This proposal and request is being written by @yabapmatt, co-founder & current President and CEO of Steem Monsters Corp., the company behind the blockchain-based game Splinterlands (formerly Steem Monsters) that has been operating on the Hive blockchain (and previously the Steem blockchain) for the past six years.
For years, Splinterlands has prided ourselves on operating a profitable business and on being able to provide significant value back to the Hive community who have made this all possible. We have purchased millions of HIVE tokens off of external markets, we have burned millions of HIVE tokens to create accounts, we have funded and initially designed and built two of the most widely used tools on the platform - Hive Engine and Hive Keychain - and we have brought thousands of users and tons of attention to the Hive blockchain during that time.
It is with extreme humility that I am now asking the Hive community for help.
How We Got Here
In the crypto bull market mania of 2021 and early 2022, the company leadership at the time decided to expand massively and branch out to building many other game products and a blockchain-gaming platform (all on Hive, of course). This was done under the assumption that the bull market would continue indefinitely (or at least for quite a while longer) and that the more products the company could put out, the better.
As it happened, the bull market ended abruptly in mid-2022 and the company quickly went from being highly profitable to having significant losses while having also taken on many more projects than it could support. This was, unfortunately, allowed to continue for over a year until September, 2023, when the company's board of directors voted for a change in leadership and strategy.
At that time, the game platform project and all of the games other than Splinterlands were split out into a subsidiary company (Invennium Corp), which is being led by @aggroed. I became President and CEO of Steem Monsters Corp, with my sole focus on turning the Splinterlands game into a profitable and growing business.
Raising Capital
As part of the plan to turn the business around, we are going to need to raise capital. There are a number of options to raise capital for the business outside of the Hive ecosystem, and we are pursuing all of them regardless of whether or not this proposal is funded, but if the Hive community chooses to help fund Splinterlands, it will be an opportunity to ensure that Splinterlands remains on the Hive blockchain and is not forced to move to another chain.
It is important to understand that most outside sources of capital that invest in the crypto/web3 space are either directly or indirectly affiliated with other blockchain platforms. In fact, most of the other top blockchains have specific VC funds and/or grant programs to encourage projects to build on their chain.
Nearly every investor call I've been on for Splinterlands (and there have been many over the years) has had a lengthy discussion about why we use Hive instead of the other more prominent chains with much larger ecosystems and market caps, and often - despite our best attempts to explain the benefits of Hive - the investors are only interested if we were to move the game to their preferred chain.
I have no interest in moving the game to another chain, as I truly believe that Hive is the best chain to support our mission, but if we're unable to raise the capital we need from the DHF and/or other investors who support us staying here, then it is possible we could be forced to do so at some point in the future.
We can already see this happening with projects like Ethgard Legends, created by top Hive witness @therealwolf, which started as a Hive game but has now moved over to Base chain. I know that Base has some significant incentive programs for projects to build there, although I don't know if that was the reason behind his decision to move the game.
Either way, this is a big missed opportunity for Hive in my opinion.
Funding Request & Use of Funds
All that said, I am humbly asking the Hive community for 500k HBD in funding, paid out over the next 6 months (2777 HBD per day), in order to help fund the ongoing development and operation of the Splinterlands game product right here on the Hive blockchain.
I have and will continue to do everything I can to keep the overhead costs of running the business as low as possible to ensure that nearly all of our funds go towards building the best possible product that brings the most amount of new people and exposure to the Hive blockchain as possible.
To some of you this may sound like a very large sum, and it is relative to most of the other projects on Hive and most of the other DHF proposals, however it is actually quite small in relation to the multi-million dollar grant programs available on other blockchain ecosystems with which we are competing, and it is also quite small in relation to what Splinterlands has shown it can accomplish in the past and the value it can bring to the Hive ecosystem.
We are currently working on improving our onboarding experience to increase the conversion rate from new players signing up through spending money in the ecosystem, and once that is done later this year we are planning to launch a major marketing campaign - hopefully coinciding with the beginning of the next major bull market in crypto.
