Hello everyone, This is Yoshiyuki Kumon from enish.

With the temperature becoming more comfortable in the mornings and evenings, it feels like autumn is approaching. It’s hard to believe that three weeks have passed since the official release date. Being so focused on managing the game daily, it feels like the time has flown by.

During that time, many of you have spent considerable hours playing Last Memories and provided a lot of feedback. All of this has been very helpful for addressing bugs, as well as for adjusting and improving the game’s mechanics. Thank you.

Among the feedback, we received a lot of comments and suggestions, especially regarding the current state and future of the tokenomics, from several dedicated guilds. On September 5th, we had a meeting to discuss these issues.

Many of the challenges raised during that meeting were things we were already planning to address. We've organized the responses we gave at the time, and for the issues we couldn’t conclude, we’ve reviewed them again. I’ve compiled our current understanding and future plans in this letter under the title, “The Current State and Future of Play to Earn.”

For those of you playing the game purely as a mobile or PC game, you may encounter unfamiliar terms here and there, but since this is an important topic concerning the future of the game, I encourage you to read through it.

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Introduction

To begin with, as a blockchain game, Last Memories is currently incomplete.

The reason is that the governance and utility token for this title, $GEEK, has not yet been listed on an external cryptocurrency exchange. Until $GEEK is listed, it cannot be traded, meaning the “Earn” part of Play to Earn cannot be realized.

We plan to provide an update regarding the listing date soon, so please bear with us for just a little longer.

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Our Current Economic Challenges

We recognize two main challenges:

• The balance of xGEEK emission
• The balance of the land economy

Let’s dive into the details of each and how we plan to address them.

xGEEK Emission Balance

In this title, we manage xGEEK emissions by setting an upper limit on how much can be emitted in-game. This limit is divided between the Build Mode/Exploration and the Land Dungeon.

Remaining GEEK Box emissions (top left)

The criteria for setting this emission cap is to ensure that when the xGEEK is exchanged for $GEEK, it does not deplete the $GEEK allocation plan.

The current challenge lies in the fact that since $GEEK is not listed, its price is undefined, meaning the range in which depletion is prevented cannot be determined. As a result, we are left with no choice but to limit emissions to a conservative level.

While I cannot disclose specific figures, we are aiming for a reasonable price (FDV scale) at the time of $GEEK’s listing, which means that the emission cap is currently set to accommodate that range. Compared to the initial design, this is a significantly limited state.

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Land Economy Balance

The second economic challenge concerns the balance of the Land Dungeon economy. I’ll discuss the issues with both staking rewards and dungeon rewards.

Staking Rewards Challenge

In short, the question is, "Can we really make this profitable?"

Before diving into the specific issues, I want to revisit the basic structure of staking rewards, including previously unreleased information.

Staking Reward Multipliers by Land Rank/Level (First Time Release)

The daily staking rewards for each land are calculated based on the base value (the amount rewarded by an Lv1 B-Rank land), multiplied by the appropriate factor for the rank. The base value gradually decreases over time, but as long as you continue leveling up the land, your income will grow accordingly.

However, land level-up depends on Land Dungeons and facilities, with the following formula (first time release):

Earned Land Experience Point = Land Dungeon Lv × 2 + Total Facility Lv
Land Experience Point Needed per Level = 0.1792 × Land Lv^1.7 + 1.4176

Although the formula looks a bit complex, you can calculate it using a calculator or Excel to figure out how much dungeon and facility leveling is required for a specific land level.

Since each rank of land has a different number of available facilities, the level caps for each rank are as follows:

When considering the overall image of staking rewards, the conclusions are:

• The higher the land level, the greater the exponential growth
• The higher the land rank, the longer it takes to reach the maximum level, meaning the reward growth period is extended

Staking Reward Growth Image

The main concern, especially for high-rank landowners, is whether the rewards will really increase over time. Initially, the settings are conservative, so it’s natural to feel uncertain about the future growth.

While we cannot explain much beyond “This is how it’s designed,” we recognize there’s room for improvement in the reward system. We'll discuss this further in conjunction with addressing the Land Dungeon challenges.

Land Dungeon Rewards Challenge 1: Low Dungeon Activity Rate

The key issue with the Land Dungeon is its low activity rate. Higher-ranked lands offer more dungeon play slots, so it’s understandable that owners feel disappointed when slots are left unused.

One frequent suggestion is that higher-ranked lands should attract more players. Currently, we prioritize their appearance in random display slots, but certain features like ID search and favorites also allow direct access, reducing reliance on random slots.

However, the real problem lies in the low play rate of Land Dungeons. We define this as:

Land Dungeon Play Rate = Number of Land Dungeon Plays ÷ Daily Player Count
Average Plays per Player = Number of Land Dungeon Plays ÷ Number of Players Who Played at Least Once

According to data up to yesterday, the play rate for Land Dungeons is around 25%, and the average number of plays per player is 1.5 (with 5 plays being the maximum). In comparison, the Arena allows 5 daily plays, with an average of 4.9 plays per player.

Upon further investigation, it has become clear that the Land Dungeon's BOX balance has been fully consumed, revealing the following:

• Players are engaging with the game as long as they can earn.
• When they can no longer earn, P2E players stop playing.
• F2P players have low motivation to play from the start.

