular, and stable cryptocurrencies, which is present on almost every exchange ( both CEXs and DEXs). 

Immutable X alternatives: Solana
Immutable X alternatives: Solana

Solana 

Contrary to the other protocols mentioned in this article, Solana isn’t a Layer 2 solution based on Ethereum. It's a completely different blockchain. 

Launched in 2020 by the Solana foundation, Solana Blockchain aims to solve scaling problems that struggle with most of the contemporary blockchain protocols. Its main objective is to support Defi ecosystem growth by fitting in the so-called blockchain trilemma: decentralization, security, and scalability.

Combining those three factors seems to be the holy grail of the blockchain world. Many projects succeed in supporting one or even two of the factors, but fail when it comes to others. Solana engineers believe that they have implemented all three.

Solana is a third-generation blockchain that, unlike other blockchains, uses a hybrid consensus algorithm. To be more precise, it combines proof-of-history (PoH) with proof-of-stake (PoS). Due to that, it’s able to process over 50,000 transactions per second.

For comparison, Ehereum can’t handle more than 30 at the same time. Now you know why expectations toward Solana are so high.

Another significant problem with Ethereum’s Layer 1 is the gas fee. Gas fees are a pivotal issue for NFT games because minting and trading NFTs on-chain require paying them. Essentially it would be almost impossible to build NFT games only on Layer 1 because running it would be too expensive both for players and creators. And even if it were possible, the circle of potential players would be extremely narrow. Here, again we go back to problems with scalability.

This is why NFT games’ creators seek to find other protocols that will offer lower fees. As we mention, Solana is definitely one of them. It offers almost zero gas fees. What does it mean? Ethereum gas fee can easily go over $100 when on Solana average cost per transaction is only … $0.00025. Without a doubt, that’s a significant difference.  

Minting NFTs on Solana 

Ok, so we have a fast, very promising blockchain with quickly increasing popularity. Why shouldn’t we use it for NFT minting? Many of the recently emerged NFT projects prove that it might be a tremendous idea. 

Thanks to its speed and low fees, Solana is a perfect solution for every NFT project that involves minting and trading a lot of them. Of course, that includes NFT games. But that’s not everything. Using Solana blockchain it would be even possible to perform most of the game’s mechanics on-chain. 

Immutable X alternatives
Immutable X alternatives

Immutable X

Talking about alternatives for Immutable X, we couldn’t forget about … Immutable X . There are good reasons why it’s considered a milestone for playable NFTs. 

Released in April 2021 Immutable X is the first Layer 2 solution dedicated to playable NFT tokens. Even behind its creation stand game’s developers - Australian team Immutable, responsible for the NFT-based card game - Gods Unchained. They aimed to allow for mass adoption of NFT in games

As one of the multiple blockchain systems, Immutable X was built on top of the scaling Layer 2 technology created by StarWare. Thus, the platform became the first Layer 2 solution dedicated to NFT. This allows users to take advantage of the security provided by Ethereum without having to pay gas.

An alternative to using the Ethereum ecosystem could be to create an entirely new, faster blockchain protocol with a different method of obtaining consensus or to develop side chains that process transactions in their own way. However, according to the creators of Immutable X, such solutions would be insufficient, as they would most likely not reach the level of security that Ethereum guarantees. 

It is security that seems to play a key role here: "If security fails, the same thing happens to the authenticity of NFT, and that would have nightmarish consequences." say the platform's developers.

Optimized NFT  creation

One of the biggest advantages of the platform is the Immutable X Mint tool, which allows you to easily and securely create and distribute ERC-721 and ERC-20 tokens. Its biggest advantages are:

- Zero gas fees

- Immediate ability to trade newly created assets

- Same security as the main Ethereum network. 

Launching your own NFT game is a complicated process. Therefore, any help may be useful. Luckily, Immutable X creators are one of the most cooperative in the whole industry.

If you want to launch your own NFT game you can seriously count on them. They will guide you through their solution, provide development consultations, and in some cases even help with marketing campaigns and scaling. 

Completely carbon neutral 

According to its creator, Immutable X aims to become the first completely carbon neutral NFT focused project in the game. 

Immutable X as a Layer 2 solution is far more energy-efficient than Ethereum. Therefore creating NFT on it entails lower carbon emission. Yet, that's not everything. The platform claims that it will buy carbon credits to offset the energy footprint of any NFT on it. They will continue that practice until Ethereums’s Layer 1 will become fully proof-of-stake. 

NFT game development with Nextrope 

Choosing the right technology solutions can be the first step for the tremendous success of your project. However, you should be aware, that launching an NFT game that will attract a global audience will require great skills and knowledge regarding both the technical and business sides of the Blockchain industry. That’s why many projects decide to hire an external blockchain company as a technological partner.

At Nextrope, we can call ourselves pioneers of Blockchain technology in CEE. We conducted one of the first tokenization in the world and since that we keep up to date with the industry. NFT games aren’t an exception. 

Do you want to know how Nextrope’s team can boost your NFT game on a new level? Feel free to contact our specialists who will gladly answer all your questions.

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Aethir Tokenomics – Case Study

Kajetan Olas

22 Nov 2024
Aethir Tokenomics – Case Study

Authors of the contents are not affiliated to the reviewed project in any way and none of the information presented should be taken as financial advice.

