I’m saying this because I haven’t seen any breakout GameFi project in recent times, even though the market is green. What could be the issue? We’ve seen projects with potential, but once the hype dies down, that’s usually the end.
You've just said the fate of gamefi's and that's what actually has happened already. The hype has died down and this made a lot of people stopped getting into gamefi's. While the gamers are still playing but these are the gamers that typically don't care about the tokenomics of the games that they play. While the token itself is the symbol of how the game is going on, there is not that much means that there are not a lot of investors that are on it.
So-called investors are often, it seems to me, the actual problem.
By designing for so called "investors" rather than for the players one ends up trying to leech value from the players to provide profits to the "investors".
Nice is to leech value from "investors" by setting up reliable market-making / trading strategies as profit-centres, earning on one side or another of a trading-pair whenever relative price of each side of the pair changes enough as measures in the other side of the pair, and use the profits from those profit-centres to provide potential profit for the players, even if doing it as trivially simply as setting up wars where players battle among themselves for who gets how much of the profit the various profit-centres generate.
There seem to be plenty of good pairs available to use as profit-centres, the
Galactic Milieu added the BTC/XLM pair to its mix quite some time back for example and that has proven to be quite a nice profit-centre, likely most gamefi operating on one of the top token-platforms could equally well use its platform's native coin versus bitcoin about as well...
The main idea is it is not "investors" who should profit, it is "players".
Any profits to be had should be had by the players, the "investment" involved being actually playing the game.
Using off-the-shelf free open source games initially to bootstrap is particularly helpful toward that as it minimises the operatings expenses of the games involved while also providing an existing often very dedicated player-base and a huge ability for potential players to become as expert as they wish in the game by using existing free-to-play servers already serving the game or even by running their own server to practice on, reading the code if they wish to deeply learn precise points of game-mechanics that could affect their strategies and so on and so on and so on...
-MarkM-