> For the complete documentation index, see [llms.txt](https://samurai-cipher-token.gitbook.io/samurai-cipher-token-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://samurai-cipher-token.gitbook.io/samurai-cipher-token-docs/the-gaming-sector-strategy.md).

# The Gaming Sector strategy

The Gaming Sector strategy is designed to generate profitability through participation in the gaming ecosystems of both the traditional gaming market (Web2) and the new generation of blockchain games (Web3). This direction allows Samurai Cipher Token to profit from in-game assets, gaming accounts, early access to promising projects, participation in gaming ecosystems and receiving rewards within the developing Web3 Gaming industry. The strategy combines stable and well-studied gaming markets with high-potential areas of blockchain gaming. Structurally, this strategy is presented in Figure 9 below.

<figure><img src="/files/XCxxS4KP3lhvRWGSzGhc" alt=""><figcaption></figcaption></figure>

&#x20;                           **Figure 9 - Block diagram of the Gaming Sector strategy**

#### Allocation of investment capital

All funds allocated to the Gaming Sector category are distributed as follows:

<table data-header-hidden><thead><tr><th valign="top"></th><th valign="top"></th></tr></thead><tbody><tr><td valign="top"><strong>Business direction</strong></td><td valign="top"><strong>Share of capital</strong></td></tr><tr><td valign="top">Web2 Gaming</td><td valign="top">40%</td></tr><tr><td valign="top">Web3 Gaming</td><td valign="top">20%</td></tr></tbody></table>

This distribution is due to the higher maturity and liquidity of the traditional games market, while maintaining the opportunity to participate in the fast-growing Web3 Gaming sector. The diagram of the distribution of investments in the strategy by areas and networks is shown below in Figure 9.1.

<figure><img src="/files/UcimpdjI6LOoHwGS6vX8" alt=""><figcaption></figcaption></figure>

&#x20;           Figure 9.1 - Diagrams of the distribution of investment capital by directions and networks.

#### Web2 Gaming

The Web2 Gaming direction is focused on investing in digital gaming assets of the largest gaming ecosystems. The strategy considers two main disciplines:Encounter-Strike 2 (CS2) and Dota 2.

Counter-Strike 2 (CS2)

75% of the capital of the Web2 Gaming category is allocated for this area.  CS2 has one of the largest digital gaming asset economies in the video game industry and provides a wide range of profitability opportunities. Main investment areas:

* Skins.

Purchase and retention of rare and liquid in-game items for the purpose of subsequent resale after an increase in value.

* Cases.

Accumulation and trading of game cases, the cost of which can increase significantly as the supply on the market decreases.

* Stickers.

Investments in collectible game stickers released during tournaments and special game events.

**Dota 2**

25% of the capital of the Web2 Gaming category is allocated for this area. The Dota 2 ecosystem has a developed market for digital items and in-game collectible assets. Main investment areas:

* Skins.

Purchase and resale of rare cosmetic items.

* Resale of sets.

Purchase and subsequent sale of collectible game sets after their market value increases.

* Account upgrade.

Creating additional value by increasing the rating and developing game accounts for further implementation.

#### General directions of Web2 Gaming

An additional monetization direction is provided for both game ecosystems:

* Sale of Steam gaming accounts.
* Purchase, development, and subsequent sale of game accounts with collectible or gaming value.

#### Web3 Gaming

The Web3 Gaming direction is focused on participation in gaming blockchain ecosystems and the early stages of the development of promising gaming projects. 20% of the capital of the Gaming Sector category is allocated for this area. Main investment areas:

* Farming of gaming accounts.

Creation and development of gaming accounts in order to receive in-game rewards, tokens, NFT and other digital assets.

* Early access to games.

Participation in Alpha, Beta, and Early Access programs for promising gaming projects.

* Investments in development.

Support for game studios and projects in the early stages of development through the available investment mechanisms of the Web3 ecosystem.

* Roles and game statuses.

Gain special roles in gaming communities and ecosystems that provide access to additional rewards, allocations, and loyalty programs.

Blockchain ecosystems of Web3 Gaming

The following blockchain networks are used to participate in gaming ecosystems: Ethereum, Immutable, Ronin, Arbitrum, Solana. These networks are among the most advanced infrastructure solutions for the Web3 Gaming industry and combine a significant part of the gaming projects on the market.

Capital allocation within Web3 Gaming

100% of the funds allocated to the Web3 Gaming category are distributed as follows:

<table data-header-hidden><thead><tr><th valign="top"></th><th valign="top"></th></tr></thead><tbody><tr><td valign="top">The Blockchain network</td><td valign="top">Share of capital</td></tr><tr><td valign="top">Immutable</td><td valign="top">30%</td></tr><tr><td valign="top">Ronin</td><td valign="top">25%</td></tr><tr><td valign="top">Solana</td><td valign="top">20%</td></tr><tr><td valign="top">Arbitrum</td><td valign="top">15%</td></tr><tr><td valign="top">Ethereum</td><td valign="top">10%</td></tr></tbody></table>

The main focus is on the specialized gaming blockchains Immutable and Ronin, which are among the most active ecosystems in the Web3 Gaming segment.

#### Profit generation

The profitability of the Gaming Sector strategy is formed due to the following sources:

Web2 Gaming

* The increase in the cost of game skins.
* The increase in the cost of cases and stickers.
* Resale of game sets.
* Sale of gaming accounts.
* Development and resale of game profiles.

Web3 Gaming

* Receiving game tokens.
* Receiving NFT awards.
* Participation in game airdrops.
* Rewards for early participation in projects.
* Income from the sale of gaming accounts and digital assets.
* Profit from investments in game projects.

#### Profit sharing

The net profit earned under the Gaming Sector strategy is distributed as follows: 80% is used to buy back the Samurai Cipher Token (SCT) from the open market as part of the Buyback mechanism. 20% is allocated to increase the investment capital of the Gaming Sector category and further expand gaming activities.

&#x20;**The goal of the Gaming Sector strategy**

The Gaming Sector strategy was created to generate an additional source of income for the Samurai Cipher Token ecosystem through participation in the largest Web2 and Web3 gaming markets. The combination of the developed CS2 and Dota 2 gaming economies with the promising blockchain ecosystems of Immutable, Ronin, Solana, Arbitrum, and Ethereum allows you to create a diversified gaming portfolio capable of generating both short- and long-term returns. The profit earned is used to increase the value of the ecosystem, expand investment activities, and generate additional demand for the SCT token through a regular Buyback mechanism.


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