This is primarily what these funds will be used for - hiring a top web3 marketer and running a number of marketing and promotional campaigns to bring a significant amount of attention and active, paying users to the Hive blockchain through Splinterlands.
It is also important to note that Splinterlands will not sell the HBD received from this proposal on external markets. Instead we plan to swap it for our in-game token (DEC) on Hive engine using the liquidity pools there. We are able to convert DEC tokens to USD when needed to fund the marketing campaign and other expenses through our in-game Credits system, so that means that any HBD received from this proposal will remain within the Hive ecosystem unless the Hive engine liquidity providers choose to withdraw it from the pools and sell it themselves.
Hive Needs to Compete
As a member of this community for nearly seven years now, it has been extremely sad to see Hive continue to fall in relation to other chains by nearly every metric, especially considering it is superior to most of the other projects in so many ways.
As a long-time Hive stakeholder, it is my belief that we need to use our resources to get as many great projects building in this ecosystem as possible if we want any chance at maintaining relevance and value in this space.
The DHF may not have as much available as other VC-backed chains, but if we are able to allocate that capital effectively to projects that generate a significant return back to the platform in terms of new users and visibility then we can compete with the best of them.
I think it's fair to say that Splinterlands has proven in the past that it can deliver, and although we have made some mistakes recently, I hope it is clear that we are acknowledging them, we are fixing them, and we are doing whatever it takes to get back to being one of the top web3 projects in the world and showing everyone in the space the value of being a part of the Hive ecosystem.
Thank You For Your Support!
I sincerely hope that the Hive stakeholders choose to support this proposal - both as the co-founder of Splinterlands and as a large Hive stakeholder myself - but either way, I want to end this post by thanking the Hive community (which includes everyone reading this post) for your support over these last six years.
When we put up that first website for the project back in 2018 I never would have imagined it would get to this point, the amount of support we would get from this community, or the number of amazing people I've met and worked with as part of this journey. It has certainly been a life-changing experience and I hope to one day be able to contribute back to the Hive community as much as it has given me. Thank you.
-- @yabapmatt
P.S. I look forward to getting to meet and talk with many of you in person at HiveFest in Croatia! I can't wait for the event and I am proud to once again be able to sponsor the event both personally and on behalf of Splinterlands.
Probably, you don't know, these proposals accepted by approx. 20% of total active HP.
So, since SPL played a big role in the up stick and after the down one, as well, I just suppose, they should have 20% of total active HP.
In reality, I know, they don't have, as they don't really know Hive economy part, never was intention of SPL people to 'educate' them.
I also think, the DHF proposals should have at least 40% total active HP approval rate (more likely 50%+), but Hive in this point of view, simply not decentralized at all.
In that case, people could block the nonsense money flows, like financing racing car, croatian holiday, never seen, hidden Hive movie etc.
Since DHF Hive, money created out of thin air, and put huge sell pressure, it all should go back for ads, marketing, community building, spread word in web2 through influencers, streamers etc.
Whoever get this money, they don't even bother to make a real financial report (look what valueplan, and leofinance is doing), even if they promise. They max make an amatur post without real numbers, details, and they call it professional project management...😂
Lots of people should be SACKED OUT asap from the project management, near to DHF money, even just for having the smallest chance for Hive.
But it's just a buddy circle, (how politicians, big corps, oligarch circles) not a coincidence this Matt guy finish his proposal with the Croatian holiday... i mean wtf real business that have with proposal? nothing.😉
so how things go, just take it, it's a one way street, and who are onboard, in the circle, care about the small amount today in their pocket, not actually use DHF money for the right purpose, and take the big money tomorrow.
Yes, I know, that means 99%+ of active Hive users haven't seen it yet. (anyway, that part is not important.)
I read your last post about it. And no offence, but from average user point of view, it looks like this. The kinda top secret cia movie about area-51.
