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Algorithmic In-Game Reward Pools
Play to earn economies tend to be unstable after initial player growth decreases, leading to huge selling pressure on the in-game token, reducing the incentive to play the game and crashing token price.
In-game earnings are derived from an algorithmic pool system that rewards players with access to higher earnings for progressing in the game. The pools are designed to replenish themselves regularly to provide a balanced distribution of earnings for new players whilst also providing additional rewards for advanced players to incentivize player advancement and purchase of powerful weapons/armor.
The end goal here is to follow the 80/20 rule. 20% of the players should be earning 80% of the rewards and vice-versa, 80% of the players should be earning 20% of the rewards. This creates a balanced ecosystem where weapons and armor have significant value as they can speed up progression and help players complete higher level quests to increase earnings significantly.