Why I Invested in Castle Crush
0xFdC6
June 14th, 2022

Summary:

Castle Crush is a free-to-play mobile game available on Android and iOS. It has over 75 million lifetime downloads with 1.4 million active players. 40 000 of those 1.4 million users are playing the game at the highest level, spending time and money to compete in the different divisions.

How did I find the project?

I got a WL spot from Neo Tokyo.

What are they optimizing for? What are they sacrificing? There are always trade-offs.

The game is optimizing for scalability. It launched on Avalanche, which provides users with quick and cheap transactions. I’m not an expert on AVAX, I just know that they are working hard on their gaming ecosystem, utilizing a $290 million metaverse fund.

Castle Crush isn’t optimizing for decentralization, at least initially, and to be honest, I don’t think it needs to. If they can make it easy for players to trade NFTs on their phones, this would be a massive success.

What’s the high-level thesis about space? What do you think is true? How would the whole market play out? What do I believe will happen, and at what probability?

Last bull cycle we saw a lot of blockchain-first games launch, attracting players because they could make money. As we all saw, it was all fun and games until it wasn’t.

I believe in the next cycle, we will see a lot of web2 games adding an NFT/blockchain component to them. It would be easier for experienced game developers to make/add NFTs into their games than for crypto developers to create a killer web3 game.

Now, let’s talk about gaming platforms. While all the talk about VR/AR won’t stop, I bet that we are still a few years away from virtual gaming becoming mainstream. Most crypto games currently are playable on PC via a browser which is less than ideal.

This leads us to the real gaming money-maker - mobile gaming. Popular games like Clash of Clans are still generating millions of dollars in revenue. So there’s an opportunity for a mobile-first game to enter the web3 space and allow players to trade their characters as NFTs without needing to know about crypto. This is the opportunity where I see games like Castle Crush succeeding.

What I believe will happen is that crypto gaming won’t scale on ETH. For a retail-driven market like gaming, cheap chains like AVAX, SOL, BNB, or L2s like Polygon seem a better fit.

What’s the team behind the project? Would they be able to execute their vision and take advantage of the opportunity?

Castle Crush is built by Wildlife Studios, a mobile gaming studio that has achieved over 2 billion downloads across its portfolio of 60 games. They have created popular games like are Racing Clash Club, War Heroes, and Tennis Clash (I played that one a few years back.)

Wildlife Studios are beasts. They are the biggest reason why I’ll be investing in the project. Currently, in the crypto gaming space, we have a lot of teams with blockchain experience building crypto games without having much gaming experience.

Wildlife is completely the opposite. They are a mobile gaming studio with an impressive track record. This gives them a higher chance of success, given that they already know how to build addictive mobile games.

What’s the quality of the game? Does it have a lot of users? Is it growing like crazy?

I play the game daily, and it’s amazing. This means a lot coming from a dude who deletes any game after 3-4 battles. Castle Crush already has 1.4 million active players, 200 000 of which are daily active users. 40 000 of them play the game competitively, grinding in the top tears of the game.

Why It Can Succeed:

  • Castle Crush has a passionate and loyal player community, with over 200k daily active players, of which at least 40k play the game competitively, investing significant amounts of time and resources to compete at the top tiers of the game.
  • These web 2 players want to own game assets, so they could buy, sell and trade them as well as benefit from the in-game rewards.
  • They could attract web 3 gamers into an existing web 2 game while retaining their current player base.

Why It Can Fail:

  • The Apple and Google stores ban web3 games and NFTs.
  • Their current user base hates the NFT launch so much, that they stop playing.
  • Their treasury gets hacked, and they lose players’ trust.

How much did I invest?

I spent 82,25 AVAX on June 6th, which was worth around $2140.

It got me:

  • 2 Founder Chests (35 AVAX each.)
  • 4 Ascended Chests (3.5 AVAX each) - there was a 25% discount (I think) if you buy founder chests.
  • 2 Ascended Chests for free - for every founder chest you buy, you get 1 founder chest for free.
Arweave TX
N54xQaTlVI9C2---rMrgnO-j1DSw6PAcuEHrWsgvy6g
Ethereum Address
0xFdC6e877C3Ab15943c13C3B2E1CF7c1f8BB67c26
Content Digest
6rzFSXXX2z20rqJehV097U2rAB4XycKjOES3Ye8pZbc