In other words, roughly speaking, if the play rate reaches 50% and players engage an average of three times, the current activity level could increase fourfold. Conversely, if this issue is not resolved, we cannot expect an improvement in the activity rate of the Land Dungeons.

Issue 2: Balance with Staking Rewards

The second issue is tied to the balance between staking rewards and dungeon rewards.

As mentioned earlier, the Land's level is determined by both the Land Dungeon's level and the facility levels, which creates a dilemma:

• The higher the Land Dungeon level, the better the rewards = easier to attract players.
• However, leveling up a Land Dungeon takes longer than upgrading facilities.

If we want to increase Land Dungeon earnings, we should prioritize raising the Land Dungeon level. But if we do so, the overall Land level will increase more slowly, meaning the growth of staking rewards will also slow down.

This dilemma is particularly pronounced for high-rank Lands. Normally, the advantage of high-rank Lands is the ability to own multiple facilities and upgrade them sequentially (since they take less time to level up), allowing for faster Land level increases. However, prioritizing the facilities delays the Land Dungeon level upgrades, weakening their appeal to players.

As a result, the advantages of high-rank Lands cannot be fully utilized in the current situation.

Issue 3: Share Rate Settings

The third issue concerns the setting of the share rate.

In Land Dungeons, you can set a share rate (owner's commission), but due to the low activity rate mentioned above, it becomes a competition to lower the share rate. Players have voiced concerns that despite their initial investment to acquire Land, they are left with a less-than-pleasant owner experience.

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Proposed Solutions

There are other issues, but we believe the most important ones are the balance of xGEEK emissions and the overall Land economy. With this in mind, we have developed several countermeasures:

Parallel Development of Land Facilities

This is our solution to the "Land Dungeon vs. Facility Level dilemma." We will introduce a change that allows independent level-ups for the Land Dungeon and the facilities.

The restriction that you can only level up one facility at a time will remain, but Land Dungeons can now level up independently. By resolving this dilemma, the overall Land level will increase more quickly, which should alleviate some concerns about staking rewards as the growth rate of staking rewards will also increase.

Expected Release Date:
This change will require some development time and is expected to be available from version 1.7 onwards.

Adjustment of Land Facility Development Time

To address concerns about "staking rewards," we will shorten the construction time for each facility, with a reduction of nearly 50% under consideration. This will also speed up the overall Land level progression and increase the growth rate of staking rewards.

Expected Release Date:
We are aiming for release in version 1.7.1.

Introduction of a Land Coin Exchange

To boost the "Land Dungeon activity rate," we will introduce the Land Coin Exchange, starting from version 1.6.1 on Friday, September 6.

Land Coins can be exchanged for items using rare resources (Land Coin fragments) dropped during Land Dungeon play. The exchange will feature rare and valuable items, including the map required for "King’s Revival," which was also introduced on the same day.

With the addition of the Land Coin Exchange, we expect the importance of playing Land Dungeons will increase, and the play rate and average play count to rise as a result.

Additionally, Land Coin owners will receive one Land Coin each time a player uses an invitation ticket to play their Land Dungeon, even when the player has no remaining GEEKBOX balance (i.e., cannot P2E). Therefore, by distributing invitation tickets widely, Land owners can earn more Land Coins.

This also means that players who previously avoided accepting invitation tickets due to concerns about BOX balances can now play without worry.

Expected Release Date:
This feature is already available as of version 1.6.1

Rebalancing Staking and Land Dungeon Rewards

To address concerns about "staking rewards" and "Land Dungeon activity rates," we will perform a rebalancing of rewards in favor of staking.

Specifically, we will implement the following adjustments:

• Increase the base value of staking rewards (increase the staking reward amounts).
• Decrease the maximum number of Land Dungeon plays and reduce the number of invitation tickets that can be distributed.

By shifting more rewards to staking, we aim to create a more stable revenue flow for Land owners than before.

Expected Release Date:
We are targeting version 1.7.1 for these changes.

The Listing of $GEEK and What It Means

Finally, let's discuss the overall outlook.

As mentioned at the start, we are currently operating with a conservative emission of xGEEK, given the uncertain $GEEK price. Once $GEEK is listed and its price rises to a certain level, the following options will become available:

- Increase xGEEK emissions:
We will be able to increase overall emissions, steering the game more towards a "play-to-earn" model. If emissions increase, the Land Dungeon's BOX balance will last longer, allowing for more play opportunities. This may also lead to a relaxation of play limits in Land Dungeons.

- Increase the emission of Engraving BOXes:
We have currently set the emissions of Engraving BOXes conservatively, but this can be adjusted as well.

- Increase Land Staking Rewards:
If more xGEEK becomes available, we will also consider increasing staking rewards.

In summary, if $GEEK's price rises, we will be able to strengthen the P2E experience, aligning with our original design. This will also increase the value of airdrops, resulting in a positive feedback loop.

To stabilize and increase $GEEK's price, we plan to use part of the in-game purchase revenue to support price stability and growth.

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Thank you for reading this long explanation of tokenomics. We truly appreciate your continued cheering for Last Memories, and we are committed to running this game flexibly, taking your feedback into consideration.

If you have any suggestions, please feel free to share them with us (we may not be able to reply individually, but we read everything):
"De:lithe Last Memories" Feedback Form

We look forward to your continued cheering of Last Memories!

Executive Producer:
Yoshiyuki Kumon