1. Little Sim World Introduction: NFTs and Tokens

Little Sim World is an Indie Open World 2D Life Simulator with RPG and planned multiplayer elements that has been in development since March 2019 for the PC and Mac. This article is written as a justification for the PC version of the game which will include both NFT and token features.

It is preferable to create a F2P PC version of Little Sim World with NFT features. A mobile NFT version of the game is undesirable in the foreseeable future and justification of all motivations will be discussed in this article. As a Life Simulator, we believe that Little Sim World is the perfect game to add both:

  1. NFTs to allow a store of value for in-game content such that they are non-fungible, giving our prooduct 'real-world value', feeding into the realisation of the metaverse which gives us a big headstart into the future.
  2. Tokens: LSWCoin (Name TBD), to allow for a unique currency that the players can play to obtain (similar to mining, but limited in resources). This is what will fundamentally propel the valuation of the game.

Terry's CV: https://tzj.io
Game Build 0.31y15: Onedrive Download Link (Windows/Mac)
Game Build 0.31y15: pCloud Download Link (Windows)

Website: https://lsw.gg (for screenshots)
Twitter: https://lsw.gg/twitter
Patreon: https://lsw.gg/patreon
YouTube: https://lsw.gg/youtube

The Little Sim World logo with London in the background skyline.

Full Title: Little Sim World
Tags: 2D, Life-Simulation, RPG, Open-World, Lifestyle, Cozy.
Base Price (PC): F2P, but pre-orders will effectively be the 'ICO'.
Planned Release Date: TBD (Steam/Epic or Propietary Launcher)
Engine: C#, 2D Unity 2020.
Team Location: Terry is based in Cambridge, UK (other members are working remotely). Registered in HMRC Companies House, UK.

NFTs are still in very early stages and is a great opportunity for decentralisation and store of value. Creating a great game today with NFT features will give us a large competitive advantage as there are currently no 'real' games on the marketplace that leverage NFTs and tokens.

Games in the past have demonstrated that digital assets can be worth significant amounts in real-world terms due to their scarcity and desirability. Some examples are:

Unfortunately, these marketplaces have a few fundamental flaws:

  1. The developers actively discourage real-world trading.
  2. Their scarcity can be entirely dictated by the developers, creating a centralised system.
  3. Games evolve over time, such that old items may lose value over time.
  4. These items can be easily 'lost' or 'hacked'.
  5. Risk of being banned from the game.

For these reasons, investors and avid games are strongly dissuaded from investing too heavily into the game as their assets are not protected or even necessarily 'their' property to begin with. In addition, they can also be easily hacked or removed by the developers.

We believe that Little Sim World can solve the above issues and is the ideal solution for NFTs as the game is based on player owned land that is non-fungible. By creating NFTs out of property, land, vehicles, cosmetic items and more, we would have a distinct advantage with NFTs and have effectively created the so-called 'metaverse' going into the future.

Axie Infinity and Decentraland have already attempted this with great success. However, their games are not released and from video previews, we can see that they are 'NFT first' and 'game second'. This strategy, in our opinion, is very dangerous as one must create a popular and successful game first before the NFT will hold inherent value. They have the 'first mover' advantage, but we believe their product is fundamentally inferior to our proposition.

NFTs, while fantastic, cannot be added to every game very easily. The major justification for NFTs in most game scenarios is that it is a store of wealth that cannot be taken by third parties or reproduced very easily (or at all, in most cases). This means effectively, the NFT holder is the only player in the world that is able to own a particular item and there is no risk of duplication. Since Little Sim World is a 'Life Simulator', there is a large number of resources within the game that can be converted into NFTs which would complement the gameplay, rather than subtract from it.

NFT Example of our in-game world. Each region will be split into NFTs which will be owned by players in the game. Therefore businesses will make money based on earnings and can be re-sold to other players effectively creating a virtual NFT marketplace.

Examples of NFTs that can be added to Little Sim World which would naturally complement gameplay:

  1. Land: landmarks in LSW can be converted into NFTs. Players must pay a certain amount of rent per unit time to be able to do business on the landmark. This is effectively a form of staking that players with NFTs will be rewarded with tokens over time based on player-driven traffic. The more traffic an area has, the more tokens the NFT owner will be rewarded with.
  2. Vehicles: certain vehicles styles can only be obtained using NFTs. These allow the player to move across the world more easily and being able to show off their hard-earned NFTs.
  3. Clothing: certain special and or limited edition clothing are NFTs. These allow the player to show off their cosmetics in the game world which would be unique to them.

