Each year, 400M+ gamers purchase $50B+ in virtual items worldwide. The vast majority of gamers who buy and sell virtual assets today are likely to have their items stolen or pay exorbitant fees through cross-border transactions unless they go to a centralized trading platform. This market friction is the key factor limiting the growth of this $50+ billion market. The net effect of the lack of marketplace trust is that the virtual asset trading industry is fragmented across hundreds of competing marketplaces, each utilizing different business practices tailored for their region of the world. This creates significant territorial supply and demand imbalances.
The ideal solution to this problem is a global virtual asset repository, accessible to anyone, which provides a complete catalog of all items available for sale in real time. Such a repository, when coupled with distributed trust mechanisms, and a reliable low-cost settlement network, will vastly improve price discovery and market liquidity, thereby increasing market size.
OPSkins, the world’s largest platform for video game virtual goods traders is building a blockchain protocol called Worldwide Asset eXchange (WAX), designed to enable an unlimited number of marketplaces operated by individuals or small businesses to buy, sell and
trade virtual goods at scale with just a few clicks.