Vertical Integration Wins: Major studios will run their own appchains to capture the full value stack. Owning the execution layer means capturing MEV, transaction fees, and data monetization, a model proven by dYdX's migration from StarkEx to Cosmos.
gaming-and-metaverse-the-next-billion-users
Blog
Why Every Major Studio Will Run Its Own Appchain by 2030
The economic and experiential control of an appchain will become as standard as owning a game engine or distribution platform. This is the inevitable infrastructure shift for studios seeking sovereignty.
introduction
THE INEVITABILITY
Introduction
Appchains are not a scaling experiment; they are the endgame for any digital media business with scale.
Regulatory Firewall: A dedicated chain creates a sovereign legal perimeter. Studios can implement KYC at the protocol level with tools like Polygon ID, insulating the parent company from the compliance risks of a shared, permissionless L1 like Ethereum.
Custom Economic Design: Gaming and media require bespoke fee markets and tokenomics. A shared L2 like Arbitrum must optimize for DeFi, but an appchain built with Caldera or Eclipse can implement gasless transactions and subsidized storage for users.
Evidence: The Axie Infinity Ronin chain processed 15M daily transactions at its peak, a volume that would have crippled its user experience and economics on any general-purpose L1 or L2.
key-trends
THE APPCHAIN IMPERATIVE
The Four Unavoidable Trends
Monolithic L1s and shared L2s are insufficient for studios demanding sovereignty, performance, and economic control.
01
The Problem: Shared Sequencer MEV
On shared rollups like Arbitrum or Optimism, a studio's game economy is vulnerable to predatory MEV bots. Every in-game asset trade can be front-run, degrading user experience and siphoning value.
- Value Extraction: Bots can extract >15% of high-frequency in-game transaction value.
- Economic Distortion: Predictable game mechanics create easy MEV opportunities, breaking intended balance.
>15%
Value at Risk
0
Control
02
The Solution: Sovereign Execution & Custom Gas
A dedicated appchain lets a studio run its own sequencer, eliminating parasitic MEV and enabling gas models tailored for gameplay.
- MEV Capture: Studio captures and redistributes value via native token staking rewards.
- Gas Abstraction: Players pay fees in stablecoins or earn free transactions via gameplay, removing crypto friction.
100%
MEV Sovereignty
$0
User Gas Cost
03
The Problem: Inflexible L1/L2 Economics
Ethereum's gas market and shared L2 fee models are incompatible with gaming's microtransaction volume and predictable load patterns.
- Cost Volatility: Network congestion can make a simple mint 100x more expensive, killing engagement.
- Revenue Leakage: ~20-30% of microtransaction value is lost to base layer settlement fees.
100x
Fee Spikes
~30%
Revenue Leak
04
The Solution: Predictable Cost Basis & Vertical Integration
An appchain provides a fixed, predictable cost environment. Studios can vertically integrate the stack, turning infrastructure cost into a competitive moat.
- Fixed Operational Cost: Sub-cent transaction costs with zero volatility.
- Revenue Capture: Keep 100% of sequencer fees and settlement profits, reinvesting in ecosystem growth.
<$0.01
Fixed TX Cost
100%
Fee Capture
05
The Problem: Monolithic Runtime Bottlenecks
General-purpose EVM/SVM runtimes are not optimized for game state transitions, causing latency and throughput caps that break real-time experiences.
- State Bloat: Competing with DeFi apps for shared VM execution leads to >2s finality during peaks.
- Throughput Ceiling: EVM caps at ~50-100 TPS per shard, insufficient for mass-scale gaming.
>2s
Finality Lag
~100
Max TPS
06
The Solution: Custom VM & Optimized Data Availability
Appchains enable game-engine-native VMs (e.g., using FuelVM or Move) and tailored data availability layers like Celestia or EigenDA.
- Game-Optimized VM: Achieve ~500ms finality and 10,000+ TPS for specific game logic.
- Cost-Effective DA: Reduce data publishing costs by 90%+ versus Ethereum calldata.
~500ms
Finality
-90%
DA Cost
deep-dive
THE INFRASTRUCTURE IMPERATIVE
The Sovereign Stack: Control as a Competitive Moat
Appchains are not a scaling solution; they are a strategic asset for capturing value and user experience.
Appchains capture execution value. On a shared L2 like Arbitrum or Optimism, sequencer revenue and MEV accrue to the network operator. An app-specific rollup like dYdX or Aevo internalizes this revenue, transforming a cost center into a profit center.
