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		<title>Creator economy monetises isolation</title>
		<link>https://internationalfinance.com/magazine/economy-magazine/creator-economy-monetises-isolation/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=creator-economy-monetises-isolation</link>
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		<dc:creator><![CDATA[IFM Correspondent]]></dc:creator>
		<pubDate>Mon, 15 Dec 2025 17:03:32 +0000</pubDate>
				<category><![CDATA[Economy]]></category>
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		<category><![CDATA[AI Agents]]></category>
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		<category><![CDATA[Creator Economy]]></category>
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		<category><![CDATA[Monetisation]]></category>
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					<description><![CDATA[<p>The creator economy is not a trend to be dabbled in but a market condition to be mastered</p>
<p>The post <a href="https://internationalfinance.com/magazine/economy-magazine/creator-economy-monetises-isolation/">Creator economy monetises isolation</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>The global marketing landscape is currently navigating a seismic structural transformation that has elevated the creator economy from a peripheral digital subculture to a central pillar of modern commerce. What began as a scattered collection of hobbyists sharing grainy videos from their bedrooms has matured into a sophisticated industrial complex that rivals the GDP of mid-sized nations. By 2027, the ecosystem is projected to reach a staggering valuation of approximately $480 billion. The market has doubled in size from $250 billion in 2023, driven by a compound annual growth rate that aligns with and often exceeds the broader trajectory of global digital advertising spend.</p>
<p>It was an explosive valuation underpinned by a massive expansion in the labour force itself. There are currently 50 million global creators, a population that exceeds the number of people working in many traditional industrial sectors. The workforce is growing at a compound annual growth rate of 10 to 20%, ensuring a steady supply of new talent and content inventory for platforms to monetise. Yet, despite the scale, the industry remains top-heavy. Research indicates that only about 4% of these 50 million creators are deemed professionals, defined as those earning more than $100,000 annually. The remaining 96% constitute a vast long tail of amateurs and aspiring professionals who are fighting for visibility in an increasingly saturated attention economy.</p>
<p>The economic engine of the creator economy is fuelled primarily by brand partnerships. Despite the hype surrounding direct-to-fan monetisation models, roughly 70% of creator revenue is still derived from brand deals. It statistically highlights a critical dependency (creators rely heavily on corporate marketing budgets) and explains why brands are paying such close attention. Brands are no longer viewing creator marketing as an experimental line item. They are a core component of their digital strategy. As digital media consumption rises, the efficacy of traditional interruptive advertising declines, forcing capital into environments where engagement is organic and trust is already established.</p>
<p>However, the integration of creators into the corporate machine requires sophisticated tooling, and the intersection of the creator economy and Customer Relationship Management (CRM) becomes vital. As Salesforce notes, a marketing CRM is now essential for managing the potentially overwhelming process of creator campaigns. Brands are moving away from ad-hoc spreadsheets to enterprise-grade systems that track engagement, attribute website visits to specific creator posts, and calculate the lifetime value of customers acquired through these channels. By treating every creator as a mini-campaign, brands can use CRM data to log interest, nurture leads, and optimise content strategies based on hard performance metrics rather than vanity metrics like likes or views.</p>
<p><strong>The death of social graph</strong></p>
<p>To understand the volatility and opportunity within such an economy, one must recognise the fundamental shift in how content is distributed. The industry has moved from the social graph to the interest graph, a transition that has redefined the mechanics of digital fame. In the era of the social graph (dominated by early Facebook and Instagram), content distribution was determined by connections. Users saw content because they followed a creator or were friends with them. Discovery was limited by the size of one&#8217;s network, favouring established celebrities and those who accumulated large follower counts early on.</p>
<p>Today, platforms like TikTok, YouTube Shorts, and Instagram Reels utilise the interest graph. The model serves content based on user behaviour and predicted interest regardless of social connections. The algorithm analyses dwell time completion rates and interaction signals to build a dynamic profile of what the user wants to see. It then surfaces content from anyone (even a creator with zero followers) that matches those interests. The shift has democratised virality, allowing a creator to reach millions overnight without spending years building a follower base. However, it has also introduced extreme volatility. A creator can have one video reach 10 million views and the next reach 10,000 because the concept of a follower is becoming less relevant. The algorithm does not guarantee that followers will see a creator&#8217;s posts. Meaning reach must be earned with every single piece of content.</p>
