Why people are going ALL IN on $MAGIC | next big NFT coin?
Let’s talk about small brains but maybe More importantly the magic token so a Few months ago a project called loot Took the entity world by storm with the Idea that a game could be crowdsourced From the bottom up for all intents and Purposes this wasn’t a success but Another project that did come out of This was treasure which later became Treasure down and in just a few months Treasure dial has turned its magic token Into a hundred million dollar currency It created the small brains collection Which is getting the type of volume that You only see from blue chip nfts and Many people are calling treasure dial The nintendo of web 3. and yet it’s Possible that we’re still very very Early hey guys so there’s a lot to Unpack here and i’ve spent sleepless Nights in sketchy discord trying to Piece all of this together and i’m gonna Try my best to break down the most Important components for you because This is one of those big innovations in Web 3 that you don’t really want to Ignore so specifically we’re going to Talk about treasure dial and magic i’m Gonna go over how to buy into this Ecosystem because it’s actually on Arbitrum which is a layer two on Ethereum and then i’m gonna talk about The bolt case and how big all of this Can get as well some risks that you need
To pay attention to now before we get Into the details let’s take a step back And look at that nintendo analogy one More time because i think it actually Does a good job of describing what’s Happening here if you think about it What does nintendo actually do well we Know they’re a publisher that releases First party titles which are basically Games that they develop in-house like Mario and zelda they also have consoles Like the switch which are very popular And because of that popularity you have Third party developers that want to Release with nintendo and so they strike Partnerships where nintendo publishes Their games in exchange for a percentage Of their sales for example it’s pretty Common for a publisher like nintendo or Microsoft to take 30 percent of all the Sales that go through their platform now 30 Is a lot so why do developers sign up to This well because nintendo is solving a Problem you see developers struggle with Distribution you know they know how to Make a good game but they don’t know how To get people to play them and so in Comes nintendo with their marketing and The consoles that they already have in Millions of homes and now all the Developers have to worry about is making A game that people like now if we turn Over to treasure dow we can start to see
Some similarities from one angle Treasure dow is a developer of web3 Games the founders behind treasure are Also the founders behind small brains And in the case of small brains they’ve Already had their first big success they Also have their own marketplace which Lets them control distribution and even Though this only supports their own Games at the moment within the next few Weeks they’re going to be opening this Up to third-party nfts as well treasure Dial is also developing a meta game Called bridge world which they believe Will be their headline product and we’re Going to talk more about this later in The video and a final piece of the Puzzle is treasured out as adventure Studio where the dow members vote on Third party games that they want to Partner up with and bring into the Ecosystem these are the main components That make up treasure doubt but there’s A lifeblood that ties them all together And which really makes us stand apart From other studios and of course that’s All the people who subscribe to this Channel hey if you like nfts and web 3 That’s all we do here so please consider Subbing if you haven’t already but no The real lifeblood is of course the Magic token you see magic is the primary Currency within the treasure ecosystem So you use it to mint nfts you stake it
To actually play the games and so on one Interesting thing about magic is that it Was actually a fair launch and so this Means you know there wasn’t some group Of vcs that got in at a discount before The public and in fact since day one You’ve been able to mine magic by Staking one of the treasure nfts which Were also originally given out for free That’s all an important part of the Ethos that the team is going for right You know fully decentralized fair Launches even the nft collections like Small brains were originally minted for Free by the community okay so now let’s Take a quick look at the tokenomics of Magic so magic emissions mimic bitcoin’s Happening but this event occurs every Year as opposed to every four years and In the end the total supply is capped at 350 million tokens versus a current Supply of 230 million at the time of This video magic has a price of about Four dollars and a market cap of about 130 million dollars compared to about 40 Million dollars on christmas day okay That’s almost a 100 million dollar gain In valuation in just under two weeks but Even still it’s small compared to other Tokens in the metaverse genre like axe Infinity which has a 5.5 billion Valuation gala games at three billion Dollars and even alluvium which hasn’t Released their game yet is valued at 500
