Adam Kling: Impacting Crypto and Gaming | In-Depth Interview
Adam Kling is the CEO & founder of FYX Gaming which centers on Blockchain gaming and crypto platforms. We sat down for an interview, and gained unique perspectives on crypto gaming and the industry as a whole. While answering various questions, Adam was able to provide insights on topics and shed light on a few areas we haven’t fully explored yet.
Cryptocurrencies have become a worldwide phenomenon in recent years. Their convenience helped various industries from finance to gaming and even art. Players want to convert their virtual assets into a currency that they can use on other platforms. With cryptocurrencies, they can do this easily and safely.
What inspired CryptoFights?
“In late 2017, I looked at what CryptoKitties was doing. I remember some headlines with “pictures of these digital cats are being traded for a hundred thousand dollars or more”.
So I started looking into Ethereum and smart contracts and understanding the space more. When I was looking around I saw that a lot of these projects were Ponzi schemes. These things were so novel that people just wanted to try them out. I noticed that these projects only had a couple of hundred users a day that would interact with their system. I also noticed that a lot of them were web applications, thinking that this was going to be the future of games.” – Kling explained.
This was so early, but he said that this could be done a lot better. He’d been a gamer his whole life and felt that this wasn’t a game yet, rather, more like an application. When they started to think about entertainment, he put together this team to think about how they could innovate the space. From this, the CryptoFights project was born. They started on Ethereum and had a lot of problems and ended up porting across to BitcoinSV.
What has your personal journey in the crypto-space been like? What drew you in, what kept you there?
Kling got into the crypto space in 2013. He had brief experiences in computer programming, but ended up being more of an entrepreneur. He left that programming side alone but still had that technical nerd-like need to remain relevant there.
”I’ve always been attracted to cutting-edge tech. I remember watching a talk with people and I was like “I really want to figure out a business around this”. At the time that was when people were trying to get exchanges off the ground. “How do you even buy a bitcoin”, “how do you trade it”, the legal framework for an exchange, that was the kind of thinking back then.”
It wasn’t until 2017 that he started paying attention to what was going on in the Ethereum world. He started thinking about developing what they call a DAP, a Decentralized Application. That was what he mentioned before looking into this as more of a development framework. Or, an opportunity to develop applications that utilize the blockchain, in this kind of novel way.
What is your proudest accomplishment in the crypto gaming world so far?
When FYX Gaming did over 2 million transactions a day. They were having a lot of scaling problems because they did not expect the number of users they were getting. “I think that so far one of the proudest accomplishments is that we’ve been working on this for years, we had to port over from Ethereum to BitcoinSV.”
He also mentioned the UTXO model. The reason why they can do this and scale this so far is that the UTXO model is very multithreaded. This is an improvement compared to the Ethereum type model which is very monolithic or linear.
What can fans and players expect from your projects?
Kling said that his team were currently working on some major improvements and additions to the game. These improvements will enable them to compete with some of the biggest crypto games out there, including Axie Infinity. He can’t disclose a lot of what they’re doing yet, but they will release that as soon as they can.
“I believe everyone will be happy and that we are a project to watch because I think we’re one of the few games using a 3D game engine.”
They’re doing motion-capture for the animations of the characters and there’s a lot more art and lore that they will add. They want to build up this new experience that can’t be completed on these other technology platforms or other blockchains.
Understanding FYX Gaming
FYX Gaming is an eSports infrastructure and technology provider that develops and implements blockchain technologies. They provide a platform for crypto gaming and are popularly known for CryptoFights.
What makes FYX Gaming unique in the crypto gaming space?
In the crypto gaming space, a lot of these other projects are based on Ethereum or Ethereum-like blockchains. When FYX Gaming first started in 2018, pretty much everyone was on layer one. They were using MetaMask and they were able to interact directly with the blockchain. In retrospect, now all of them have moved to what we call a side chain or a layer two solution. The reason is that the transaction volume increased and as the interaction with the game went up, they couldn’t scale. Some of that was because of the fees involved when Ethereum began to get too high. Also because the capacity for Ethereum to handle those transactions couldn’t scale.
One of the great examples was crypto kitties. When newly out, it essentially clogged up the network due to overuse for a month or so. It almost crippled the whole network. Even recently with Ethereum, we’ve seen transaction fees of $20-$100 depending on the network load.
What’s unique about FYX Gaming is that they’re all layer one. When you make a move in their game, you’re essentially doing a bitcoin transaction. That Bitcoin transaction goes straight to the network and there’s no other parallel network or side chain. It is straight to the base layer of the blockchain. So as they start to scale up CryptoFights, the ability for layer one gaming to be proven out is within their grasp.