Atm, it's just another project, what about nobody made financial report, but definitely cost a lot, and have just future promise. And correct me if I am wrong, it's ready since a year. After given time, people go with stereotypes, especially, if that's pretty much a safe bet.
Since there is no 'Hive welcome page' with all-in-one info about how it works, front-ends, dapps, dao, everything, video tutorials about basics, especially about sign-up + regularly updated, I see very small chance it will change things.
AND: it will cost again lots of money. probably that's part of the reason why valueplan raised the quarterly amount to 300k. So I can imagine how much it cost.
Yes, I 100% stand for that Hive need a serious project manager with relevant successful background in web2 marketing with active business network, next to knowing web3.
In the end, atm ii's the same, very few people decide what for the money goes, and I am also 100% sure, they got paid (not coincidence even valuplan last post call them P.M.). They failed to do (at least successfully) their job.
Obviously, for web3, especially for soc media, all marketing, ads must happen online. Very basic, cost effective, and effective. (I don't say ask a relevant person, because I exactly know, that you know, rally car won't bring users, even expensive google ads are much more effective.)
I don't question your intention, but the money what just get wasted, could be used much better. The DAU numbers proving, it's not used effectively atm at all. (Hard to use in any worse way.)
For example, just paying couple of grand for a streamer with 0.5-1M+ active followers for 10-15 hours and sit down, stream live with a whale, regular Hive user, walk through registration, basics + make him/her a community, delegate big amount of HP for a month would bring a lot more users than all the valueplan, leofinance stuff did in the last 1+ year...
Anyway, I don't care much, sold my few k Hive when I've got the full picture, now just should get out with min. loss from the lovely games here... :)
However, honestly, GL, and all the best! Time will tell, I am the totally wrong, or others!
> Thats what you called out, thats what I answered.
Obviusly, I haven't called out that, even added, it's not important, Hivers seen or not. I called out: not a single potential new user seen it yet. (No need to ride on words, turn them in and out, when you exactly know what I meant, I don't suppose about you any mental sickness, because you have different opinion, point of view.)
:) I actually was involved in organizing streams like that. So I know the pricing, it's way less. At least few years ago twitch streamers did 10 hours within 2 weeks for 3-6k based on followers, average live watchers, all was over half M followers (Since then, I heard, they do it even cheaper, as twitch cut rewards.)
- the advantage, that get a streamer onboard here, and delegate HP for him for a month, could even lower that cost, as he can deliver prizes through upvotes for his followers + next to that earn from Hive, too, even for long term.
Perfect example why Hive need a serious person, not silly kids playing with everybody's money, and can't even make a financial report, what for they waste it. Sorry, but you don't even understand how, with what benefits, discounts it could be best advertised in the most cost effective way. You just don't even see the benefit of Hive regarding this one either.
> You can track all payments yourself
:) I checked those, I saw, plenty of these paid in front, strangly, found only very few ones, who return the left-overs...
But you know, it's untrackable for average user, and as I am sure, nobody takes really care of it. Anyway, not even that's the point.
> Youre the type of guy that will spread negativity, falsly
> cognitive dissonance will kick in at that point
Sounds like someone has taken it upon themselves to call attention to general problems with DHF and the few, who really decide what for it will be spent. I wonder why?
Hive itself didn't do anything since years, the spike was done by SPL, and general hype. Wasting DHF money what should be spent on ads, marketing, onboarding and financing new projects (not with this system, giving to them the vote, money basically in front, and do nothing, if they deliver nothing), not spent on operational costs of the countless front-ends, what from 2 would be more than enough... etc., etc.
> You wont get that freedom anywhere else. NOT EVEN CLOSE.
What freedom? The DHF financed opinion based censorship machine? or the DHF 20% of total active HP proposal approval rate, what against you can't even vote? very few accounts can control it.
And the above just shows, the real DHF money handlers, in practice, dont want any kind of FREEDOM here, they want to be the LORDS, and wait for the plebs to follow, whatever they think, do. No matter how long, how bad it is working or not...
