The Problematic Past With Traditional Gaming

Pay to win or freemium; These are both phrases you’ve likely heard if you’ve ever spent time gaming. In 2020, over $54 billion was spent on in-game assets. That’s a lot of money for people to put into cosmetics, accessories, or other digital assets that the users themselves do not own. 

Video games have evolved through three phases. First came games where users pay a one-time fee and would get access to all the features of that game such as World of Warcraft.

Next were games that were free-to-play but often have in-app or in game purchase options like Zynga Poker, Candy Crush or Clash of Clans mobile apps. This attracted a wider audience while still allowing the makers and only the makers for the most part, to monetize their games.

The Rise of Play-To-Earn Crypto Games

The third phase is a play-to-earn model where users earn money for winning, playing and items they own or build in the game powered by cryptocurrency and blockchain technology to ensure digital trust and a decentralized storage of value.

In this world of Play-to-Earn model of video games, the player can receive rewards with real-world value. It embraces the concept of an open economy, and also provides financial benefits to all players who add value by contributing to the game world. It basically allows gamers the opportunity to farm or collect cryptocurrency and NFTs that can be sold on the market.

It is estimated that by 2025 the global gaming industry is expected to reach a value of $268 billion. Cryptocurrencies have moved its foot into this growing segment and has realized the impact that blockchain technology can have on it.

Although they’re not yet mainstream in the gaming world, crypto games are catching on quickly.

In the future, people will become more inclined not play a game unless they are being properly valued for that time. Video game developers are constantly competing for players, leading many to offer greater incentives to players. As a result, players are beginning to place greater importance on their time and will spend it playing games in which they actively earn rewards.

This phenomenon will cause rapid growth in the gaming economy, leading video games to become even further integrated into mainstream society. Many players are already able to make a living by livestreaming and creating content relating to video games. However, making a full time living from playing games, even without streaming or creating content, could become a common occurrence in the near future.

As the blockchain and cryptocurrency industries have grown, so have the number of crypto games, which allow players to earn digital coins by playing. Whether they’re used to introduce people to crypto, make a living, or just have fun, crypto games will have a significant impact on the gaming industry and the future of society.

 Crypto games are a relatively new form of gaming that is growing in popularity. There is a wide variety of play-to-earn crypto games which each operate under their own set of rules and procedures.

• Crypto games allow players to earn digital coins while playing, which can then be traded for other cryptocurrencies or fiat currency.
• Mass majority of gamers expected to transition to play-to-earn games in the next five years.
• Crypto games will cause rapid growth in the gaming economy, create thriving communities and increase opportunities for both players and developers.

What is Blockchain?

Introducing CashRiddle! 

CashRiddle™ is the world's first skill-based riddle game/contest that utilizes blockchain technology where contestants play-to-earn digital cash (aka "cryptocurrency) that's 100% legal and lawful in accordance and compliance with USA regulations!

While the nature of CashRiddle is appealing and fairly simple to understand, the back-end integration of blockchain technology is what makes CashRiddle so innovative and trailblazing into the next phase of skill based gaming. Furthermore, we do not use existing riddles, but rather, a skilled, sustainable and scalable process in which to generate, harness and secure original riddles.  CashRiddle is the first low-risk, high-reward, skill-based, play-to-earn, riddle-generated contest mobile app that requires 100% skill with virtually no chance whatsoever at randomly guessing, much less scouring the internet in attempt to find the answer! 

With CashRiddle, it honestly doesn't matter who wins, how many win (or doesn't win), but rather, the fact that anyone has the opportunity to win at any CashRiddle contest at any time! Now how much a contestant wins from answering a riddle correctly is primarily determined by how many additional contestants answer daily riddles correctly just the same! If no contestants answer the daily riddle correctly within the four hour period, then the CashPot continues to increase until someone does! This is what makes CashRiddle so unique and appealing!

Ironically, while Bitcoin has been known to be very volatile and fluctuate in value considerably since it’s inception, it is an ideal protocol to integrate into skill-based gaming platforms like CashRiddle, given Bitcoin’s worldwide recognition adoption,  decentralization as well as the ability to be easily converted to traditional fiat currency at any time!

🎮 Gameplay

1. Contestants pay $1 to enter contest to solve daily riddles (two riddles daily).
2. Contestants have four (4) hours in which to answer the daily riddle before the game is over.
3. Contestants can Retry to make additional attempts to answer the daily riddle.
4. Contestants use a Lifeline to request others to assist in answering the daily riddle.
5. Contestants can Eliminate up to four letters from the alphabet that are NOT in the answer to the riddle.
6. Any/all Contestants who answer the riddle correctly within the four (4) hour timeframe will either win all or split the total Cashpot once the contest has ended and the winners are announced.
7. Contestants to answer riddles correctly in first, second and third place will earn an additional bonus! 

