The eventual downfall of Defi and NFT products and projects is as common as leaves falling off a tree. Projects often pump 10–15x and then dump 90% because of the amateurish nature of their token’s economic structure and the project’s longevity becomes jeopardized. As one of the most anticipated NFT Game projects of 2021, GemGuardian is designed to withstand the passage of time and selling pressure of conventional blockchain tokens. As a result, Dual Token Economy and Lootbox Income Flow Token models were born.
Dual Token Economy:
GemGuardian uses a Dual Token system to separate equity and medium of exchange. GEMG is the governance token that gives voting rights, profit share via staking, and can be used for purchases in the Lootbox; GEMG is similar to the equity of blue chip companies that appreciate as time goes on, with their utility being further enhanced by the regular dividends they pay. Gpay is the cash of the Dual token economy; used for transaction fees, burning, in-game rewards, and Lootbox purchases. In order to replenish the Gpay liquidity, GEMG tokens allocate a large portion of the tokens as game reserves. This model will keep the governance token appreciating while diverting selling pressure to the cash of the economy.
Lootbox Income Stream:
Lootbox is a mysterious gift box that players will need to purchase first to acquire NFT characters of either a Guardian or a Dragon. In addition, some Super Rare Characters can only be drawn from the box. A minimum of 1 Guardian and 1 Dragon is needed to start, therefore a minimum purchase of 2 Lootboxes will be needed. The price of a Lootbox is set to be pegged at 2 GEMG + 300 Gpay token per box. Players can have a maximum of 4 teams of NFT Characters per account. Each time a Lootbox is used, the following Lootbox Level will increase in price, and as a result the chances of drawing a Super Rare Character increases exponentially.
High Yield Game Reward and Staking Pool:
Due to the economic setup and the big income stream coming from Lootbox, GemGuardian can sustain a 500–700% APR in-game rewards and 300%+ APR staking rewards without putting selling pressure on GEMG Tokens. These are returns unseen in the NFT Gaming field on a consistent basis. As a result, GemGuardian projects an enormous influx of players to purchase GEMG to participate in this NFT Ecosystem. Due to the deflationary nature of the token, sustainability in profits, and stability in GEMG prices, GemGuardian isn’t just a luxury, it is a necessity.