AI Tokens Revolutionize the Creator Economy While Crypto Gaming Platforms Focus on Attracting Wallet Users

“Gaming and gambling campaigns are the most expensive, with a median CPW of $8.74 and a lower quartile of $3.40,” explains Nadler, who suggests this discrepancy stems from “higher churn, speculative behavior, and intense competition.” Speaking to industry publications, he emphasized the sustainability challenge: “If Web3 gaming is truly ‘inevitable,’ we need to find a more powerful UA engine to make it as sustainable as in Web2.”

Regional Variations in Acquisition Costs

The challenges of user acquisition aren’t uniform across global markets. Data reveals significant regional differences in how much companies must spend to attract crypto wallet users. CPWs in the United States and Western Europe saw dramatic increases throughout 2024, making these established markets increasingly costly territories for user acquisition campaigns.

In contrast, emerging markets present a different picture. Latin America and Eastern Europe remain more affordable for companies looking to attract wallet users, though these regions also demonstrate higher volatility in acquisition costs. This regional disparity creates strategic considerations for crypto gaming platforms deciding where to focus their marketing efforts, with many increasingly looking toward emerging markets for growth opportunities.

Market Size and Growth Potential

Despite these acquisition challenges, the broader blockchain gaming market continues to display remarkable growth potential. According to market research from IMARC Group, the global blockchain gaming market is expected to expand from approximately $14.8 billion in 2024 to a staggering $1,172.8 billion by 2033, representing a compound annual growth rate (CAGR) of 62.59%.

The market is anticipated to reach $24.4 billion as early as 2025, demonstrating strong short-term growth alongside longer-term expansion prospects. Asia Pacific currently leads the market with a 28.7% share as of 2024, while the United States has emerged as another key regional player, driven by high internet penetration and advanced digital infrastructure.

This projected growth is fueled by several factors, including increasing awareness of blockchain technology’s security and transparency benefits, as well as the growing integration of non-fungible tokens (NFTs) which create verifiable digital ownership of in-game assets. The rising popularity of play-to-earn (P2E) models has further accelerated market expansion by providing players with financial incentives for participation – turning gaming from pure entertainment into a potential income source, particularly in emerging economies.

Why Wallet Users Avoid Crypto Gaming Platforms

The high acquisition costs raise an important question: why are existing crypto wallet users so resistant to engaging with gaming and gambling platforms? Several factors contribute to this reluctance, creating barriers that platforms must overcome to attract these tech-savvy users.

One significant concern is the lack of regulatory oversight in many crypto casino operations. Without proper regulations, players find it difficult to ensure fair gaming practices and protection against fraudulent activities. This regulatory ambiguity is particularly concerning for experienced crypto users who understand the security risks associated with decentralized platforms.

The volatile nature of cryptocurrencies introduces additional challenges for gaming experiences. While price fluctuations can attract investors, they create uncertainty for gamers who might see their in-game assets or winnings dramatically change in value over short periods. This volatility can undermine the gaming experience and discourage long-term engagement.

Limited acceptance across the broader ecosystem also presents obstacles. Although cryptocurrency adoption continues to grow, it remains relatively restricted compared to traditional payment methods. This limitation reduces options for players who prefer using cryptocurrencies, leading to fewer platform choices.

Regulatory Maze for Crypto Gaming Operations

Crypto gaming platforms must navigate a complex regulatory landscape that directly impacts their operations and user acquisition strategies. Different countries maintain varying laws regarding online gaming, creating jurisdictional disputes that can be costly and complicated to manage.

These platforms often find themselves caught between conflicting requirements across multiple jurisdictions, risking substantial fines or license revocations if they fail to comply with the patchwork of international regulations. Compliance with anti-money laundering (AML) and know-your-customer (KYC) protocols presents particular challenges for crypto gaming operators. The decentralized and potentially anonymous nature of cryptocurrency transactions makes implementing effective compliance systems difficult while maintaining the privacy and convenience that crypto users expect.

Some platforms have addressed these challenges by securing licenses from reputable jurisdictions like Malta, Gibraltar, or Estonia, which provide credibility and legitimacy in the space. These countries have established themselves as hubs for crypto gaming operations by offering favorable conditions including lower taxes, straightforward licensing processes, and infrastructure supporting digital currencies. However, this approach isn’t foolproof, and platforms must remain vigilant in their compliance efforts to avoid regulatory problems.

Investment Flows Despite Acquisition Hurdles

Despite the significant challenges in user acquisition, the broader crypto-gambling sector continues to attract substantial investment and demonstrate resilience. Blockchain-based casino and sportsbook Winna.com recently secured $15 million in seed funding, highlighting robust interest in the sector’s long-term potential.

Paul Martens, CEO of Winna.com, emphasized the advantages cryptocurrency brings to gambling platforms, including enhanced anonymity, improved privacy, and global accessibility. These features continue driving interest from both investors and users seeking alternatives to traditional gambling platforms.

Even established traditional gaming operators are recognizing the potential of cryptocurrency integration. Choctaw Casino & Resorts, a leading US gambling brand, announced plans to allow customers to fund their gaming sessions using cryptocurrency – an industry first for the US casino sector. The operator aims to create a seamless bridge between crypto wallets and casino floors, allowing users to exchange digital assets for chips quickly without traditional banking delays.

