Are People Sleeping On Genesis League Sports?

The project I'm most excited about right now has to be Genesis League Sports, the sports gaming platform brought to you by the guys that also do Splinterlands. Oddly enough, outside of the dedicated Discord channels, I hear very little about the project so far and many people seem to be pretty ignorant about the opportunity the platform might have to offer. Even some of the well known Splinterlands content creators do dump their daily GLX airdrop for pennies. While it's obviously up to everybody to make their own decisions, I feel like people are sleeping a bit on Genesis League Sports. So today, I want to change that and give some explanations about why I really think this project could be a golden opportunity.

So first things first, what is Genesis League Sports or rather, what is it intended to become some day? Simply put, it's a multi game platform that's meant to run all kinds of blockchain sports games. The first project is Genesis League Goals, a football (soccer for you Americans) game that's being developed together with the MLSPA. Right now, there's no game yet, the platform along the game is in the process of being built. There's not terribly much known about the game itself either, so right now, we can only speculate how that might look.

To tell the truth, though, the gameplay itself is not the reason I'm excited about the project at this time. Don't get me wrong here, obviously the game will be the deciding factor in the end. If it's not fun, nobody will play it, players will leave, everything will go to zero, and the project will fail. So yes, that is a real possibility and it's a risk that you have to take if you interact with the project in such an early state. The thing is, though, should the project find any success, this thing could become really big and should end up in a huge success for everybody that got in during the earliest of days.

So why am I excited about this project? Well, mainly, there are two reasons:

• The target audience
• The tokenomics

Let's talk about the target audience first. Genesis League Sports aims to be a multi game sports platform, over time hosting all kinds of different sports, where possible forming partnerships with major leagues and player associations along the way. Splinterlands is cool and all and I really love the game, but at the same time, it's rather niche. Yes, there are a lot of people like me that do enjoy watching fantasy monsters battle it out in a world full of magic and mayhem. But compared to the world of sports, we are a tiny minority. The cool thing about sports is that it's loved by billions of people and that you simply don't have to explain how it works. Almost everybody around the world will have at least some rudimentary idea of how football works and, to a lesser degree, people also know what basketball looks, hokey, baseball, and so on.

So by combining all these different sports under one platform, the target audience basically becomes every single human being in the world. Sure, there are a lot of people that have zero interest in football, but they do like MMA, or racing, or whatever. Point is, almost everybody will be interested in at least some form of sport and it's only a matter of getting that sepcific sport integrated into the platform and you have millions of possible new customers. Again, that's not to say that Splinterlands can't grow way beyond what it is right now, it certainly can (and I'm convinced it will) but it will always be dwarfed by the potential target audience that Genesis League Sports has.

So the platform has a shot at growing really big, that's great. But why should you care about that right now when nothing is built yet, there's no game to enjoy, only a single partner known, and only a few dedicated fans are talking about the whole project? Well, the answer is simple, because the tokenomics are pretty damn well built and you could miss out big if you wait another year or two to get involved!

Before I walk you through everything, all my numbers are coming from the corresponding whitepapers both of Genesis League Sports as well as Genesis League Goals. I can't discuss every detail, so if you want to learn more, go and check these out. Lets talk basics first. Genesis League Sports has its own reward token called GLX that will also be used as the governance token of the game similar to what SPS does right now. A total of 2,000,000,000 GLX will ever be minted and, just like with other projects, they are distributed in a couple of different ways. Most notably, not a single GLX has been preminted, there was no (private) presale, rewards for the team, or any such bullshit. Each and every GLX in existence has and will come from one of the faucets below:

So 100M GLX is given out as staking rewards and 100M GLX is given to SPS token holders. Both of these pools will be distributed over a 1 year time frame. Later on, we'll also see 100M GLX as rewards for Liquidity providers and another 100M for Validator operators. Take note, though, that these are going to be given out over 65 months, so the inflation from these sources will be way lower. There are also 100M GLX going to the DAO for future use which will be voted on by the GLX token holders. The last source of inflation for now will be the actual Play2Earn Rewards for Genesis League Goals which will come in with another 100M total. If you add up all these things, there are still 1,400M GLX that are not going to be minted just now. Instead, these can be assigned to future games and projects coming to the platform. This means that until more partners join the site, there's only going to be a total supply of 600M GLX available.

As an additional note, 15M of the 100M Play2Earn rewards are currently distributed to pack holders in the two phases of the presale. Almost 7.5M have already been distributed with another 7.5M likely going to be distributed until some time in March or April.

So next, let's dig a little deeper. Where are we right now in terms of distribution? Currently, inflation is rather high, with about 500,000 GLX given out daily for staking and the airdrop for SPS holders combined and then there's also the additional rewards for pack holders. That inflation is going to be rather short lived, though. Staking Rewards and the airdrop started back in November of 2022 and accordingly will end in roughly 10 months. Assuming no other project launched by then and all other faucets have opened up, we'll come down to roughly 4.4M GLX per month given out. That's not even a third of what we have right now! So unlike with SPS, we'll see a way lower inflation once the initial distribution phase is over.

But wait, there's more! Much like DEC for Splinterlands, Genesis League Sports will have its own product backed stable coin called GLUSD (Genesis League US-Dollar) with a soft peg of 1000 GLUSD = $1. This token is going to be used as the transactional token of the platform and all transactions within the games will be made in GLUSD. What's making this so interesting is that there's only one way to create GLUSD: You have to burn GLX in order to mint it. Just as with SPS, burning $1 worth of GLX is going to create 975 GLUSD. But unlike Splinterlands, there are no 6 billion DEC to go through first before new GLUSD needs to be created. Right now, not a single GLUSD exists. The team already confirmed that they are not going to mint GLUSD out of thin air, so for all GLUSD needed GLX will have to be burned accordingly.

So, how much GLUSD would you say is needed to provide ample liquidity across several platforms and blockchains, assuming also that some will always just be held in players accounts until it will be used for something or passed around on the market. Personally, I'd say something like 1 billion GLUSD (so $1,000,000 worth of GLUSD) sounds like a good value to go by once everything is set up and the platform is looking to grow. Right now, 1 GLX is traded for about $0.03 on Hive engine. With that value in mind, we'd have to burn 33.3M GLX tokens to mint that 1 billion GLUSD. That's about 7.5 months of inflation after the initial distribution phase. Now also consider the fact that there are plenty of burn mechanics for GLUSD in place and it becomes rather apparent that there's no way that the price for GLX is staying where it is right now if the project finds any success.

Getting GLX right now is pretty easy and really affordable but this could change rather fast once the whole thing picks up. In a year or two, people might look back in disbelief at this early distribution phase, wishing they were around when GLX was still given out like candy.

Just to be clear before I wrap things up, though: Success is not guaranteed for the project, the whole thing could go nowhere and GLX could be worth zero within a year. There are no guarantees, even more so not in the crypto world. There's the very real chance of loosing everything you spend on the project.

The thing is, if it does find success, the return should be quite hefty. SPS reached a dollar during the last bull run and while that certainly was a perfect storm back then, there are way less GLX tokens distributed and the tokenomics are set up way better. So I think $1 GLX during a bull run is absolutely possible. I for one am really excited about the project and aim to reach a million GLX staked before the distribution phase comes to an end. I'll make sure to bring you new articles on Genesis League Sports whenever something interesting happens. If you have any further questions about the project, feel free to drop me a comment and I'll get back to you!

And that's all for me for today, thank you all for reading and see you next time!