Sovereignty enables product-market fit. A monolithic L2 must serve a general-purpose VM, creating technical debt for specialized apps. An appchain built with Polygon CDK or Arbitrum Orbit can implement custom fee tokens, privacy features, and governance that a shared chain cannot.
The tooling is production-ready. The appchain thesis is validated by the emergence of dedicated stacks like Eclipse and Caldera. These provide the sovereign execution layer without the operational burden of a full L1, making the transition a deployment decision, not a research project.
GAMING STUDIO PERSPECTIVE
Infrastructure Showdown: Shared L2 vs. Sovereign Appchain
A first-principles comparison of infrastructure models for major game studios, focusing on control, economics, and technical trade-offs.
| Critical Feature | Shared L2 (e.g., Arbitrum, Optimism) | Sovereign Appchain (e.g., Eclipse, Caldera) | Hybrid Rollup (e.g., Arbitrum Orbit, OP Stack) |
|---|---|---|---|
Sequencer Revenue Capture | 0% (goes to L2) | 100% (goes to studio) | 100% (goes to studio) |
Gas Fee Economics | Shared with all dApps, volatile | Custom token for fees, predictable | Custom token or ETH, configurable |
Upgrade Sovereignty | |||
MEV Capture & Redistribution | Extremely limited | Full control (e.g., to treasury) | Configurable (depends on stack) |
Time-to-Finality for In-Game Tx | ~1-5 seconds (L1 dependent) | < 1 second (sovereign consensus) | ~1-5 seconds (L1 dependent) |
Native Token Integration | Wrapped assets only | Primary economic layer | Primary economic layer |
Protocol Forkability | |||
Infrastructure Overhead (DevOps) | Low (managed by L2) | High (studio-run validator set) | Medium (managed stack, studio-run sequencer) |
case-study
THE ARCHITECTS
The Early Adopters: Who's Building the Blueprint?
These projects are proving the economic and technical case for sovereign application environments, moving beyond the shared execution model of general-purpose L1s and L2s.
01
dYdX: The Sovereign Exchange
The leading perpetuals DEX migrated from a StarkEx L2 to its own Cosmos-based appchain. The Problem: Shared L2 blockspace created MEV extraction and performance bottlenecks. The Solution: A dedicated chain with a custom mempool and orderbook-based consensus.
- Full control over sequencer revenue and fee structure.
- Sub-second block times and ~$0.001 per trade execution cost.
- Native integration with IBC for cross-chain asset flow.
$1B+
Daily Volume
~500ms
Block Time
02
Axelar & Hyperlane: The Interchain Primitive
Generalized messaging protocols are the essential plumbing for the appchain future. The Problem: Building secure cross-chain communication is a massive distraction for app developers. The Solution: Standardized, programmable security layers that abstract away bridge complexity.
- Enables sovereign state reads/writes across any chain.
- Modular security stacks (e.g., EigenLayer AVS, own validator set).
- Critical for intent-based architectures and cross-chain composability.
50+
Chains Connected
$2B+
TVL Secured
03
The Celestia & EigenLayer Stack
Modular infrastructure has reduced appchain launch time from years to weeks. The Problem: Bootstrapping a secure, decentralized validator set was prohibitively expensive. The Solution: Plug-and-play data availability (Celestia) and shared security (EigenLayer) create instant sovereign runtime environments.
- Launch cost reduced from ~$100M+ in token incentives to ~$50k in DA fees.
- Flexible execution layer (EVM, SVM, Move) on a proven security base.
- Enables experimental VMs without sacrificing decentralization.
-99%
Launch Cost
Weeks
Time to Chain
04
Aevo: The High-Frequency Options Hub
This high-performance options DEX runs on a custom OP Stack L2. The Problem: Competing for blockspace on Ethereum L1 or shared L2s during volatility spikes is fatal for derivatives. The Solution: A dedicated rollup with a centralized sequencer for optimal latency, inheriting Ethereum's security for settlement.
- Guaranteed execution during market opens, avoiding L1 congestion fees.
- Custom precompiles for complex options pricing models.
- Captures 100% of sequencer profits from its niche market.
