In Brief:
- Venom Foundation launched ethical guidelines aimed at promoting sustainable practices in play-to-earn gaming.
- The framework, developed with ecosystem partners, emphasizes tokenomics, player protection, and business model integrity.
- This initiative targets the “pyramid-like” structures that have damaged trust in the GameFi sector.
Venom Foundation introduces new guidelines
Venom Foundation unveiled a new set of ethical guidelines focused on enhancing sustainability in play-to-earn gaming. This initiative, created in collaboration with partners including TimeSoul, NFTWoood, and Meerkat Coin, aims to reform the GameFi sector by addressing the flaws that have led to a loss of trust among players.
The guidelines come amid ongoing challenges in the sector, particularly following the collapse of projects that promised high returns but faltered when new players stopped entering. This long-standing issue has drawn criticism, with many developers accused of prioritizing referral schemes and inflationary tokens over genuine gameplay. Venom’s framework seeks to provide a path towards building resilient and trustworthy gaming environments.
Christopher Louis Tsu, CEO of Venom Foundation, described the guidelines as a significant moment for the industry. “Projects that survive the next cycle will be those that built real economies from the start, not those that are optimized for short-term inflows,” Tsu said.
Focus areas of the guidelines
The framework is structured around three key pillars. First, it advocates for sustainable tokenomics, encouraging developers to transition from conventional play-to-earn models to play-and-earn systems. This change aims to reward genuine participation, with suggestions including token burns, emissions that vary with network activity, utility-focused tokens, and vesting schedules to limit sudden token dumps.
Second, the guidelines emphasize player protection, recommending various measures to mitigate exploitation and enhance transparency. These include earnings caps, anti-whale controls, skill-based progression requirements, public dashboards for emissions rates, and multi-signature governance for critical protocol changes.
The third pillar involves guaranteeing business model integrity. Venom warns against projects overly reliant on new user recruitment and entry fees, labeling such models as structurally fragile. The guidelines stress the importance of demonstrating economic sustainability before scaling.
Ecosystem examples
Venom cites several ecosystem projects as exemplars of these principles. TimeSoul integrates motivational elements with mental health and educational content, aiming for a meaningful player experience. NFTWoood connects $NFT ownership to real-world tree planting, allowing asset value to grow alongside tree growth. Meerkat Coin prioritizes challenge-based rewards earned through active participation.
Venom Foundation invites additional developers to engage with its grant programs and technical support, highlighting its capacity for supporting responsible GameFi systems. With an emphasis on connecting gaming economy to player experience, the foundation urges developers to rethink their approach to token rewards.