sorry, but I do not see any advantages in this particular project? how do you want to avoid competition? that your project was in demand?
I did not really see the appeal or benefit at first, but if you check the explanation you will see that there is a big market for sth like this.
I don't understand the initial question. Advantages of being on crypto are numerous, decentralization, security and many more. And the idea itself has a lot of potential usages as there is a strong scene involved with it.
If they plan to migrate a lot of users from existing platforms - the profit is already there from the start. Not a lot of projects have this advantage.