Richard McLaren, co-founder of Polemos, envisions a transformative future for blockchain gaming where gamers and developers can rent out in-game Non-Fungible Tokens (NFTs) for profit. In an interview with Cointelegraph, McLaren unveiled a partnership between Polemos and the fantasy battle game Illuvium, aiming to facilitate easier entry for players into Illivium’s platform.
McLaren foresees a gaming landscape where players can rent NFTs for specific durations, granting them access to unique in-game items or the opportunity to explore new games. This innovative approach addresses a common hurdle in blockchain gaming, where significant upfront capital is often required. McLaren believes that allowing players to rent NFTs for shorter durations makes gaming more financially accessible, encouraging a broader audience to engage in these experiences.
Polemos introduces a non-collateralized NFT lending protocol called “The Armory,” which employs a pay-up-front model. McLaren emphasizes that this approach eliminates the need for players to provide collateral, making non-collateralized lending accessible to a wider audience.
While NFT game asset lending may seem niche, McLaren anticipates substantial growth, suggesting the market could reach 30% to 40% of the approximately $2.3 billion invested in NFT gaming in 2023. He explains that the rental model serves as a marketing expense for game studios, encouraging players to try different assets and games, thereby increasing sales and player retention.
The rental model not only benefits new players but also offers long-time players and game studios a means to earn income from unused in-game assets. McLaren envisions players receiving passive income, creating a positive retention mechanic that keeps them engaged in the game.
Addressing why game studios might choose Polemos over creating their lending services, McLaren emphasizes the appeal of decentralized public infrastructure. He notes that player ownership relies on public infrastructure, providing independence from the longevity of game studios. Polemos is currently finalizing its strategic pre-sale for a native token set to launch in mid-2024.
