In a bid to show round its lagging momentum, UAE-based workforce shooter Farcana has launched a brand new FAR token staking program.
Providing 60% APR on staked FAR, this system is without doubt one of the highest incentives amongst present web3 video games. However as with a big majority of tokens launched in 2024, FAR has not carried out nicely, down 96% since its February 2024 launch.
“The decline (of FAR) displays early itemizing choices that, whereas initially driving momentum, highlighted the necessity for extra sturdy utility throughout the ecosystem,” commented Farcana founder and CEO Ilman Shazhaev in a publish on X.
“Till the sport goes dwell, our token has been predominantly pushed by hypothesis – a mannequin that, whereas efficient within the brief time period, doesn’t construct sustainable progress,” he continued. “That’s why FAR has additionally underperformed within the present market.”
Because of releasing its new staking system, FAR has jumped by 24%. It’s additionally reached quantity two as probably the most traded asset on crypto change Bybit. Though excellent news for the venture short-term, there’s a bigger development plaguing altcoins extra usually, and web3 gaming tokens particularly.
As the next graph reveals solely six of the highest 20 gaming tokens haven’t declined in worth throughout 2024.
This concern was additionally not too long ago addressed by Animoca Manufacturers chairman Yat Siu, who’s plainly said that these tokens have failed to realize traction. Regardless of of – or relatively due to – an growing market cap for altcoins, the sheer variety of new tokens in 2024 has “enormously diluted total consideration” for particular person altcoins, inflicting weak worth efficiency.
Siu goes on to counsel that institutional participation, equivalent to within the case of Bitcoin, is crucial for the longevity of those diluted tokens, because it may each improve belief and usher in substantial long-term capital. A far cry from the speculation-driven buying and selling that’s overshadowed most of crypto gaming tokens up to now.
In the meantime, Shazhaev added, “Staking is simply step one in creating long-term stability and utility for the token.”
“We wish our holders to place their tokens to work whereas we proceed to construct out the Farcana ecosystem, slowly however absolutely.”
Customers desirous to stake their FAR tokens want to attach their pockets to Polygon, which can also be one in all Farcana’s seed traders. Amongst others collaborating within the $10 million seed spherical introduced on the finish of 2023 have been Animoca Manufacturers, Fenbushi Capital, and Benefit Circle.
