GMT prices rebound or due to the upcoming new release, under the sluggish growth of old projects, FSL launches a product matrix strategy.

GMT prices see a resurgence thanks to upcoming new release, as FSL implements product matrix strategy amidst slow growth of older projects.

Author: Nancy, LianGuaiNews

With the popularity of Chain Games Bigtime, the long-muted Chain Games track finally got lively with the “east wind”. As GameFi fever returns, the token GMT of the once phenomenal product StepN has also begun to recover in price recently. In addition to the rotating impact of market hotspots, the upcoming new game Gas Hero, which will be launched at the end of this year, also adds “fuel” to the price recovery. However, the slump of former popular products and the lukewarm response of several new projects have also raised questions about the future prospects of GMT.

With obvious signs of a rebound in the GameFi market, GMT has shown good market performance. According to CoinGecko data, in the past 7 days, GMT has experienced a maximum increase of 25%, but it is still down about 95.3% from its all-time high. At the same time, GMT’s daily trading volume has also skyrocketed, with the highest increase of more than 204.3% in the past 7 days.

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However, it should be noted that since March of this year, GMT has faced large-scale unlocking by its investors. According to Token Unlocks data, as of November 1st, the circulating supply of GMT is about 1.28 billion coins, accounting for 21.4% of the total supply, with 68% of the tokens still unlocked. In addition, to prolong GMT’s growth, StepN launched a quarterly buyback and burn in April last year, planning to purchase 10,000 SOL (equivalent to $1 million) worth of GMT per day until the funds are exhausted (approximately $26 million). However, some community users have expressed that the latest announcement regarding GMT buyback and burn has been delayed for ten days without updates. According to Dune’s monitoring of GMT burn on Polygon, Ethereum, Solana, and BSC, the daily burn volume of GMT on pMGT, sMGT, bMGT, and bMGT is all 0.

As a top player in Chain Games, StepN once successfully ignited the GameFi Summer with the P2E concept, and its governance token GMT continuously reached new highs during the gold rush. However, its price has been declining due to multiple factors such as the tightening of the financial environment, the expulsion of mainland Chinese users, and game mechanics. In order to further maintain and empower GMT, on the one hand, StepN developer Find Satoshi Lab (FSL) continues to promote the development of StepN, including airdropping tokens to Genesis Sneaker holders, becoming the first Chain Games application integrated with Apple LianGuaiy, and integrating Apple Music into the platform.

However, StepN seems to struggle to retain its continuously declining user base. According to Dune data, as of October 30th, StepN’s monthly active users have decreased by 81.5% compared to the beginning of this year, and it has shrunk by nearly 98.8% compared to the peak of 705452 in May 2022. Looking at the proportion of active daily users, new users have increased from 5% at the beginning of the year to the current 15.5%, while old users have decreased from 95.1% to 84.5%.

On the other hand, FSL has launched several new projects, including the multi-chain NFT marketplace MOOAR and the decentralized exchange DOOAR, even resorting to layoffs to focus on developing these new projects. However, the market performance of these new products seems to be less than ideal, for example, according to DefiLlama data, the TVL of DOOAR is less than $6 million since its launch.

Subsequently, the FSL team turned its attention to the gaming track in which they excel. “Gas Hero” is a social strategy blockchain game announced by FSL in July this year. The game announced that it will conduct community testing from November 24 to December 8. It plans to open testing qualifications to 3,000 users including Gas Hero badge holders, Find Satoshi Lab ambassadors, and partners. All assets from the community testing will be on the Polygon Mumbai testnet and will not be transferred to the mainnet after the public beta.

It is reported that “Gas Hero” chose to be exclusively deployed on the Polygon network and use GMT as the transaction currency instead of issuing a new token. The FSL team has also explained that “Gas Hero” hopes to create a truly native and fun game on Web3 rather than just attracting traffic. They believe that there is not much difference between issuing a new token and using GMT, and they are more willing to empower GMT in the long run. At the same time, the team also revealed their optimism for the social track, stating that “the next user market will be a behavioral social one, where interactive behaviors in a constructive social environment will bring many people together.”

The value of GMT can also be seen from the gameplay of “Gas Hero”. The core gameplay of strategy games is resource acquisition and consumption, so in “Gas Hero”, upgrading, forging, and campaigning all require GMT as consumables. For example, the badge floor price is about 27,000 GMT, and the hero floor price is 1,400 GMT. However, the total supply of GMT is limited.

Of course, FSL has high expectations for “Gas Hero”. In July of this year, when selecting the artistic image of the characters in the early stage of the game, the team invested about 2 million GMT and offered a 2% royalty to market and create hype. At the same time, the game initially allows a capacity of about 130,000 players, but the gameplay and technical framework can be expanded to accommodate over 6 million people, while StepN has a total registered user base of 5.4 million.

In addition, FSL has also ventured into crypto investments. Since announcing the establishment of a strategic investment department in May this year, FSL has publicly announced 4 investments, including Web3 project HypeSaints, wallet Versa, Mahjong blockchain game Mahjong Meta, and metaverse company GigaSLianGuaice.

All in all, the positive news mentioned above has created a short-term boost effect on GMT. Although they have created hit products in the past, the continuous decline in the GMT token has largely eroded FSL’s reputation. It remains to be seen whether FSL can once again leverage the GameFi trend and the upcoming release of the sequel to regain traffic and revive its reputation.

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