And me, a non-follower, just called out mentally sick, because my opinion oppose, and you are probably personally feel offended (good feedback, at least I know, sure it included some truth), can't take it as progressive criticism.
Hive need serious people who are in charge over the DHF voted money for ads, marketing, onboarding etc. goes for.
Just as a last point: since years, nobodoy from this valuplan team could make a single successful story, onboarding thousands of people, who are more or less permanently stay.
(not mention the 5-6 front-end operational financing nonsense, especially leo)
DAU, MAU numbers are the obvious feedback, how badly you guys spend that money. But sure, no worries, I know, I have the mental problems! 🤣
Streaming sponsorships
I asked around. It's a way different nowadays, how it was in 2018-19. I have to admit, prices are 2-3x+ , but still the most (cost) effective.
No1 change: got just few answers, but except 1, all came from agencies, managers, not streamers directly. It wasn't like this before. so no direct offers, you know how these operate, need to fix lots of things to be able give offers.
Hourly rate (actively spend the stream with advertising product) is starting from the $2-3k range for an over 1k average live watchers streamer case.
I explained for 1 how this could work regarding payment (the DHF) thing. Why need some from/to range as a basic. They gave me a link, they created a tool based on their streamer clients previous contracts, so you just type here the twitch streamer name, and it gives a range. They wrote, it's more accurate in less popular streamers case, with 1-3k average live watchers. (i think, for profit maximizing purposes they over-shoot the real cost, amount a bit)
https://novo.tv/twitch-sponsorship-rate-calculator
I am sure, these costs could be lowered, if a native english speaker, and relevant person, could explain them the long term earning potential for streamers with Hive, and the benefits of their audiance, but at least stuck at the minimum of the mentioned range.
They also mentioned kick.com is taking away some of the cheaper streamers, but on that platform, it could be done too.
Another one have lots of esports clients, they have pretty wild variety of sponsorships. banners, wearing logos, sponsor them on specific events, even sponsor the specific event itself etc.
i guess, you know twitchtracker, i wasnt aware how big pump the covid-show did, but its slowly declining, so it could be done very cost effectively, just have to find the right ones.
Out of curiousity, I just asked few agencies with lots of streamer clients (all kind of categories), who are organizing campaigns like this, would they even do such things, and what they can offer for crypto projects, how many streamers are familiar, did crypto ads before. i guess they will be back in the next week.
so, i don't see why it couldn't work in some form, and it's not that expensive, how you wrote, even if it's already not that cheap how i thought. definitely could be more effective instead of actual leofinance, valueplan ads, onboarding.
As i just wrote, you can negotiate with them, make a proper deal.
well, your insane high 20-30k USD for a 15 second promotion is the out of reality, and just shows, you never even went after this (what i told, Hive need a serious marketing project manager). if we compare it to that, i was much nearer to actual numbers.
obviously, you don't know how a similar marketing campaign building up on twitch. you don't start with big ones, but with small ones, making giveaways, promotions for their audiance, when the word has spread, it went viral, you do with bigger ones, so it's not limited only for a certain streamer audiance, but pretty much way over 50%+ of active twitch users, lets say in a month. even with the given prices, it can be done for the cost, what the rally car has taken in this year. going viral on twitch, or lets race in monaco! up to what you really want to achieve from that money. growing Hive, or enjoy your hobby... :)
and i never said I would spend 70k, you try to push it in my mouth, i told what it cost, when i was involved in a similar one years ago. dont need to be 10hours, obviously.
