GuildFi is a decentralized finance (DeFi) platform that aims to become the governance token for web3 gaming guilds and metaverse DAOs. The GuildFi ecosystem centers around its governance token, GF.
GuildFi seeks to bring organization and coordination to the currently fragmented metaverse gaming guild sector. By providing gaming guilds with shared tools and a common token for governance, GuildFi hopes to aggregate guild economic power and influence in web3 and metaverse games.
The platform is launching on multiple blockchains including Ethereum, Polygon and Solana. The multi-chain GF token will be at the core of GuildFi’s services and governance.
Utility of the GF Token
The GF token has a range of utilities on the GuildFi platform, providing it fundamental value. Its main uses are:
- Guild Governance — GF holders can use their tokens to vote on decisions that guide the development and policies of gaming guilds in the GuildFi ecosystem. GF unlocks voting power across the guilds.
- Staking — Users can stake their GF tokens to passively earn yields and rewards. GuildFi distributes portions of its revenues from services to GF stakers.
- Access to Services — Holding GF provides access to core GuildFi services like collective asset management tools. GF facilitates access and coordination for guilds.
- Payment — Services provided between ecosystem participants like guilds and scholars are paid for using GF as the native currency. A portion of payments are burned.
- Yield Optimization — GF can be used as collateral to borrow assets and increase capital efficiency for yield optimization strategies.
GuildFi has designed GF’s supply schedule and distribution strategy with the following key parameters:
- Total Supply — 100,000,000 GF tokens is the maximum supply. GF has 18 decimals.
- Initial Circulation — 20% of the total supply, or 20 million GF, was initially minted and distributed.
- Distribution — 15% of total supply goes to seed and private sales investors. 5% to public sale. 20% to founders and team. 15% to guild incentives and ecosystem development. 45% to staking rewards and treasury.
- Inflation — The GF supply will increase slowly over time through staking rewards and treasury diversification strategies. Maximum inflation is capped at 5% annually.
GF Price Performance
The GF token launched in Q3 2022 during challenging market conditions in the broader crypto sector. Its price has fluctuated significantly since launch:
- ICO price — GF sold for around $0.035 during its seed, private and public sales in Summer 2022.
- Launch price — GF initially traded between $0.01 and $0.02 on exchanges in September 2022 before declining.
- Current price — As of February 2023, GF trades at $0.0018, down heavily from its initial prices.
- All-time high — GF reached an all-time high price of $0.0379 in October 2022 before declining 90% from this peak.
Volatility is expected to remain high given current crypto market sentiment. GF’s value will likely depend on GuildFi’s capacity to onboard gaming guilds and deliver value to GF stakeholders.
In an emerging sector like metaverse gaming, the GuildFi project faces uphill challenges in establishing its GF token as a unifying governance and utility asset. Its ultimate success will hinge on demonstrating real utility and adoption among guilds.
If GuildFi gains significant traction, GF could potentially capture substantial value in the long run. However, short term volatility remains high amidst its early stages.