<p>The &#8220;meritocratic&#8221; pressure creates a relentless psychological grind for creators. The need to constantly feed the algorithm has precipitated a severe mental health crisis within the industry. Recent studies reveal that 62% of creators experience burnout and 52% suffer from anxiety. Most alarmingly, 10% of creators report having suicidal thoughts related to their work, a rate nearly double the national average for US adults. It’s a crisis exacerbated by financial instability, as 69% of creators report feeling financially insecure despite their public success.</p>
<p>The psychological toll is compounded by the nature of the relationship between creator and audience and is known as a parasocial relationship, a one-sided bond where a viewer feels a sense of intimacy and friendship with a media figure. Unlike traditional celebrities who are admired from afar, creators are relatable figures who film in their bedrooms and share their personal failures. Here, a pseudo-friendship is created that drives high conversion rates for brands because recommendations feel like advice from a trusted friend.</p>
<p>However, maintaining such a relationship requires constant identity work. Creators must balance authenticity with curation, presenting a filtered self that attracts followers while periodically revealing their &#8220;no filter&#8221; self to maintain relatability. The circular loop of performance is exhausting because the creator can never truly be &#8220;off&#8221; when their personality is the product.</p>
<p>In response to saturation and the pressure to sell a new trend, a new trend known as &#8220;de-influencing&#8221; has emerged, which involves creators telling their followers what not to buy. Far from being a rejection of the creator economy, de-influencing represents its maturation. It addresses audience fatigue and growing scepticism toward constant product promotion. By being honest about bad products, creators prove they are not mere shills, which paradoxically increases their influence and trustworthiness when they do recommend a product in the future.</p>
<p><strong>The new rules of monetisation</strong></p>
<p>Given the fragility of algorithmic reach and the mental toll of the content grind, savvy creators are aggressively diversifying their revenue streams. The industry is moving beyond simple brand endorsements toward a more robust set of business models. Four primary pillars of monetisation are reshaping the landscape. They are donation, transaction, subscription, and membership.</p>
<p>The donation model functions as a digital tip jar relying on the altruism of the audience. Platforms like &#8220;Buy Me A Coffee&#8221; allow fans to make small one-off payments. While easy to set up, the model is highly unpredictable and often carries a stigma of begging, making it difficult to scale into a six-figure business. The Transactional model (selling a specific digital asset like an online course or eBook) allows creators to capture the full value of their IP immediately. These are launch-based business models, meaning revenue comes in spikes and requires constant marketing effort to find new customers.</p>
<p>The subscription model (popularised by Patreon) offers the holy grail of recurring revenue. By gating content behind a monthly fee, creators can generate a predictable income. However, one needs a large, loyal existing audience and a consistent content output to prevent churn. The most evolved form is the membership model, which combines subscription with community. Here, the value proposition shifts from access to content to access to peers. A model that boasts the highest retention rates because members stay for the community even if they consume less content.</p>
<p>A critical tool in this diversification strategy is the evolution of the &#8220;Link-in-Bio.&#8221; What started as a workaround for Instagram&#8217;s restriction on outbound links has morphed into the creator&#8217;s primary storefront. In 2025, tools like Hopp and PUSH.fm function as mini-websites that integrate branding, e-commerce, and lead capture. A creator might go viral on TikTok (the discovery engine) but will immediately funnel that traffic to their Link-in-Bio (the monetisation engine) to capture email addresses or sell merchandise. The defining playbook of the professional creator is simple. The rent reaches social platforms while owning the audience via email and direct sales.</p>
<p>Furthermore, the demographics of monetisation are shifting. Gen Z creators are approaching the industry with a different mindset than their Millennial predecessors. Data shows that 85% of Gen Z creators rely on native in-platform payouts, signalling a high trust in the platforms themselves, while Millennials are more likely to build diversified ecosystems off-platform. Gen Z values speed and transparency, rejecting &#8220;gatekeeping&#8221; and preferring &#8220;plug-and-play&#8221; tools that allow them to monetise from day one.</p>