:) a car, in any form, never can be an investment. definitely not as a sponsorship for a web3 project. nor the bike racing - even if that's 'just' $20k in this year so far, not $200k like your hobby... :)
why don't you post a poll about it, with real numbers, the hourly rates what they gave, what would people think, what is worthy, spend $200k+ in a year for a rally car, or spend for few top streamers and lots of smaller ones within a campaign on Twitch, in form to get them longer term onboard with their audiance?
you know the answer, i know the answer, everybody knows the answer.
you could also add the leofinance money wasting, the wrestling nonsense, some of these 5k+/conference attendances, vibes etc. and you end up way over $500k spend for nothing in a year, what didnt bring a single user... so the money is there, just spent totally wrong.
actually, i think, you don't really want to grow Hive, because current controllers, whales have a fear they lose control if Hive grows, so no more privilige accessing to the money tap. nothing else makes any sense.
I knew you were a Splinterlander and a Hive Witness when I reached out to you and, as your profile says you are in Marketing, as am I, I thought you might think I was at least worth hearing out, rather than leaping to assumptions as you actually did.
Your "advice" was that I need to prove I can do something before doing something, which is literally impossible.
A rational response would be to listen to my plan, ask thoughtful questions, and if you found it stacked up, give it your support and if it doesn't, point out what is wrong.
I don't know what your business background or experience is, but there is nothing at all strange about reaching out to influential people to gather consensus and support for new initiatives.
Finally, as you like quotes so much, what i asked you was
"I am trying to build consensus and support for the plan, so if I could gain that from you, it would be awesome. All I ask is let me lay it out for you and you can see for yourself if it stacks or not, and so worth supporting or not".
To which you replied "There isnt really much I can help you with now. especially put my name behind an idea you might have. especially if you will request funding for it.
You have to prove you can deliver something or build value for Hive before you can get a real answer from anyone. Sorry."
In summary, you refused to listen, leapt to conclusions, and blew me off without ever taking the trouble to find out if my plan had any merit at all.
Those are the facts mate,
I had to look up disingenuous and it equates to deception, so again you have just made stuff up, (hurtful, insulting stuff), when you could have just as easily and with less effort asked a question or two and actually learned something.
All in all, you have been exactly what I said about Hivers, which is you are not a group that is either open or welcoming.
You try and paint that as fud, aka fear, uncertainty, and doubt. No idea where you pulled that from but it is just as false as your other unmerited attacks on me.
Don't worry though, I don't hold grudges and won't be getting involved in downvoting or blacklisting people, which is just petty.
I would strongly recommend taking a more fact based, question lead, approach rather than making stuff up, but you do you! 😀
In which ways do you think I should contribute to Hive?
Indeed, which ways to contribute on Hive are there?
To me, it is primarily just the platform Splinterlands runs on. As mentioned above, it is only through the kindness and patience of others that I have come to understand Hive is more than that.
As to discrimination, you keep refusing to listen to me cos I lack hive profile. That IS discrimination.
The way to know if you can take someone seriously is you listen to what they have to say and decide if it stacks up.
You have not done that, you have made up stuff, hurled accusations, and basically done everything but listen!
Frankly, listening to me would have taken less time than this frustrating chat has!!
I have no literally idea what you are on about when you say contribute before you will listen. If you won't listen then I can't contribute.
It is by getting to know each other that we can build trust, not by some random blockchain data.
Telling me to go network is hilarious advice, cos I am trying to network with you and other hivers and you keep rebufffing me.
Consider this, if I am even halfway onto something, that is significant for both hive and splinterlands, and if, as I believe it can, this plan works out, it could be transformative for both.
Sure, kind of big claims perhaps, but what if it is all true and possible? You owe it to yourself, hive and splinterlands to at least find out, right?
Maybe it is you that needs to beat your own scpeticism....
Come on, man, loosen up and let me talk with you. I promise not to bite! Or suck!!
The proposal is interesting.
In my opinion, the first and biggest error was to raise the price of packs to 4$ and then even higher with the suggestion, that it could be even higher while berating people who didn't want to or just couldn't pay those prices.
After all, buying a few packs was not enough to be even competitive in Bronze.
Everyone with a brain could have predicted, that this would nosedive the potential for new players, for active players, for future advocates of this game, for multipliers, for genuine and natural marketing opportunities, and last but not least, for a thriving and growing player base.
