Sustainable and Deflationary Rewards

$WINS is a gaming rewards token designed to be sustainable and deflationary. Many infamous crypto games rewarded players with unbacked emissions, leading to boom-and-bust cycles with hyperinflation. $WINS addresses this problem by only releasing tokens thru public markets. Games that reward players with $WINS must purchase them from public markets, ensuring that supply is tied to demand and avoiding inflation. Moreover, $WINS endeavors to provide deep liquidity and active market-making to avoid volatile booms-and-busts.

For example, in the Trophy app, player rewards are always net deflationary, as the tokens underlying these rewards are backed by open market purchases by Trophy: if a player earns $5 worth of $WINS, then at least $5 of Trophy revenue was used to buy those tokens. This is unlike many "play-to-earn" games in which the tokens that players receive through rewards are not supported by market demand, thus creating an inflationary ecosystem. If a player redeems Gold for gift cards instead of $WINS, Trophy will still make purchases of $WINS that benefit the token ecosystem.

These demand-based emissions makes $WINS sustainable, unlike typical game tokens which rely on either inflation (rewards tokens unbacked by stable reserves) or growth (new users buying into the system). In order for gaming apps to reward players with $WINS, they must use revenue to use to buy $WINS in the open market and benefit the $WINS ecosystem and sustainability. Thus, $WINS always benefits as players earn more rewards. Typical web3 games become unsustainable as soon as growth flatlines, even if the playerbase is large, as there isn't net buy pressure in the token economy from new users. In contrast, $WINS is perfectly happy with a large but constant playerbase which consistently generates demand.

Last updated