E18: Internet Spaceships Are Serious Business (w/Dr.Eyjolfur Gudmundsson)
Nov 13, 2023
auto_awesome
Dr.Eyjolfur Gudmundsson, one of the world's first Game Economist, talks about the origin of EVE, his wins at CCP, the role of game economists, and the future of crypto in gaming.
Designing the initial institutions and mechanics of a game's economy is crucial to create a balanced gaming experience where the majority of players have fun.
The introduction of Plex, a game mechanic in Eve, helped stabilize the game's economy and prevent cornering, similar to the role of central banks in the real world economy.
Blockchain technology has the potential to enable the transfer and ownership of digital assets across different games, but challenges remain in ensuring belief in ownership and overcoming gatekeepers.
Deep dives
The Role of Game Economists in Designing the Game Economy
The podcast episode features a discussion with Dr. Ayo, the former head economist of CCP, the company behind the online game Eve. Dr. Ayo explains how he became the first game economist and highlights the importance of designing the initial institutions and mechanics of a game's economy. He emphasizes that the ultimate goal is to create a balanced economy where the majority of players are having fun. The episode delves into the concept of emergent gameplay in a sandbox environment like Eve, where player interaction and creativity play a crucial role in shaping the economy.
The Implementation of Plex and Market Stabilization
Another significant topic covered is the introduction of Plex, a game mechanic in Eve that allows players to obtain in-game currency indirectly with real-life money. Dr. Ayo reveals that the development team made a decision to participate in the Plex market to prevent cornering and maintain stability. He shares the experience of taking action to stabilize the market and compares it to the role of central banks in the real world economy.
The Potential of Blockchain Technology in Gaming
The discussion moves towards the potential adoption of blockchain technology in gaming. Dr. Ayo explains that blockchain creates digital scarcity, which adds value to in-game assets and enables ownership and transferability outside of the game environment. He envisions a future where players can take their digital assets from one game to another, creating a new world of value and property rights. However, he acknowledges that there are still challenges to overcome, such as gatekeepers and ensuring the belief in the ownership and transferability of blockchain assets.
The Importance of the Exchange of Real-Life Value in Gaming
The podcast episode discusses the significance of the exchange of real-life value in gaming, particularly focusing on the example of the game Eve Online. It highlights how players with little money but ample time can engage with the game by purchasing pilot licenses extensions using in-game currency (ISK) from wealthy players. This exchange creates a healthier game economy and a more fulfilling experience for both parties involved. The discussion emphasizes the necessity of both players with money and players with time in order for the gaming economy to function effectively.
The Future of Digital Consumption and the Implications for Gaming
The episode explores the future of digital consumption and how gaming plays a significant role in it. It highlights the potential of blockchain technology and cryptocurrencies in enabling the transfer and ownership of digital assets across different games and platforms. The discussion also raises the importance of creating a sustainable and enjoyable gaming experience, as play-to-earn dynamics and digital ownership become more prevalent. Additionally, the episode touches upon the need for effective communication between game developers and players, as well as the value of economic design in ensuring the success of web3.0 games and the broader digital landscape.
It's finally here...the EVE episode. The crew speaks to one of the world's first Game Economist, Dr.Gudmundsson, who helped manage and advise on one of gaming's most durable and well-known game economies...ever. We cover the origin of E.V.E. (a simulation!?), his biggest wins at CCP, the role of game economists, and if crypto has a future.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