10x
Throughput
$0.10
Avg. Trade Fee
counter-argument
THE FRAGMENTATION TRAP
The Skeptic's Corner: Liquidity, Complexity, and the Bear Case
The appchain thesis ignores the network effects and liquidity fragmentation that define successful platforms.
Appchains fragment liquidity by design. Each new chain creates its own isolated pool of assets and users, breaking the composability that drives DeFi on Ethereum or Solana. A studio's native token on its chain cannot be used as collateral on Aave or traded on Uniswap without a complex bridge.
The operational overhead is prohibitive. Running a sovereign chain requires managing validators, sequencers, and cross-chain infrastructure like LayerZero or Axelar. This complexity distracts from core game development, turning studios into infrastructure companies.
The user experience becomes untenable. Players must manage multiple wallets, gas tokens, and bridge delays. This is the antithesis of the seamless experience that mainstream adoption requires, creating a massive friction barrier.
Evidence: The Cosmos and Polkadot ecosystems demonstrate this. Despite years of development, liquidity and user activity remain concentrated in a few major hubs, not spread evenly across hundreds of app-specific chains.
takeaways
THE APPCHAIN IMPERATIVE
TL;DR for the Busy CTO
The monolithic chain model is breaking under the weight of consumer-scale applications. Sovereignty is the new scalability.
01
The Problem: The Shared Sandbox is a Warzone
On shared L1s like Ethereum or Solana, your app's UX is held hostage by unrelated NFT mints and memecoin frenzies. You cannot control your own destiny.
- Gas spikes from a competitor's launch can price out your users.
- Congestion from a viral app makes your product unusable.
- Monolithic upgrades force you to accept changes you don't need or want.
1000x
Gas Volatility
~10s Latency
During Congestion
02
The Solution: Sovereign Economic & Technical Policy
Your own chain (via Celestia, Polygon CDK, Arbitrum Orbit) lets you set the rules. This is the ultimate product feature.
- Custom gas token: Use your studio token or stablecoins for fees.
- Optimized VM: Choose EVM, SVM, or a gaming-optimized runtime like Fuel.
- Governance control: Upgrade on your timeline, not the L1's.
< $0.001
Tx Cost
~500ms
Finality
03
The Enabler: Modular Stacks & Interop Protocols
The 2021 appchain thesis failed due to brutal overhead. Modular blockchains and secure bridges have solved this.
- Data Availability: Celestia/EigenDA reduce rollup costs by >90%.
- Shared Security: EigenLayer, Babylon let you bootstrap validators.
- Interoperability: LayerZero, Axelar, Polymer enable seamless asset/state flow.
-90%
DA Cost
1-2 Engineers
Chain Ops
04
The Precedent: dYdX, ApeCoin, Immutable
The blueprint is already proven. Major brands are exiting shared chains for sovereignty.
- dYdX v4: Moved from StarkEx on L1 to its own Cosmos appchain for ~1000 TPS and fee control.
- ApeCoin DAO: Building ApeChain (using Arbitrum Orbit) to unify its fragmented ecosystem.
- Immutable zkEVM: A dedicated gaming chain with custom marketplace logic and gasless UX.
1000+ TPS
Dedicated Throughput
$1B+
Ecosystem Value
05
The Business Case: Capturing Full Value Flow
An appchain transforms your studio from a tenant to a landlord. You capture the MEV, sequencer fees, and staking rewards your activity generates.
- Sequencer Revenue: Earn fees from every in-game transaction and marketplace trade.
- Staking Economy: Your token becomes a productive asset, securing the network.
- Composable Ecosystem: Attract other projects to build on your chain, increasing its value.
7-Figure
Annual Revenue
New Business Line
Chain-as-a-Service
06
The Timeline: 2030 is the Tipping Point
By the end of the decade, not having an appchain will be a competitive disadvantage for any studio with >1M MAUs. The infrastructure will be as commoditized as AWS.
- 2025-2027: Early adopters (Starware, Shrapnel) prove the model.
- 2027-2030: Modular tooling becomes no-code; the "Appchain Launchpad" is a standard SaaS product.
- Post-2030: Major studios run multiple chains for different game genres or regions.
5 Years
Adoption Window
>50%
Top 100 Studios
ENQUIRY
Get In Touch
today.
Our experts will offer a free quote and a 30min call to discuss your project.
NDA Protected
Confidentiality24h Response
Time to ValueDirectly to Engineering Team
No Sales Fluff10+
Protocols Shipped
$20M+
TVL Overall