I for myself dipped out after Chaos Legion, when I felt, that this turned into a money-grabbing operation, that insulted critics and wasn't open to normal players anymore.
I can only guess who was responsible for this shift, but I have a few quotes in mind, that didn't sit well with me at the time, while all the big influencers and the team itself egged those comments on.
The most egregious comment was along the lines of "This game is not for players, who just want to play and not want to spend a whole lot of money before they can earn it back. In a year, everybody who invests big will be better off. We don't want to be a project for everyone but for risk-takers."
Not word for word of course, I would have to dig through my archive, but the sentiment was exactly that.
It was pretty clear, that delusions of grandeur, and resentment against players without deep pockets had gripped parts of the team, and though I loved playing the game up until this moment, I was out.
I hope you turn this project around, I still have all my initial investment in cards and SPS in the game as well as a lot of good memories.
But in my opinion, every effort will be mute, if you don't reverse the terrible decision to raise the price of packs from 2$ to 4 and up, because blending up to 400 cards, is not feasible for 99% of potential players to want to buy as many packs to be competitive.
That's just it.
You could have had a thriving and growing player base even after the bull market in mid-2022. I strongly believe, this is the crux of the problem and I know for a fact that my decision and the decisions of a couple of players, whom I knew then pretty well had everything to do with raising the price, the potential to raise prices again in the future and the smug responses from parts of the team or big players who were influencing the decisions of the team that
"we don't want cheapskates and leeches".
Just my 2 cents. Have a good one.
@gank | July 18, 2024, 6:24 p.m. | Votes: 12 | [
VOTE ]
Having been on this blockchain for nearly 7 years, and playing Splinterlands for nearly 6 years, I have had interactions with many of you, and no doubt opinions of me cover the entire spectrum.
I think most would agree, at the very least, I am passionate about the things I believe in.
I found Steem/Hive in September 2017 and fell in love with the potential of this blockchain for businesses and games to build on. A love I still have, and to this day 98% of my crypto experiences involve HIVE.
When SteemMonsters/Splinterlands came along, I fell in love with the concept and the nostalgic MTG feel it had to me.
As the game started gaining traction, I thought the flood gates would open with other businesses and games coming to HIVE to build. Some did, but I still couldn't believe that there wasn't more.
Splinterlands continued to grow, and then caught a comet, and found itself bigger, shining brighter and at a speed that no one thought possible.
Almost overnight, a couple of tech savvy gamers with a cool gaming idea, @aggroed and @yabapmatt , went from running a small 5 person team working on a passion project to running a serious business with over a 100 person team.
The reality is that would be a tough situation for a seasoned CEO, with a business background, who has experience running medium to large companies to be able to manage all of the internal and external relationships, as well as maintaining a long-term vision in a successful way.
Of course there were going to be some big mistakes made. I am confident that @yabapmatt has learned a lot from that roller coaster and has been hard at work at bringing the game and the long-term vision in-line with a sustainable and successful approach.
There is no doubt that Splinterlands is one of the best ongoing advertisements for what the HIVE blockchain is capable of handling, in terms of users and actions, to other potential businesses and gaming companies looking to build.
Splinterlands has also onboarded tens of thousands of players and hundreds of thousands of accounts onto the blockchain over the years, and have even created a process for a new player to not have to even know anything about HIVE or blockchains to start playing, which is important for lowering the barrier of entry into the game (and blockchain) and improving the New Player Experience.
I do agree with what some people have said that Splinterlands players should also understand the importance of being a part of the HIVE ecosystem and powering up HIVE to help secure and support the chain. It is to this point why I have written this.
I think it would go a long way with garnering more support and traction for this proposal, and also show a planned, good-faith effort from Splinterlands, if @yabapmatt would earmark 5% to 10% of this proposals funds to be used for efforts to educate players and facilitate transitioning players' views to understanding the importance of also being a part of the decentralized HIVE community and ecosystem.
Thanks for your time and consideration,
Gank