Can WEMIX (WEMIX) become one of the leading GameFi platforms?

Many developers of decentralized gaming platforms face the problem of insufficient blockchain performance, which prompts them to create networks focused on the GameFi industry. WEMIX is just one such project.

What is Wemix?

WEMIX is a decentralized gaming blockchain platform based on the Ethereum Virtual Machine (EVM). The platform is developed by South Korean game studio Wemade Tree, a subsidiary of Wemade, founded in 2000 and which has released games such as:

Icarus,
Lost Saga,
The Legend of Mir II and III,
Avalon Online, and numerous others.

The WEMIX project itself was founded in 2018. Initially, WEMIX did not have a leading network. In 2021, the project developers launched the WEMIX NFT trading platform and the WEMIX DEX decentralized exchange based on the Klaytn blockchain. The first flagship game from WEMIX, MIR4, launched in 2021, was a resounding success, gaining over 1.4 million concurrent users just four months after launch and effectively leading the P2E (Play-to-Earn) market.

In October 2022, the project team launched its blockchain network called WEMIX3.0, targeting the GameFi market. The platform was designed to address the main problems of most current blockchain games:

fragmentation (lack of interconnectivity between blockchain gaming platforms),
the significant burden on developers,
and the short lifespan of many games.

Developers are positioning their WEMIX3.0 platform as a "mega-ecosystem of Web3 platforms."

How does WEMIX3.0 work?

The WEMIX3.0 blockchain platform is based on the Stake-based Proof of Authority (SPoA) consensus mechanism, which provides throughput of up to 4,000 transactions per second and low transaction costs without compromising network security. The mechanics of WEMIX3.0 are similar to the Avalanche blockchain platform but focused on decentralized games.

The developers also introduced their own decentralized On-Chain Governance module based on the 40 Node Council Partner (NCP) system, which provides transparency and reduces the risks of centralized control over the network.

The WEMIX3.0 platform itself is based on a hybrid or multichain architecture consisting of multiple sub-networks (subchains) divided into three tiers:

The first tier is "service" or private subchains for processing all gaming transactions;
Second tier — "public" subchains for managing digital assets and processing non-gaming transactions (intra-network and inter-blockchain transfers, exchanges, and so on);
The third layer is bridge subchains for asset transfers within the entire WEMIX.0 ecosystem

WEMIX ecosystem

The WEMIX3.0 platform ecosystem includes 13 Web3 applications such as:

WEMIX Play,
NILE,
WEMIX.FI,
WEMIX$,
Papyrus and others.

Let's list only the most basic ones aimed at average users.

According to the developers, WEMIX Play is the world's largest and fastest P2E gaming platform. WEMIX Play features more than 65 P2E games in different genres, each with its native token.

NILE is a next-generation decentralized autonomous organization (DAO) community platform designed to simplify project management based on the Neith Protocol's programmable smart contract mechanism.

WEMIX.FI is a proprietary multi-functional DeFi platform providing exchange (swaps), crypto-loans, staking, farming, and token portfolio management services.

WEMIX$ is a protocol for issuing stablecoins with the same name as the platform. The WEMIX$ stablecoin is backed by hybrid assets such as USD Coin (USDC) and fiat currencies. WEMIX$ has a capitalization of only $14.5 million, but this has almost tripled in the last year. Until December 2023, the rate of the stablecoin was relatively stable, but then it lost its peg to the US dollar, rising above and below $1.

WEMIX token

WEMIX is the primary native cryptocurrency of the WEMIX3.0 blockchain platform. WEMIX was initially issued as a KIP-7 standard token based on the Klaytn blockchain. However, after the launch of the leading WEMIX3.0 network in 2022, the token was renamed WEMIX Classic, and the native cryptocurrency was named WEMIX.

The WEMIX cryptocurrency is used for network fees, management, staking, and as a medium of exchange and collateral asset. WEMIX is generated by mining, which is similar in many ways to staking. With each block mined, 1 WEMIX is generated (mined), which is distributed among NCP (50%), the ecosystem fund (25%), and stakers (25%).

WEMIX has a capitalization of $927.6 million, and the cryptocurrency is ranked 69th on CoinMarketCap. Currently, 351.7 million WEMIX are traded on the market out of 949.6 million reserved. WEMIX is an inflationary cryptocurrency as it does not have a maximum issuance.

Since the beginning of the year, the price of WEMIX has increased more than 7 times from $0.36 to $2.64. The price maximum of WEMIX was recorded at $24.68 in November 2021, after which the rate began to decline amid the general decline of cryptocurrencies.

The WEMIX3.0 platform has two other tokens in addition to the WEMIX cryptocurrency and the WEMIX$ stablecoin:

LST token stWEMIX (the liquid staking token that WEMIX stakers receive);
WWEMIX is the native DEX token of the WEMIX.FI exchange.

However, both of these tokens have minimal market capitalization and low liquidity, so focusing on them doesn't make sense.

Future of WEMIX

WEMIX has at least two positive growth factors. Firstly, the project was created by a subsidiary of the well-known game developer Wemade, which has a large user base. To prove this fact, it is enough to mention again the success of the MIR4 game, released by the team of this project.

Secondly, WEMIX is focused on the Asian market, which has a significant share in the crypto industry. As the crypto industry grows, the user base of GameFi in general and P2E games in particular will also grow. WEMIX ranks 6th among GameFi platforms and is ahead of the popular Decentraland and Gala.