The developers of Nemesis Downfall, a Web3 battle royale FPS now live in open beta on the PancakeSwap Gaming Marketplace, have now shared new details explaining how the game’s automated rewards distribution model since its release in patch 1.0.4.

How Does the Model Work?

After having a few weeks to gather live data on the new model since it got released in patch 1.0.4, the studio now feels comfortable with its behavior and are thus now ready to explain how it actually works.

The adjustable system is said to preserve reward reserves in such a way that it makes sure there are rewards to give out for the game’s entire lifespan or multiple years. By doing so, the system is also said to prevent putting $ND holders under constant pressure as it restricts plenty of rewards from entering the market in order to try and provide long-term sustainability.

The team is using this beta release of the game to tinker with various variables of the model in order to properly balance out rewards. These changes are also said to include temporary adjustments such as increasing rewards for a certain event and more.

Rewards Algorithm

According to the official post, the algorithm is designed to fairly give away a certain amount of reward tokens to an unspecified number of games in a particular timeframe. This timeframe is currently set to daily. The amount of tokens being distributed depends on the daily dollar amount that is converted into $ND at the token’s price during snapshot, with the developers stating that this dollar amount can be changed.

Through the Reward and Burn mechanism, an adjustable 20% of the tokens set for distribution end up going to a burn pool every week, while 5% go to the infrastructure treasury for operational costs.

Depending on what the defined daily token amount is, the algorithm accordingly gives out a certain number of tokens every hour, calculating a distribution per game by “the rolling average number of games of the previous 3 hours.” Each match has rewards capped to an adjustable amount in order to prevent cases where the “amount of games per hour are so low that players receive an abusive percentage of the daily allocation.” If there are tokens that go above the limit, those tokens end up going to the vault. Essentially, the model adjusts accordingly based on peak hours and hours with low amounts of matches so that it depletes during times of high player activity while refilling in the hours when most aren’t playing.

For the deathmatch mode, the system is designed to give 50% of the allocated rewards to the winner, while 30% goes to 2nd place and 20% is given to 3rd place. This may change in the future, and upcoming game modes could also have different percentages.

Since $ND is a utility token made for buying cosmetic skins and NFTs in-game, the developers are looking into adding more token sinks during the beta to incentivize players to spend their rewards on features such as season passes, in-game staking, voluntary burning, competitive games and more.

Full details on future plans and everything related you need to know about the automated rewards distribution model can be found in the Medium post linked in the official tweet below.