Strategic Adaptations During “Coiling Phase”

Industry leaders are adopting various approaches to address the high acquisition costs and position themselves for future growth. Axie Infinity co-founder Jeff “JiHo” Zirlin suggests viewing the current high-CPW environment as a “coiling phase” – an opportunity for strategic development rather than a terminal problem.

In an April 11 post on social media, Zirlin advised companies to use this period to “create new games/product lines, consolidate our market share, and get ready for the next market expansion.” He emphasized the importance of recognizing market cycles, adding, “Know when it’s a coiling phase. Know when it’s time to explode.”

However, market challenges extend beyond user acquisition costs. The broader blockchain gaming sector faced significant headwinds in early 2025, with a reported 71% decrease in investment during Q1 compared to previous periods. This funding decline, coupled with high acquisition costs, creates a challenging environment demanding innovation and strategic thinking from operators.

Technology Integration and User Experience Friction

Beyond acquisition costs and regulatory challenges, crypto gaming platforms face significant hurdles related to user experience and technology integration. Many potential users find the onboarding process for blockchain games cumbersome and confusing, requiring multiple steps to set up wallets, acquire cryptocurrency, and understand novel game mechanics.

These friction points contribute to high acquisition costs as many potential users abandon the process before becoming active players. Recognizing this challenge, several platforms are investing in streamlined onboarding processes that minimize the technical knowledge required to begin playing.

Scalability and performance of blockchain networks present additional technical obstacles. Many early blockchain games suffered from slow transaction times and high fees during network congestion, creating frustrating experiences. Newer layer-2 solutions and purpose-built gaming blockchains aim to address these issues by providing faster, cheaper transactions while maintaining blockchain’s security and ownership benefits.

Finding Sustainable Growth Models

The fundamental value proposition of blockchain gaming – true ownership of digital assets, play-to-earn economics, and decentralized governance – continues attracting interest from developers and players alike. However, the high cost of acquiring wallet users suggests that targeting existing crypto enthusiasts may not be the most effective growth strategy.

Some industry observers suggest blockchain gaming might find greater success by focusing on compelling gameplay experiences first, introducing blockchain elements more subtly rather than leading with technological aspects. This “blockchain invisible” approach emphasizes engaging gameplay appealing to traditional gamers while gradually introducing digital asset ownership benefits.

By reducing the initial learning curve and technical barriers, games following this philosophy might achieve lower acquisition costs and higher retention rates. The question remains whether blockchain gaming can find its sustainable acquisition engine – one that brings new users into the ecosystem without breaking the bank.

As the industry continues evolving, finding this balance between innovation and accessibility will likely determine which platforms succeed in the increasingly competitive landscape. With projected market growth reaching trillion-dollar territory by 2033, the stakes couldn’t be higher for those looking to capture market share in this emerging digital frontier.

SUBBD: Revolutionizing the Creator Economy with AI and Crypto to Save Creators Billions

SUBBD, an AI-driven crypto project, is positioning itself as a game-changer for the creator economy by aiming to help creators collectively save up to $1 billion annually over the next decade—far surpassing current industry standards. The early momentum is strong, with its token presale already raising close to $200,000, indicating significant interest from both creators and investors.

While SUBBD’s platform fee matches a major competitor at 20%, it stands out by eliminating additional hidden costs that often burden creators elsewhere, such as steep management fees. By leveraging AI-powered tools and blockchain-based monetization, SUBBD allows creators to retain more of their earnings and streamline their workflow, while fans benefit from richer, more interactive content experiences.

The $SUBBD token presale offers early participants exclusive access to platform features at the lowest price point, with the current token price set at $0.055175 and expected to rise in the next stage. Investors can also stake their tokens during the presale to earn a fixed 20% annual reward, gain experience points, and unlock daily behind-the-scenes content.

Staking credits can be used for exclusive content and perks, and token holders receive priority beta access to new features, such as the upcoming SUBBD AI Personal Assistant.

SUBBD addresses several key issues in the creator economy:

• Traditional platforms can take up to 70% of creator earnings, while SUBBD’s model significantly reduces these fees.
• Centralized systems often leave creators and fans with little control over platform changes or access, but SUBBD’s decentralized approach restores ownership and influence to users.
• Many creators are forced to juggle multiple disconnected tools for chat, AI, payments, and content management; SUBBD integrates these into a single, streamlined platform.
• Fan engagement is often limited on other platforms, with static subscriptions and few incentives. SUBBD introduces dynamic, rewarding experiences for fans, putting them at the center alongside creators.

In the broader $85 billion creator economy, SUBBD’s main competitors may charge similar platform fees, but creators often lose even more of their income to third-party agencies, with some paying up to 80% in additional management costs. SUBBD’s system is designed to eliminate these extra layers, allowing creators to keep a much larger share of their revenue.

With over 2,000 influencers already using the platform and a combined audience of more than 250 million, SUBBD has demonstrated strong proof of concept and is poised for significant growth as it continues its presale and prepares for wider platform rollout.

Visit SUBBD