<p>We are also witnessing the integration of Web3 technologies as a layer of ownership. While the speculative mania has faded, the utility of blockchain remains relevant for creators seeking true independence. Non-Fungible Tokens (NFTs) and smart contracts allow creators to enforce royalties on secondary sales, ensuring they participate in the value appreciation of their work. By 2025, the global NFT market is valued at roughly $49 billion, with gaming and utility tokens driving the majority of transaction volume. Token-gating allows creators to build portable communities, where the membership list lives on the blockchain rather than on a centralised server, giving them protection against de-platforming.</p>
<p><strong>AI, regulation, and the C-suite</strong></p>
<p>As the creator economy professionalises, it is becoming increasingly intertwined with corporate power structures and advanced technology. The most significant disruptor is artificial intelligence. In 2025, nearly 91% of creators utilise AI in their workflow. We have entered the era of the &#8220;Content Centaur,&#8221; where human creativity is augmented by AI tools to script videos, generate thumbnail art, and even clone voices for dubbing. Efficiency is the name of the game, and it allows a single creator to output the volume of content that previously required a production team.</p>
<p>Beyond content creation, AI is automating the business side of influence. &#8220;AI Agents&#8221; are now capable of negotiating brand deals, managing calendars, and tracking invoices. Platforms are deploying autonomous agents that can scan brand databases, send personalised outreach emails, and negotiate preliminary contract terms without human intervention. For brands, it reduces the administrative burden of influencer marketing, which has historically been a high-friction channel involving endless email back-and-forth.</p>
<p>The rise of synthetic media and &#8220;Virtual Influencers&#8221; challenges the very definition of a creator. CGI or AI-generated personas like Lu do Magalu (Brazil) and Lil Miquela (USA) have amassed millions of followers and secured blue-chip brand partnerships. Lu do Magalu is the most followed virtual influencer in the world with over 46 million followers, acting as a virtual employee who never sleeps, never ages and never generates a scandal. The virtual influencer market is projected to reach $8.5 billion by 2030, offering brands total control over their messaging.</p>
<p>However, the corporate and technological convergence has drawn the eye of regulators. The Federal Trade Commission (FTC) has aggressively updated its guidelines to govern this decentralised workforce. The days of ambiguous disclosures are over. New guidelines mandate that disclosures must be &#8220;clear and conspicuous&#8221; and &#8220;unavoidable&#8221; to the average consumer. Crucially, these regulations explicitly cover AI. If a brand uses a virtual influencer or an AI voice, it must be disclosed to avoid deceiving consumers. The FTC now holds brands and agencies liable for the compliance of their influencers, forcing companies to implement strict monitoring tools to avoid fines that can reach over $50,000 per violation.</p>
<p>The rapid professionalisation is reflected in the corporate hierarchy itself. We are seeing the emergence of the &#8220;Chief Creator Officer&#8221; (CCO), a C-suite executive dedicated to shaping an organisation&#8217;s creative vision and managing relationships with the creator economy.</p>
<p>Companies like WPP Media in Australia have already appointed CCOs to bridge the gap between traditional marketing and the creator ecosystem. It’s a role that acknowledges that creativity is no longer just a marketing tactic. Without a doubt, it’s a core business driver. Furthermore, universities are beginning to offer formal education, with institutions like Syracuse University launching dedicated centres for the creator economy to train the next generation of digital entrepreneurs.</p>
<p><strong>Profiting from epidemic of isolation</strong></p>
<p>Loneliness is no longer merely a public health crisis. In 2025, it has evolved into a sophisticated asset class. As social disconnection reaches epidemic levels globally, the technology sector has pivoted to monetise isolation with ruthless efficiency. Data reveals that one in four adults globally now report feeling chronically lonely, with the figures spiking to 73% among Gen Z. What was once viewed as a societal failure is now being treated as a total addressable market projected to reach a valuation of $140 billion by 2030.</p>
<p>The economic shift is driven by the rise of artificial intelligence companions, which offer a simulation of intimacy that is available on demand and immune to rejection. The explosive growth of the new sector is undeniable. Companion apps have recorded an 88% year-over-year growth rate with over 220 million downloads globally. The demand is so potent that even industry giants like OpenAI have adjusted their safety guidelines. The company recently updated its policies to allow for &#8220;erotica for verified adults,&#8221; acknowledging the historical truth that intimacy (simulated or otherwise) is one of the few things consumers will reliably pay for online.</p>