All of the above features already have 'proof of concept' in other games in an albeit rudimentary form. For example:

  • In 'Second Life' (SL), players can own land, create their own clothing and more. Unfortunately, SL does not have NFTs and the game is somewhat outdated with gameplay that is insufficient for what modern gamers would enjoy. The prices of items in SL are very high as of today and is a perfect example of a functioning marketplace without NFTs and tokens. With NFTs and tokens added to LSW, we are effectively recreating a modern version of SL with significantly more potential.
  • IMVU is more player-friendly than SL, but suffers from the same problems as the aforementioned NFT issues in games like WoW. Credits are effectively infinite and therefore does not hold real-world value like LSW Tokens would.

These basic examples illustrate a basic hypothesis - there is already a proven desire to 'really' own digital assets in the virtual world. Unfortunately, this desire has not yet been delivered in existing games due to points already made in Section 3.

The Axie Infinity allocation and unlock schedule. External Link Here.

It is very desirable to create our own tokens for Little Sim World. This is because NFTs and in-game items should only be purchasable with our own tokens LSWCoin (Name TBD) if we would like a maximum return for our investment.

It is theoretically possible to avoid creating tokens together and only make NFTs such as what Lavalabs have done very successfully:

While their projects have made headlines, their marketplace uses Ethereum entirely and the original NFTs we distributed away for free. This means that effectively, this project sees very little to no ROI and is more of a passion project than a realistic long term investment for a serious game studio/VC.

Thus, we suggest that our tokens should only be obtainable via a few different methods:

  1. Play to Earn (for the gamers)
  2. Staking reward (mining)
  3. Private Sale
  4. Public Sale
  5. Advisors (investors)
  6. Team LSW Development Fund (for the developers)

This system will motivate the players to play the game and receive free coins as well as provide the development team with sufficient resources to continually develop the game. In a sense, LSWCoin will be somewhat decentralised but as we are unable to 'print more' coins as we please like the infinite inflationary systems that exist in both 'Runescape' and 'Final Fantasy 14 Online'. In other words, our system will be a far superior system to any non-token currency that currently exists in contemporary gaming.

Therefore, we will have two kinds of tokens:

  • In-game currency
  • LSW Tokens

In-game currencies can be earned by simply playing the game as this is required for basic functional gameplay. LSW tokens are given by mining/staking and purchasing our 'Initial Coin Offering' IPO. This token is what the player needs to buy NFTs. Both types of currencies are needed as if we only allow one token, it may be very difficult for the player to play the game naturally without tokens and that would pose a major problem to ordinary players who do not have as much capital to purchase tokens.

A big advantage of working on a n NFT/Crypto project based on the Life-Sim genre is that it naturally lends itself into Little Sim World. We are able to very easily implement game design that is complemented by the existence of NFTs and tokens without forcing unnecessary gameplay.

We can significantly reduce costs as a mobile or console ports of the game is not immediately necessary. By releasing a full PC game, we have already beaten our competition as most institutional or large cryto investors are already comfortable using the PC/Mac platform. It is unlikely that bringing the game 'immediately' to Mobile and Console would yield a large return.

NFT holders want to know the long term value of their asset and a 'promise' that mobile/console will come eventually is enough. In addition, we do not know of the stance of console publishers (Sony/Microsoft/Nintendo) on NFT products in their lineup. We suspect there may be a conflict of interest.

In general, it is usually desirable to shorten the development cycle of games if possible. However, we believe that NFT/Token based games are the exception.

In the end, a few unavoidable events will occur should LSW be successful:

  • The value of the NFTs and Coins will far exceed the value of the game itself, irrespective of how good the game is.
  • The valuation of the company will inevitably become a function of the NFT/Token value rather than the value of the game.

This means that, we should spend the maximum amount of time developing the best game possible. The tokens and NFTs can exist well before the game is launched. Gamers and investors are currently willing to pay astronomical sums of capital for NFTs that serve no functional purpose. We have a unique opportunity to allow the players to finally own an NFT/Tokens with actual tangible value rather than something that is in the realm of speculation.

This is natural, as is the case for all public companies that show great promise - people invest for the future prospect, not what the company is today.

Therefore, we strongly propose to not release LSW:NFT (the game) as soon as possible. The price generated by the valuation of the coin and NFT itself is going to be far more important short term than the game and thus a longer development time is preferable (longer development time means more time to make a great game).

  • nft.txt
  • Last modified: 16:59 17/09/2021
  • by Terry Jin