In retrospect, all of these other projects have had to create solutions to the problems of the blockchain itself. FYX Gaming is on a completely different blockchain that can scale and essentially uses a UTXO model.
What do you aim to accomplish with FYX Gaming?
“We aimed to accomplish the ability for competitive cash tournaments to be able to take place over the internet. So the technology platform that we’re building solves a lot of the game integrity issues that are plaguing esports, because of the fragmentation of the industry. You have games, if you think of a game like a MOBA such as League of Legends, where the player interacts with League of Legends itself.
The data from that game exists within the company that operates it. If you need to get data to start a tournament you have to request the data via an API and have to trust that that data is true. You also have analytical companies that will study the data and put like what bet radar and sports radar does with sports data. You have just many many people in the esports industry trying to put these pieces together into one.”
The thinking here is that when FYX Gaming has a game using their technology, the person playing it is essentially using a bitcoin wallet to perform their moves. That bitcoin wallet combines three very important things. One is identity, you have to sign your moves with a private key that only you can have.
You have data, the data of what you do in the game. You also have money involved in that. In other words that is essentially a microtransaction, so it could be one-millionth of a cent for example. If you also imagine it as a cheque, you’re saying “this is my move, I’m signing it for a millionth of a cent”. The pay-to is the blockchain and the memo field is the data of what you’ve done in the game.
When you do that you have a graph of everything that ever happened in a linear time stamped fashion. You essentially have a public database that has immutable data from the players themselves.
No one at any point in time can alter, modify, delete, hide, or obscure this data. And when you think about these esports tournaments where you have match-fixing collusion. The ability for someone at the game studio to put a 100ms penalty, and no one would ever know. So the future of esports will be using a universal system like this, putting transparency and trust into what happens.
CryptoFights Impacting Crypto Games
CryptoFights is a fantasy RPG game with real time rewards. Players can explore various worlds and enter 1v1 battles with other players for exclusive rewards. Skilled players can play to win NFTs and BSV which have real value and are worth money. These can be freely traded on the marketplace.
How is CryptoFights meant to fit into the world of crypto games?
CryptoFights is a competitive game at heart but is using a fantasy world based on Dungeons and Dragons and its dice mechanics. As they go forward, they have a single-player campaign where you can fight monsters and dungeons. You can get items, you can play against other players, and create your own build styles. It’s really more of a competitive esports experience.
CryptoFights also has plans for adding in a lot of other game modes. This includes a 3vs3 team-based play and other things that Kling can’t get into yet. Building on to the game to add more things to do that are outside the realm of competition. Things that are more in the realm of economics such as trading items and item components. Kling also thinks they’re a really good fit because a lot of the other games are very casual like Axie Infinity. They wanted to target more of the hardcore player, the type that plays war games, hardcore video games, and RPGs.
Are you excited about Tradeable Zenescope NFT skins coming to CryptoFights?! ✨ ⭐✨
— CryptoFights 💫 (@CryptoFights) October 15, 2021
How do your projects achieve their cheating-proof status?
“When you have a system like that, that can essentially have a transparent immutable trust trail. No one can ever alter that or change it. For example, if I’m going to do a client-side hack like an aimbot, or if I hack the memory of the game to see through walls, that will alter the data that you input into the system. If we think of a first-person shooter where you have the accuracy for headshots, one stat that they use a lot in 3D shooters, where they’ll have a headshot accuracy score. So let’s say you average 63% over the last 100 games. All of a sudden you go from 63 to 89%, and then all of a sudden you go back down to 63%. What happened, why is there an anomaly in that data.”
Now using a system like theirs, that data becomes essentially a record of potential misconduct that could be investigated. It’s the same thing if you go to a store in real life and you steal. You’ve put your identity at risk and you could go to jail, get charged and go to court. And the same thing could happen in esports.
When FYX Gaming became a member of ESIC that was one of the discussions Adam Kling had with Ian over there. “What’s going on with esports betting markets, because people could be throwing matches all of a sudden that don’t fit in with the patterns of their play style and how are you ever going to figure that out because they’re all very disconnected fragmented systems”.
He doesn’t think it’s going to be a technical barrier to cheating because that’s an arms race. Still, it will be more of a holistic view into the data to know when something is afoul. Maybe a data scientist or another company analyzes that data, but that’s the direction that esports needs to go in the future.
Due to the popularity of cryptos, many industries are starting to explore the use of this revolutionary technology in their core products and services. Game developers are inventing new ways to use cryptos to acquire goods and services in-game. With the emergence of various opportunities, the gaming industry has never looked so good.