<p>The business model behind this phenomenon is akin to a mobile game where emotional connection is gated behind microtransactions. Users can download a basic &#8220;girlfriend&#8221; or &#8220;boyfriend&#8221; bot for free, but must pay for the relationship to deepen. Features like image generation or the ability for the AI to &#8220;remember&#8221; previous conversations often require the purchase of tokens or premium subscriptions. It’s a &#8220;pay-to-remember&#8221; mechanic that monetises the user&#8217;s desire for continuity and care, turning emotional validation into a recurring revenue stream. The economics are starkly consolidated, with the top 10% of companion apps capturing 89% of the sector&#8217;s revenue, indicating that the winners are those who can most effectively simulate a parasocial bond.</p>
<p>And by no means is it a trend limited to Western markets. In China, the &#8220;loneliness economy&#8221; is fuelled by a demographic shift in which the single population has exceeded 240 million people. Tech firms like Luobo Intelligence have launched &#8220;emotional robots&#8221; such as the Fuzai (or Fuzozo), which are marketed as &#8220;portable emotional companionship&#8221; for both single adults and the elderly. These devices bridge the gap between a pet and a chatbot, providing physical presence combined with algorithmic responsiveness.</p>
<p>The psychological implications of such an economy are profound. Platforms are manufacturing intimacy at scale using &#8220;micro-gestures&#8221; and first-person language to trigger the brain&#8217;s social reward systems. The signal to move away from generic broadcasting to millions and prioritise one-on-one relationship simulations has already been received by thousands of creators worldwide. However, the financial extraction is explicit. As companies refine these tools, they are proving that in a world of increasing isolation, the most valuable product is not content but companionship itself. By 2030, the sector will likely rival the traditional gaming industry in size, entirely built on the monetisation of the human need to be heard.</p>
<p><strong>The age of ownership</strong></p>
<p>The trajectory of the creator economy toward a half-trillion-dollar valuation by 2027 is a testament to a fundamental reorganisation of global commerce. We are witnessing the industrialisation of influence where the lines between personal identity and corporate entity are irrevocably blurred. What started as a quest for likes has evolved into a battle for ownership (ownership of audience, ownership of data, and ownership of revenue).</p>
<p>For brands, the message is clear. The creator economy is not a trend to be dabbled in but a market condition to be mastered. The shift from the social graph to the interest graph means that resting on the laurels of established followers is no longer a viable strategy. Relevance must be earned daily. For creators, the challenge is to transition from being renters of algorithmic reach to owners of sustainable businesses utilising tools like newsletters, membership sites, and smart contracts to insulate themselves from platform volatility.</p>
<p>As we look toward 2027, the winners will not necessarily be those with the loudest voices, but those with the most resilient infrastructure. Whether it is a solo creator using AI agents to manage a global merchandise empire or a multinational corporation appointing a Chief Creator Officer to navigate the nuances of parasocial trust, the future belongs to those who understand that in the digital age, influence is the most valuable currency of all.</p>
<p>The shift isn’t just about creators making money online. It shows how broken the old systems are. Platforms promise freedom, but they still hold the power. Algorithms decide who eats and who burns out. Brands talk about authenticity, yet most creator income still depends on selling trust to advertisers. That tension won’t disappear.</p>
<p>The smart move forward is ownership. Creators who don’t own their audience will keep riding a rollercoaster they don’t control. Brands that don’t respect creators as long-term partners will keep wasting money on short wins. Artificial intelligence will speed everything up, but it won’t fix the core problem: people are tired, lonely, and easy to monetise.</p>
<p>The creator economy has grown up, but it’s not healthy yet. The next phase won’t reward hype. It will reward creators and companies who build stable income and honest relationships.</p>
<p>The post <a href="https://internationalfinance.com/magazine/economy-magazine/creator-economy-monetises-isolation/">Creator economy monetises isolation</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>The future of fun: Gaming goes mainstream</title>
		<link>https://internationalfinance.com/magazine/banking-and-finance-magazine/the-future-of-fun-gaming-goes-mainstream/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=the-future-of-fun-gaming-goes-mainstream</link>
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		<dc:creator><![CDATA[IFM Correspondent]]></dc:creator>
		<pubDate>Thu, 30 Oct 2025 05:56:14 +0000</pubDate>
				<category><![CDATA[Banking and Finance]]></category>
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		<category><![CDATA[Gamification]]></category>
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					<description><![CDATA[<p>Projected metaverse revenues by 2030 highlight the dominant roles of gaming and e-commerce in a $490-plus billion virtual economy</p>
<p>The post <a href="https://internationalfinance.com/magazine/banking-and-finance-magazine/the-future-of-fun-gaming-goes-mainstream/">The future of fun: Gaming goes mainstream</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
