# 2. Challenges

The current landscape of the crypto markets today lacks companies that offer the ability to connect Web2 with Web3 in gaming. There is no easy way to onboard new users into Web3. A wallet is required to bridge the funds to the correct network. It’s making gaming in Web3 way more difficult than downloading a game from Google Play or AppStore.

Another area where Web3 games have stumbled is in the onboarding process. Many newcomers need help navigating the complexities of setting up wallets, acquiring digital assets and connecting to decentralized platforms. To address this, game developers must prioritize user-friendly onboarding experiences that simplify the steps required to get started. 55.1% of developers see onboarding as the primary issue for the industry.

In the gaming industry, a predominant trend is observed, where a mere 2% of users, commonly referred to as "whales," contribute a substantial 95% of a game's revenue. Nevertheless, the remaining 98% of users play a pivotal role in enhancing the overall gaming experience.

Web2 games have extensively implemented microtransaction mechanisms, and bombard players with constant prompts to make purchases. This aggressive monetization strategy often leads to player exhaustion and diminishes the overall gaming experience, highlighting the need for a more player-centric approach in game design. In the realm of Web3 gaming, there's a prevalent focus on managing and ensuring the supply side, often overshadowing considerations for stimulating and meeting demand. This imbalance may lead to inefficiencies and missed opportunities in catering to gamers' needs and desires, highlighting a crucial area for improvement in the development and sustainability of Web3 gaming ecosystems.

The Play & Earn model seeks to rectify this imbalance by ensuring a more equitable distribution of profits and revenue. This approach compensates users who invest their time and effort into the platform, acknowledging the crucial role played by the broader gaming community in making games enjoyable.\