Market Share: Total Users Per Skill-based Riddles/Puzzles Mobile Apps (Google Play)

How Backers & Investors Make Money with CashRiddle

Royalty-based Funding Benefits

• Royalty financing is appealing to investors looking for a faster return on investment than equity typically provides. Equity investors must typically wait for the occurrence of an IPO, exit event or leveraged recapitalization to recoup some or all of their investment. By contrast, royalty monetization provides immediate access to an existing cash flow through the acquired royalty stream.
• Compared to debt financing, investors are guaranteed a certain amount of profit with more convenient payback terms directly linked to the performance of the business and less severe penalties for default.
• Royalty financing is also attractive to investors looking to minimize the risk of market volatility. By investing in a particular product’s royalty or revenue stream, the investment is directly tied to the underlying economics of the product.
• Increased certainty is another benefit of royalty financing. With traditional equity, the investment value is a function of many disparate factors, including the target’s entire product portfolio (and the accompanying uncertainty as to which products will be blockbusters and which will be busts).
• Since royalty payments are based on a fixed percentage of revenues, it is better suited than debt for businesses in the early stages of revenue generation.
• Investors recoup their investments regardless of how well the business does.
• Royalty financing comes with a lower risk of default because the payments are much more flexible, while equity is less flexible and debt financing is very limited.
• If the company does default, the investors get paid back before those with a stake in the business.
• Royalty financing investors share in the success of the business since their return will be higher if the business is successful and lower if the business trails its revenue projections.
• Royalty and debt payments typically are tax-deductible while equity financing doesn't affect taxes.
• Royalty payments are not subject to capitalization pursuant to Sec. 263A-1(f) and Sec. 471 ( T.D. 9652 )

Q: Is CashRiddle gambling?

A: Not at all. Unlike the lottery, in which the outcome is determined purely by the odds and chance, skill-based gaming where fees are involved, is where the outcome is primarily determined by physical or mental skill with minimal to no element of chance whatsoever.

Q: Does the game require a payment of an entry fee, yet no amount of that  entry fee  contributes to the Cashpot prize amount?

A: Yes. While the entry fee is our CashRiddle digital currency equivalent to $1USD to enter into any and all CashRiddle contests.  The Cashpot prize amount is established and broadcasted when the contest is initially announced prior to any/ all contests.

Q:  Does the Cashpot prize amount stay the same regardless of the number of participants? 

A:  Yes. The size of the Cashpot only increases with future contests. 

Q:  Is the game operator, or anyone associated with the operations unable to compete? 

A:  Yes. All parties associated directly and indirectly with the operation of CashRiddle are restricted from participating as contestants. To do otherwise would adversely affect trust of the CashRiddle community, not to mention, this would be a direct conflict of interest, and most of all, this allowance would promote fraud and misrepresentation from within.  

To protect against potential occurrences, we are employing transparent AML and KYC compliance software integrated into our platform via blockchain technology to ensure that all of our CashRiddle winner's identities, ages, locations, as well as the amount, date and time of their winnings will be determined, validated and adhered to based on state by state regulatory compliance within the United States of America.

Q: How does CashRiddle make money?

A: CashRiddle earns revenue in 4 ways:

1. 30% to 40% split of all revenue received

2. Lifeline feature

3. Elimination feature

4.Transaction fees

Q: Is there a large market that exists for riddle games?

A: Definitely! Between puzzles, riddles and other brain teasers, there are hundreds of mobile apps on the Android and iOS app stores that reflect tens of thousands to millions of users per mobile app. However, more notably, most if not all of the mobile apps on these app stores are not play-to-earn!

Q:  How do you plan to raise capital through your networks? 

A: We are currently seeking to raise initial funds to develop version 1.0 of CashRiddle. We strongly felt that offering royalties on a business model such as this one would be highly ideal and significantly more attractive opposed to equity, debt or even trivial or whimsical perks such as t-shirts, posters or other trinkets that are nice, but just doesn't hit the mark for CashRiddle. 

We will also build an investor portal in the 2.0 iteration of CashRiddle, which would give accredited and non-accredited investors the opportunity to choose upcoming daily riddle contests in which to invest directly into the Cashpot and receive royalties paid out on a monthly basis at any time they choose.

We are very excited about the potential CashRiddle will have on the skill-based gaming community as well as a successful partnership with our trailblazing Backers to help CashRiddle come to fruition.

📝 State-by-by-State Contest Regulations

➤ Contest & Sweepstakes Laws By State

The Core Team

Game Development Proposal