]]></description>
										<content:encoded><![CDATA[<p>Once dismissed as child’s play, gaming today is big business on a global scale. In 2024, the video game market generated about $224 billion in revenue, already larger than the combined global movie and music industries. Analysts project steady growth of around 5% to 8% annually, with some estimates expecting the industry to approach $300 billion by 2029. In fact, Deloitte predicts an even more dramatic trajectory, stating that the sector could be worth $485 billion by 2028. This explosive growth has elevated gaming from a subculture to a central pillar of the entertainment economy, outpacing other media segments and catching the attention of investors worldwide.</p>
<p>What’s driving this surge? For one, gaming has penetrated every corner of the globe and every demographic. From consoles like Xbox and PlayStation to mobile games on billions of smartphones, gaming is now a mainstream pastime for more than three billion people, by some counts.</p>
<p>It’s not just about kids in arcades anymore. It has evolved into a massive audience spanning all ages, eagerly spending time and money on interactive entertainment. Major tech and media companies have taken note, with Netflix now offering games alongside films, and Meta (Facebook’s parent) heavily investing in virtual reality gaming experiences. Gaming isn’t merely entertainment anymore; it represents a data-driven, innovation-hungry industry that closely resembles the tech sector.</p>
<p>Leading game publishers operate like Silicon Valley firms, leveraging user data, analytics, and agile development to keep players hooked and revenues rising. In short, video games have become a global economic powerhouse, reshaping how we think about media, culture, and money.</p>
<p><strong>Innovative monetisation models</strong></p>
<p>In the past, selling a video game was a simple transaction, where a customer bought a game once, and that was it. Today, that one-time purchase model is almost quaint. Modern games are designed to generate continuous revenue streams long after the initial download. How does this happen?</p>
<p>It’s achieved through innovative monetisation models that keep players coming back, and keep the cash flowing. Free-to-play games have led the charge, with titles like Fortnite, League<em> of </em>Legends, and Candy Crush allowing anyone to start playing for free, then earn money by selling enticing extras. These “extras” can be purely cosmetic items like character skins and outfits or functional enhancements like new levels, characters, or power-ups. In 2018 and 2019 alone, Fortnite, free to download, generated over $9 billion in revenue from such in-game purchases.</p>
<p>Players willingly pay for digital goods that personalise their experience or give them bragging rights, and those small purchases by millions of people add up fast. Namely, China’s blockbuster mobile game <em>Honor of Kings</em> grossed an estimated $2.6 billion in 2024, largely from in-app microtransactions.</p>
<p>Another lucrative model is the “games as a service” approach, which often uses subscriptions or season passes. Console and PC games increasingly offer monthly memberships or “battle passes” that unlock exclusive content over time. This provides a steady, recurring income.</p>
<p>Even platforms themselves have subscription services. Big tech companies like Microsoft’s Game Pass and Sony’s PlayStation Plus give players access to a library of games for a monthly fee, blending the Netflix model with gaming. Advertising is yet another revenue stream, as many free mobile games show video ads or banner ads, earning pennies per view that translate into substantial revenue at scale. In 2024, brands spent over $32 billion on in-game advertising, a figure that is projected to rise to nearly 38% of all game industry revenue by 2029 as marketers chase the massive, engaged gaming audience.</p>
<p>Crucially, these monetisation methods are designed to enhance or at least not disrupt the player’s enjoyment. Game companies tread carefully because they want to boost revenue without alienating players. The most successful games strike a balance, offering optional purchases or ads that feel like part of the fun. When executed well, players actually appreciate new content and features, and they reward studios with loyalty (and dollars).</p>
<p>By continually updating games with fresh content such as new levels, events, items, and rewards, publishers keep players engaged for years, not just the week after launch. Consequently, this leads to recurrent income that can far exceed the old single-sale model.</p>
<p>A hit game today can essentially become a platform for ongoing monetisation. Little wonder that investors and financial strategists are now deeply involved in game development decisions, ensuring monetisation is baked into game design from the start.</p>
<p><strong>Where play meets profit</strong></p>
<p>Video games have given rise to vibrant virtual economies that increasingly mirror real-world markets. Players buy, sell, and trade digital assets in many popular games, which can often be referred to as the “goods” of a game’s economy. These might include cosmetic items for avatars, special weapons or gear, collectable cards, virtual real estate, or even entire characters.</p>
