TL;DR they are both compelling but not the same. Anyone interested in one will want to consider holding the other, though allocations will depend on risk profiles and ROI timelines, amongst other factors.

 

By now the relationship between MobileGo and GAME should be clear. GAME will be used for all in-game purchases; it will be the default currency of the GameCredits gaming ecosystem. MobileGo, meanwhile, will represent a kind of semi-autonomous marketing fund that will generate a return for its own holders, whilst propelling GAME to mass adoption.

 

So, which will be the better investment?

 

It’s difficult to predict anything clearly in the crypto world, where the unexpected and irrational happens on a regular basis. (Who would have thought that a major new promotion initiative would have met with falling price, even at the beginning of a bitcoin bull run?) But there are clear differences between the two.

 

As a crowdfunded token, MobileGo will have fixed supply. Its revenues will be returned to investors in the form of buybacks at regular intervals, in addition to any speculative value given to it by the market. GAME, on the other hand, is inflationary (supply will increase at a slower rate after the impending halving) and its own price rise will be driven by new users from the gaming world secured by MobileGo’s efforts, but also overlaid with any speculative activity from traders.

 

Perhaps more important is the source of funding that will come to each. MobileGo revenues will come from the fees paid when users buy GAME from their wallets. This will be a small percentage of the total amount spent by gamers. The majority of that amount will be channelled directly into the market for GAME. Offsetting that, a lot of GAME will be sold to pay for gaming purchases almost immediately, though there will inevitably be a net increase in the money within the GAME economy.

 

Another critical factor is the market cap of each. All things being equal, the larger the market cap, the lower the impact of new money flowing into the system. Thus the amount of money raised by the MobileGo crowdsale will be important when judging the prospect for each investment. The more money raised, the greater the potential to impact GAME in a positive way.

 

So, it seems likely that GAME may see greater volatility and likely has greater room for growth over the long term (i.e. years). MobileGo, on the other hand, should see solid but probably not spectacular growth, at least by crypto standards, over the medium term.

 

The bottom line is that they are perfect counterparty currencies, and if you own one you should consider buying the other to hedge and to enjoy the mutual benefits that success will bring to each other. What allocation you make to each is a matter of risk profile and return horizons.