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2. Problem Statement and Solutions

The XEO Thesis aims to address various challenges faced by the crypto-gaming industry. One of the primary concerns is the low entertainment value of current games, such as Axie Infinity, which scores poorly on graphics and entertainment. To compete with popular titles like Call of Duty, GameFi projects should prioritize high-quality graphics, playability, immersiveness, and fast-paced gameplay. By doing so, XEO can provide a truly immersive and rewarding gaming experience, addressing the issue of low entertainment value in the industry.
Another challenge is the lack of adoption of traditional gaming communities, with less than 5% penetration in regions like the EU, US, and South Korea. Top blockchain gaming countries are primarily in South Asia, Brazil, and India. Developing a top-quality game can help onboard these gaming communities to XEO and the crypto-gaming industry, bridging the gap between traditional and blockchain gaming.
Visibility is a significant issue for crypto games, as there is no globally adopted title yet. XEO can increase visibility by partnering with gaming influencers, game streaming platforms, and e-sport organizations. Providing educational resources such as tutorials, guides, and FAQs, and offering incentives and rewards can also help onboard players. Comparisons like "Why would you play PUBG if you can play a better game like XEO and earn money?" and slogans like "Why Settle for Less? XEO Offers the Best of Both Worlds - Fun and Money" can further attract gamers.
The complexity of crypto-games is another challenge. Many players lack an understanding of in-game mechanics and interfaces. To reduce complexity, XEO should build user-friendly interfaces, onboard players with familiar game clients, offer traditional game-like screens, and provide educational resources.
Lastly, hacks in games such as Axie Infinity and other traditional titles are prevalent. XEO can address this by cross-checking game-client data with smart contract parameters. If the data is not aligned, XEO will not provide XEO tokens, thereby avoiding hacks. Cross-checking data between smart contracts can also validate actions after the game, such as receiving the XEO token, further ensuring security and fair play.