<p>What’s remarkable is that players often spend real money to obtain these virtual goods, even though the items have no tangible existence outside the game. The appeal lies in what they do for players. For instance, a rare skin might confer status, a powerful item might improve gameplay, or a custom decoration might allow someone to express their identity. In effect, games have created closed-loop economies where virtual currencies and items hold significant perceived value.</p>
<p>For game companies, this represents a financial goldmine. Virtual item sales have become a major revenue source, often eclipsing the upfront price of the game itself. A player might spend $0 to download a mobile game, then willingly spend $10, $100, or more over time on bonus packs or premium currency to enhance their experience.</p>
<p>This model has blurred the line between gaming and traditional commerce. Players are now both consumers and participants in these digital marketplaces. In titles such as <em>Roblox</em> or <em>EVE Online</em>, entire virtual economies flourish. Players can create goods or content and sell them to others for in-game currency, which in some cases can be exchanged back into real money. Some enterprising gamers treat these ventures like small businesses, earning real income by trading in-game commodities.</p>
<p>Occasionally, the virtual economy intersects with reality in jaw-dropping ways. For example, in early 2023, a single digital weapon skin known as a decorative AK-47 rifle skin in <em>Counter-Strike: Global Offensive</em> was sold to a collector for $400,000 in real money. And that wasn’t even the highest. There have been unconfirmed trades of rare game items valued at over $500,000.</p>
<p>In another example, the esports scene for <em>Dota 2</em> saw its championship prize pool reach $40 million in 2021, funded entirely by players purchasing in-game content. These cases highlight how much value people now place on digital assets. What was once just pixels on a screen can now carry a price tag rivalling a luxury car or a house.</p>
<p>Game developers have nurtured these economies by introducing virtual currencies that players use as intermediate money. For instance, buy 1,000 gems for $10, then spend those gems on items. This indirection helps soften the sense of spending real cash and keeps money circulating within the game ecosystem.</p>
<p>The strategy has paid off handsomely. By 2022, 95% of all game sales revenue was digital rather than physical, reflecting the dominance of in-app purchases and downloads over boxed games. Economists and financial researchers are paying close attention to these virtual markets. Some view them as prototypes for future digital economies, where virtual goods, community-driven value, and creative monetisation could influence real-world business.</p>
<p><strong>NFTs and the metaverse</strong></p>
<p>Beyond the contained economies of individual games, new technologies are pushing the concept of virtual assets even further. Non-fungible tokens (NFTs) and the vision of a broader metaverse have become buzzwords in gaming and finance. In games, NFTs offer a way to give players true ownership of a unique digital item that isn’t confined to a single game’s servers.</p>
<p>An NFT might be a one-of-a-kind sword, a rare character skin, or a plot of virtual land, secured on a blockchain so that players can buy, sell, or trade it outside the game environment. The promise is that a rare digital item could hold value similarly to a physical collectable, with provable scarcity and ownership.</p>
<p>Some early games built around NFTs, like <em>Axie Infinity</em> and <em>Gods Unchained</em>, showed that players would invest significant money for the chance to earn or own valuable in-game NFTs. At one point, <em>Axie Infinity</em> players in developing countries were making a living income through play-to-earn mechanics, though that boom has since tempered.</p>
<p>The metaverse takes the idea of game economies and stretches it to a sprawling virtual universe that blends gaming, social media, and commerce. It’s an immersive online space where people might work, play, socialise, and shop, all using digital avatars. Although the full metaverse concept is still emerging, gaming platforms are already establishing the foundation.</p>
<p><em>Roblox</em>, <em>Fortnite</em>, and <em>Decentraland</em> host virtual events and marketplaces where brands sell digital merchandise and artists perform concerts for millions of virtual attendees. Tech giants are investing heavily. For example, Facebook rebranded as Meta and has poured billions into VR and AR (augmented reality) technology to stake its claim in the metaverse.</p>
<p>The economic potential is immense. According to Statista, the metaverse market, which includes VR/AR hardware, software, digital goods, and more, could reach $490 billion by 2030. This conservative estimate identifies e-commerce and gaming as the primary revenue drivers, with gaming-related metaverse revenue expected to rise from approximately $10 billion today to $163 billion in 2030.</p>
<p>Projected metaverse revenues by 2030 highlight the dominant roles of gaming and e-commerce in a $490-plus billion virtual economy. Already, dozens of companies are racing to build these new virtual worlds or provide the tools for them.</p>
<p>Aside from Meta and major game studios like Epic Games (creator of <em>Fortnite</em>), there are crypto-native platforms such as The Sandbox and <em>Decentraland</em> that sell virtual land as NFTs. Luxury fashion brands have designed virtual clothing for avatars, and real estate in prime virtual locations has sold for millions of dollars.</p>
