Overview
Yield Guild Games (YGG) is a decentralized gaming guild and Web3 gaming platform that rose to prominence during the play-to-earn (P2E) boom of 2021-2022. The original model was innovative: YGG purchased in-game NFT assets (primarily Axie Infinity Axies) and lent them to players (scholars) in developing countries who couldn't afford the upfront cost, splitting the earnings.
The scholarship model worked spectacularly when P2E economies were booming, providing income to thousands of players in the Philippines and other countries. When P2E economics collapsed — led by the Axie Infinity implosion — YGG's core business model evaporated. The team has since pivoted to a broader Web3 gaming platform with quests, credentials, and game discovery, but the token has suffered massive value destruction.
Gameplay
Score: 3/10
YGG itself is not a game — it's a guild and platform that connects players with games. The "gameplay" experience is indirect: users engage with YGG through quests, missions, and playing partner games. The YGG quest system provides structured gaming tasks and rewards, but the quality of the experience depends entirely on partner games, many of which are mediocre. The original scholarship model provided a compelling "play and earn" loop, but this has largely disappeared. YGG's contribution to gameplay is organizational and discovery-oriented rather than directly entertaining.
Technology
Score: 4/10
YGG has built a reasonable technical stack for guild management, scholarship tracking, and quest systems. The platform supports multiple chains and games, demonstrating cross-chain capability. The YGG badge/credential system uses Soulbound Tokens for reputation tracking. However, the technology is not groundbreaking — it's primarily standard Web3 tooling (wallets, dashboards, NFT management) packaged into a guild platform. The technical moat is shallow, and the platform could be replicated by a well-funded competitor.
Economy
Score: 3/10
YGG's economy has been severely damaged by the collapse of the P2E model. The original revenue model — earning from scholarship splits — has generated minimal income since Axie Infinity and similar games imploded. The guild's NFT treasury has depreciated significantly. New revenue streams from the quest platform and game partnerships are early-stage and unproven. The token lacks meaningful value accrual mechanisms — there is no protocol fee, no revenue sharing, and governance utility is limited. YGG is a guild without a profitable business model.
Adoption
Score: 4/10
At its peak, YGG had thousands of active scholars and was one of the most recognized brands in Web3 gaming. The guild model was widely covered in mainstream media as an example of crypto providing income in developing countries. Current adoption is significantly lower but the brand retains recognition. The quest platform has attracted some users, and YGG maintains partnerships with numerous Web3 games. However, active daily users are modest, and the guild ecosystem is a shadow of its 2021-2022 peak.
Tokenomics
Score: 3/10
YGG has a total supply of 1 billion tokens with a multi-year vesting schedule. Significant allocations went to the team, advisors, and investors, creating ongoing sell pressure. The token's governance utility is limited — there are no major protocol decisions for holders to influence. YGG token is not required for quest participation or platform usage, reducing demand. There is no fee-sharing mechanism. The tokenomics reflect a project designed during the P2E boom with assumptions that no longer hold. Without significant restructuring, the token economics don't support long-term value.
Risk Factors
- Dead business model: The P2E scholarship model that defined YGG has collapsed
- Massive price decline: YGG token down 95%+ from ATH
- Pivot uncertainty: New platform strategy is unproven and faces heavy competition
- Treasury depreciation: NFT assets in the guild treasury have lost significant value
- Token utility gap: YGG token has no clear demand driver
- Vesting sell pressure: Ongoing team and investor unlocks
- Gaming market risk: Web3 gaming as a sector has underperformed expectations
- Competition: Multiple gaming platforms and guilds compete for the same user base
Conclusion
YGG was a visionary project that correctly identified the potential of P2E gaming guilds and executed brilliantly during the boom. The scholarship model genuinely helped people in developing countries earn income through gaming. However, the model was built on unsustainable P2E economics, and when those collapsed, YGG's core thesis went with them. The pivot to a gaming platform and quest system is rational but faces a crowded market and an uphill battle to rebuild relevance. YGG is a cautionary tale about building on top of unsustainable economic models, no matter how socially impactful the immediate outcomes.
Sources
- YGG platform analytics
- CoinGecko market data
- YGG DAO transparency reports
- Web3 gaming industry reports
- Partnership and scholarship data from YGG community