Million dollars now the point i’m trying To make isn’t that magic can get as big As some of these other tokens it’s just Giving context about how hot the Metaverse genre is right now and how big Some of these tokens can get in Valuation sometimes before they even Fully execute their roadmap okay but now What is the point of magic and why are People so confident that it’s gonna keep Growing well the key thing to understand Is that the founders believe that magic Could become a currency that exists Across multiple games and metaverses and Part of the reason behind this is that Magic is solving a problem the problem That we spoke about earlier in this Video which is that you know game Developers struggled to bootstrap a game Economy and a user base when they’re Just starting off if today one of you Were to create a random game with a Random token then you know one it’s Gonna be hard to convince people to Actually play it but then two it’s gonna Be hard to convince them that these Tokens actually have value but what if Treasure dial gave you magic on day one You know tokens that are already pretty Valuable and you could integrate this Into your game and give them out to your Players this could attract players and Give you enough of a boost to get your Own metaverse and maybe your own token
Off the ground because games that Survive this initial starting period Have a higher chance of lasting so if That’s all still a little confusing let Me simplify how it all works so first Treasure dial builds a strong ecosystem That other metaverse developers want to Join dow members which includes everyone Who holds the magic token vote on which Projects to partner with and this Actually makes magic a governance token As well those projects that make it Through receive 50 percent of all the Magic emissions during the first two Weeks after they launch and then in Exchange the project sells our nfts Exclusively on the treasure marketplace And they also have to provide a clear Roadmap for making the accumulation of Magic a part of their metaverse the both Thesis here is that as more games adopt Magic that brings about a few benefits First off more holders start Accumulating magic inside of each one of These games and that starts to bring Down the supply which raises the price On the remaining tokens number two Treasure takes a 2.5 percent from the Trades that go through their marketplace And so more games trading on there means More revenue for the dow treasury and Third there’s a feedback loop here where As the value of magic goes up that also Increases the value of the games tied to
Magic that’s going to get people talking And everyone’s going to notice and That’s going to attract better creators To the network which then raises the Value of magic and so on and as a bonus If we really want to dream big all of These games will drive traffic to the Marketplace and that’s going to turn it Into a high volume platform and as a Result it makes it an attractive option For other creators to list their nfts Even if they have nothing to do with Magic remember pretty soon the Marketplace is opening up to all types Of projects and so this could become the First you know serious decentralized Competitor to platforms like openc and Coinbase so then to compress the bull Case even more we can say that magic Bootstraps games and then games Bootstrap and open seat competitor and Just so you know what’s at stake here Openc just recently closed another Funding round at a 13 billion dollar Valuation okay so now let’s talk about Ways that you can actually invest in This ecosystem the first and the most Obvious way is to just buy the magic Token and you can do this on the Ethereum network with uni-swap but i Don’t recommend that since you’re not Actually going to be able to buy any of The nfts since they’re all located on Arbitrary and for those who don’t know
Arbitrarium is a layer two application That sits on top of ethereum and the Benefits here is that you can borrow Ethereum security but let people trade Without the crazy gas fees on layer one So if you want to actually buy the nfts You’re gonna have to buy magic on Arbetron and here are the steps for that So step one is going to Bridge.arbitrom.io to move your eth from The ethereum network to the same wallet But on the arbitrom network so you Connect your meta mask set up the amount You want to transfer and after a few Minutes it’ll bridge over step two is Now using that eath that you have on the Arbitrary network to buy magic and so we Can head over to the treasure website And click on the magic symbol up here And this is going to take you to sushi Swap with the correct magic token Already selected now the important thing To do here is to change the ethereum Network to arbitrary and once you do That you should see the balance that you Transferred over now you can select eth And swap the amount that you want step 3 Is once you have magic you can go back To the treasure website and then click On marketplace and from here you can Choose whatever nfts you want to buy and The transaction will work just like a Normal ethereum transaction but without The ridiculous gas fees now in terms of