<p>Sceptics note that the metaverse hype may be ahead of reality, since user numbers in some blockchain-based worlds are still very modest. However, the convergence of gaming, virtual economies, and blockchain is undeniably shifting paradigms. This points to a future in which digital assets and experiences hold economic significance comparable to physical ones. Regulators and economists are paying close attention to how these trends develop, especially as questions surrounding asset ownership, intellectual property, and taxation of virtual earnings become increasingly important.</p>
<p><strong>Wall Street meets gaming</strong></p>
<p>As gaming has become an economic juggernaut, traditional finance is inventing ways to ride the wave. One response has been the creation of gaming-focused financial products like specialised exchange-traded funds (ETFs). These are investment funds that bundle together dozens of gaming-related stocks, such as game publishers, console manufacturers, esports companies, and others, into one tradable package. The VanEck Video Gaming and eSports ETF (ticker: ESPO) offers investors a wide range of exposure to the gaming industry.</p>
<p>Rather than betting on a single gaming company, one can invest in the sector’s overall growth through such ETFs. This reflects the recognition that gaming is now a serious investment theme. Other funds like Global X’s Video Games &amp; Esports ETF, known as HERO, have also launched, and major investment firms track gaming indices.</p>
<p>The appeal to investors is clear. Gaming has a youthful, global customer base and multiple avenues of revenue—software, hardware, mobile, VR, and more—making it an attractive long-term growth story. Even casual investors are hopping on, since, unlike picking individual stocks, ETFs are accessible and relatively easy to understand, so they have lowered the barrier for putting money into the gaming boom.</p>
<p>Perhaps even more interesting is how gaming has infiltrated the world of fintech and personal finance. Banks, trading apps, and fintech startups have discovered that applying game-like elements can make finance more engaging for a new generation of users.</p>
<p>This trend is broadly called gamification, which involves adding rewards, competition, and playful design to non-game activities. Stock-trading apps like Robinhood famously used animations like confetti and achievement badges to celebrate users making trades, mimicking the positive feedback loops of video games. Robinhood eventually toned this down after criticism, but the influence was unmistakable.</p>
<p>Many investing platforms now have quizzes, progress bars, or even paper-trading games that let users practice trading without real money. The idea is to reduce intimidation and educate new investors by tapping into the motivational tricks of games. Even serious banks have added features like point systems or challenges such as “save $100 this month to earn a badge!” to their mobile apps.</p>
<p>This gamification of finance appears to work. Tasks that might seem tedious, such as budgeting, investing, and learning financial concepts, become more fun and interactive when framed as a game. One finance executive noted that adding game mechanics boosted customer engagement dramatically on their app; users would log in more frequently and invest more regularly when they had streaks to maintain or levels to rise.</p>
<p>Beyond stock trading, fintech apps for budgeting, credit scores, insurance, and retirement savings are adopting these techniques. Some savings apps even give users virtual rewards for meeting goals, and credit score apps use progress metres and celebratory graphics when your score improves. The gamification trend extends to health insurance with wellness challenges, education through learning apps with points and leaderboards, and workplace productivity tools, all borrowing from what video games have perfected about engaging users.</p>
<p>Importantly, gamification isn’t confined to finance. Across industries, companies are leveraging game mechanics to drive customer behaviour and loyalty. Retail and e-commerce apps frequently incorporate mini-games or daily rewards. China’s e-commerce giant Temu and its rivals are known for offering in-app games that reward users with coupons or credit. Food delivery services might have challenges, such as “order 5 times this month for a bonus!” Fitness apps turn exercise into a game with badges for milestones and social competitions for steps taken.</p>
<p>By 2025, the global gamification market, which refers to the business of software and services that help companies gamify experiences, is projected to reach $30 billion, up from just $9 billion in 2020. In fact, a Gartner report found that over 70% of Global 2000 companies have implemented gamification in some form. The rationale is simple: engagement. In an age of short attention spans, techniques honed in video games are gold for keeping users interested and active.</p>
<p><strong>The future is playable</strong></p>
<p>In little more than a decade, gaming’s reputation has transformed from a frivolous pastime to a formidable economic force. The innovations born in the gaming world, such as virtual currencies, digital goods, live-stream engagement, and gamified apps, are now reshaping finance and business strategies at large.</p>
