In recent years, Gala Games, the crypto gaming project, has undergone a significant transformation, particularly in its tokenomics. Back in 2020 and 2021, Gala Games didn’t appear very promising due to its heavy overshielding and what some might call terrible tokenomics, especially during the bull market. The project’s high inflation rate and low initial circulating supply left much to be desired.
However, fast forward to today, and Gala Games seems to be on a different trajectory. Let’s delve into their updated tokenomics and why this change is significant.
For those not familiar with Gala Games, they are a web 3 game store and publisher, akin to Steam, with an array of games, music, and film sectors. These games are powered by Gala tokens and Gala ecosystem nodes.
In the previous bull market, Gala Games’ nodal model garnered a lot of attention. It allowed people to buy Gala nodes and earn passive income. But this model had its downsides, as it was reminiscent of play-to-earn farming models of the 2021 bull market.
The problem lay in Gala’s market cap and circulating supply during the bull market peak. At that time, the market cap exceeded $5 billion, with the price of Gala tokens at around $7. However, only 14% of the total tokens were in circulation, leading to an inflated price and disproportionately high rewards for early node providers.
Now, Gala’s tokenomics have seen a significant change. The total supply of Gala tokens is clearer and stands at 27 billion tokens, with 2 billion tokens held in reserves by the Gala Games team.
Gala’s maximum total supply is now 29.1 billion tokens, as they burned over 20.9 billion tokens earlier this year. The total supply is 27 billion, with 2 billion held by the team.
The inflation rate is currently at 0.5% per month, or about 5% for the year, and will reduce further due to halving events. The team holds just 6.7% of the total supply, and node operators can’t dump tokens due to reduced earnings.
$GALA (update)
— Clifton Fx (@clifton_ideas) October 26, 2023
Falling Wedge Upside Breakout is Already Done in Daily Timeframe..
Expecting Massive Bullish Wave📈#GALAUSDT #GALA #Crypto pic.twitter.com/XJxsRaYZ5c
This shift in tokenomics signifies that Gala Games is entering a new phase, and it’s a promising time for potential investors, despite recent FUD and lawsuits. The project’s potential is now better aligned with investor interests, making it an attractive prospect. Gala Games has come a long way from its earlier tokenomics and is now setting its sights on a more balanced and promising future