What you should be buying well just know That there’s a lot of imperfect Information right now but the three main Categories that you should pay attention To are treasures Legions and the nfts from the games Themselves so treasures are the og nfts And you can actually stake them today to Begin to earn magic immediately the Amount of magic you get is based on the Rarity of the specific treasure and i’m Gonna throw a link below if you want to Go down this route if you’re only gonna Buy one nft from this video i would Recommend it being treasure because like I said you can start staking it Immediately and it looks like it’s going To be playing a heavy role throughout The entire ecosystem after that you Might want to look at the genesis Legions if you have a bigger budget and What we know about legions is that these Are going to be the character nfts in Bridge world which if you remember i Mentioned would be the flagship product That the team is building and bridge Worlds is going to be where the vast Majority of magic emissions are going to Take place in the future but apart from That we don’t really have that much info Yet i think when i looked at the genesis Legions today they’re valued at about Five eth which is a lot but you know the Reason people are buying these is
Because they’re gonna give you a Multiplier when you stake them and that Means more magic which could be a lot of Money depending on where the price ends Up and then finally you have the nfts From the individual games that are Already out so the most popular right Now is small brains which is the closest Thing to a blue chip that has come out Of treasure dial and there’s an entire Small verse being built out that Includes land and companion nfts and They’re all going to involve magic Heavily down the road one of the coolest Innovations that i’ve seen from this Project is that the images are actually Dynamic and they can change depending on Any decisions that you take on chain so You may have seen these guys on twitter Already and some have big brains and Others don’t and things like that will Start to become signals of your role Within the metaverse this stuff becomes Way easier to do on something like Arbitrom or even solana you know places That have cheap transaction fees and i 100 expect more games to start adopting These mechanics beyond that you have Other collections like small bodies and Seed of life which is a game that’s Coming out later this month or if you Want to wait for the next free Collection you can check out toadstools Which is a whitelist only free mint that
Is coming out later this quarter now let Me just say straight up that i don’t Actually know what the optimal buying Strategy here is you know it all really Feels fluid at this point and can change Depending on new information personally What i ended up doing was buy into seed Of life which is also taking a dynamic You know approach where you control an Nft that actually goes through the Entire life cycle of a character taking Place within a fantasy setting and then Finally i want to talk about some risks And concerns that i have that you should Definitely consider before even thinking About buying anything that we’ve touched On the first risk is that we’re right in The middle of an nft bull run and it’s Possible that everything is just being Overhyped across the board there’s Definitely some fomo going on with Treasure right now which you know you Would expect after a token three x’s in A couple of weeks just know that even Though you know some of these concepts Are obviously cool and you know there’s Probably upside here in practice this is Actually going to be a very very hard Road and some of these mechanics are Super experimental and there’s no Playbook that we can point to to see how Far this can go and how long it’s going To take okay the second risk is that Treasure is built on arbitrum which is
Still extremely tiny currently less than One percent of eth wallets have used l2 Applications and adoption could take a Lot longer than people expect when you Deal with something that’s already a Liquid like nfts and then you make them Even more illiquid by putting them Somewhere that’s kind of hidden then you Can get really volatile and if the Prices that you know can spook some Buyers who are going to be like I didn’t sign up for this i thought it Was going to be up only at the same time I wouldn’t be surprised if you know very Soon this idea gets forked on an l1 like Solana and what makes that concerning is That a chain like solana or even tezos Is gonna be much more accessible to Newbies compared to an l2 like arbitram Just because of the friction that it Takes to you know teach someone who’s New to crypto how to actually use an l2 And then a third risk here is that about Eighty percent of the circulating supply Is currently locked up in a staking Period and this actually gets unlocked On january 24th when they replace the Old mine obviously one scenario here is That you get a sell-off in the market as The people who emerge from this Three-month staking period start to take Profits however a more likely scenario In my opinion is that you know a big Chunk of these belong to early believers
Who are just gonna take that money and Then stake it again or potentially buy Treasure entities that have launched in The last three months it’s just really Hard predicting these things and so i Just like to gauge the long-term Viability of a project and then i do Just go in for the long run but anyways I hope this gave you a balanced intro to Start and i highly recommend that as a Next step you read the white paper then Head over to the discord and just start Asking questions because you know i Missed a lot of details it’s impossible To cover everything in a short video and Believe me this rabbit hole goes even Deeper than this thanks again for Watching and i’ll catch the next video