<p>Gaming has taught industries how to engage users and monetise digital experiences through creativity and interactivity. It has been shown that people will invest real value in virtual experiences, whether buying a skin for their character or spending hours honing skills to compete online.</p>
<p>For gamers themselves, the lines between playing for fun, earning a living, and investing have blurred. A teenager streaming gameplay from their bedroom might be building a lucrative personal brand. A clan of gamers spending real money on virtual real estate might see it as a serious investment in the next digital frontier. And an average person using a budgeting app with gamified features is essentially playing a serious game to improve their finances. Gaming has made economics more playful and play more economically significant.</p>
<p>Looking ahead, we can expect the interactive, engaging, and user-centric principles of gaming to increasingly inform mainstream business. As one industry observer quipped, &#8220;the future of business will be where the world is your playground.&#8221;</p>
<p>In practical terms, this means more immersive marketing, more interactive customer experiences, and business models that reward loyalty and engagement the way games do. We may see the day when quarterly earnings calls discuss user engagement levels and player retention strategies just as often as they do revenue, which is something that is already happening in certain sectors.</p>
<p>One thing remains certain. The ascent of gaming from niche entertainment to economic titan is a story still in progress, with new chapters being written in real time. Whether through the expansion of virtual reality metaverses, the integration of game theory into everyday apps, or the emergence of yet-unimagined digital assets, the influence of gaming on the market will continue to grow.</p>
<p>Companies and investors who understand the importance of play, along with the community and creativity it brings, are more likely to succeed in today’s world. In the gaming industry, those who welcome fresh and fun ideas are the ones who will do best.</p>
<p>The post <a href="https://internationalfinance.com/magazine/banking-and-finance-magazine/the-future-of-fun-gaming-goes-mainstream/">The future of fun: Gaming goes mainstream</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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		<title>Facebook to make its first serious move towards monetising WhatsApp</title>
		<link>https://internationalfinance.com/in-the-news/facebook-to-make-its-first-serious-move-towards-monetising-whatsapp/#utm_source=rss&#038;utm_medium=rss&#038;utm_campaign=facebook-to-make-its-first-serious-move-towards-monetising-whatsapp</link>
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		<dc:creator><![CDATA[International Finance Desk]]></dc:creator>
		<pubDate>Thu, 02 Aug 2018 07:00:28 +0000</pubDate>
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					<description><![CDATA[<p>Advertisements will link the social media giants’ users to Whatsapp</p>
<p>The post <a href="https://internationalfinance.com/in-the-news/facebook-to-make-its-first-serious-move-towards-monetising-whatsapp/">Facebook to make its first serious move towards monetising WhatsApp</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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										<content:encoded><![CDATA[<p>The social media giant is getting serious about monetizing Whatsapp, after it reported sluggish earnings growth last Wednesday.</p>
<p>Whatsapp in itself, has rolled out three new way for customer to connect quickly with businesses: a shortcut button to immediately start a conversations, the ability to have businesses send you information like a boarding pass, and real-time support –according to an announcement by the company.</p>
<p>Facebook now, will also display the ads of businesses that link out to Whatsapp. This allows for businesses to purchase ads that lead people directly to an already loaded chat with the business on Whatsapp , and start conversing from there. Businesses can also respond to the customers for free if they answer within 24 hours. Facebook however, will charge them for any response after 24 hours – as another way to cash in on its many apps.</p>
<p>Business communications on Messenger haven’t had the success that Facebook had hoped – and the the company had to roll out additional chat extensions to compensate. The message function on Whatsapp is nearly identical to the one on Facebook—where one can go to a business’ page and send a message.</p>
<p>The Whatsapp blog pose indicated that it will be up to the business on whether it wants to offer real-time support. It opened up its platform to users last September. Since them, it has kept the number of businesses that use the app undisclosed.</p>
<p>Whatsapp did state though, that the new messaging tools have been tested with around 90 businesses that include: Uber, Singapore Airlines and Wish.</p>
<p>&nbsp;</p>
<p>The post <a href="https://internationalfinance.com/in-the-news/facebook-to-make-its-first-serious-move-towards-monetising-whatsapp/">Facebook to make its first serious move towards monetising WhatsApp</a> appeared first on <a href="https://internationalfinance.com">International Finance</a>.</p>
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