In this article we analyze tokenomics of Aethir - a project providing on-demand cloud compute resources for the AI, Gaming, and virtualized compute sectors.
Aethir aims to aggregate enterprise-grade GPUs from multiple providers into a DePIN (Decentralized Physical Infrastructure Network). Its competitive edge comes from utlizing the GPUs for very specific use-cases, such as low-latency rendering for online games.
Due to decentralized nature of its infrastructure Aethir can meet the demands of online-gaming in any region. This is especially important for some gamer-abundant regions in Asia with underdeveloped cloud infrastructure that causes high latency ("lags").
We will analyze Aethir's tokenomics, give our opinion on what was done well, and provide specific recommendations on how to improve it.

Evaluation Summary

Aethir Tokenomics Structure

The total supply of ATH tokens is capped at 42 billion ATH. This fixed cap provides a predictable supply environment, and the complete emissions schedule is listed here. As of November 2024 there are approximately 5.2 Billion ATH in circulation. In a year from now (November 2025), the circulating supply will almost triple, and will amount to approximately 15 Billion ATH. By November 2028, today's circulating supply will be diluted by around 86%.

From an investor standpoint the rational decision would be to stake their tokens and hope for rewards that will balance the inflation. Currently the estimated APR for 3-year staking is 195% and for 4-year staking APR is 261%. The rewards are paid out weekly. Furthermore, stakers can expect to get additional rewards from partnered AI projects.

Staking Incentives

Rewards are calculated based on the staking duration and staked amount. These factors are equally important and they linearly influence weekly rewards. This means that someone who stakes 100 ATH for 2 weeks will have the same weekly rewards as someone who stakes 200 ATH for 1 week. This mechanism greatly emphasizes long-term holding. That's because holding a token makes sense only if you go for long-term staking. E.g. a whale staking $200k with 1 week lockup. will have the same weekly rewards as person staking $1k with 4 year lockup. Furthermore the ATH staking rewards are fixed and divided among stakers. Therefore Increase of user base is likely to come with decrease in rewards.
We believe the main weak-point of Aethirs staking is the lack of equivalency between rewards paid out to the users and value generated for the protocol as a result of staking.

Token Distribution

The token distribution of $ATH is well designed and comes with long vesting time-frames. 18-month cliff and 36-moths subsequent linear vesting is applied to team's allocation. This is higher than industry standard and is a sign of long-term commitment.

  • Checkers and Compute Providers: 50%
  • Ecosystem: 15%
  • Team: 12.5%
  • Investors: 11.5%
  • Airdrop: 6%
  • Advisors: 5%

Aethir's airdrop is divided into 3 phases to ensure that only loyal users get rewarded. This mechanism is very-well thought and we rate it highly. It fosters high community engagement within the first months of the project and sets the ground for potentially giving more-control to the DAO.

Governance and Community-Led Development

Aethir’s governance model promotes community-led decision-making in a very practical way. Instead of rushing with creation of a DAO for PR and marketing purposes Aethir is trying to make it the right way. They support projects building on their infrastructure and regularly share updates with their community in the most professional manner.

We believe Aethir would benefit from implementing reputation boosted voting. An example of such system is described here. The core assumption is to abandon the simplistic: 1 token = 1 vote and go towards: Votes = tokens * reputation_based_multiplication_factor.

In the attached example, reputation_based_multiplication_factor rises exponentially with the number of standard deviations above norm, with regard to user's rating. For compute compute providers at Aethir, user's rating could be replaced by provider's uptime.

Perspectives for the future

While it's important to analyze aspects such as supply-side tokenomics, or governance, we must keep in mind that 95% of project's success depends on demand-side. In this regard the outlook for Aethir may be very bright. The project declares $36M annual reccuring revenue. Revenue like this is very rare in the web3 space. Many projects are not able to generate any revenue after succesfull ICO event, due to lack fo product-market-fit.

If you're looking to create a robust tokenomics model and go through institutional-grade testing please reach out to contact@nextrope.com. Our team is ready to help you with the token engineering process and ensure your project’s resilience in the long term.

Nextrope Partners with Hacken to Enhance Blockchain Security

Miłosz

21 Nov 2024
Nextrope Partners with Hacken to Enhance Blockchain Security

Nextrope announces a strategic partnership with Hacken, a renowned blockchain security auditor. It marks a significant step in delivering reliable decentralized solutions. After several successful collaborations resulting in flawless smart contract audits, the alliance solidifies the synergy between Nextrope's innovative blockchain development and Hacken's top-tier security auditing services. Together, we aim to set new benchmarks, ensuring that security is an integral part of blockchain technology.

Strengthening Blockchain Security

The partnership aims to fortify the security protocols within blockchain ecosystems. By integrating Hacken's comprehensive security audits with Nextrope's cutting-edge blockchain solutions, we are poised to offer unparalleled security features in our projects.

"Blockchain security should never be an afterthought"

"Our partnership with Hacken underscores our dedication to embedding security at the core of our blockchain solutions. Together, we're building a safer future for the industry."

said Mateusz Mach, CEO of Nextrope

About Nextrope

Nextrope is a forward-thinking blockchain development house specializing in creating innovative solutions for businesses worldwide. With a team of experienced developers and blockchain experts, Nextrope delivers high-quality, scalable, and secure blockchain applications tailored to meet the unique needs of each client.

About Hacken

Hacken is a leading blockchain security auditor known for its rigorous smart contract audits and security assessments. With a mission to make the industry safer, Hacken provides complex security services that help companies identify and mitigate vulnerabilities in their applications.

Looking Ahead

As a joint mission, both Nextrope and Hacken are committed to continuous innovation. We look forward to the exciting opportunities this partnership will bring and are eager to implement a more secure blockchain environment for all.

For more information, please contact:

Nextrope

Hacken

Join us on our journey to deliver top-notch blockchain tech and a safer future for the industry!