Welcome back to the Animecoin Overview. In this edition, we explore Animechain’s collaboration with Phygitals and OpenSea and Azuki trading card game updates.

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Trading cards are a highly valued collectibles market, as it is currently valued at $15 billion and projected to reach $24.36 billion by 2031. However, a lot of it faces logistical issues around buyer trust, authenticity, and hoping the card arrives in the condition agreed upon. 

To solve this, Animechain is turning to a digital first experience, in partnership with Phygitals and OpenSea, by connecting physical trading cards to online ownership.

The way it works is through a format called gacha. In Japan, gachas are vending machines where you put in a coin and receive a random toy from a curated set. With that in mind, Animechain is taking this concept and putting it on its blockchain. 

When you buy a digital pack, you receive a token to show ownership of the pack, verifiable on Animechain. That token represents a real physical card sitting in Phygitals' warehouse, and is redeemable on demand. In turn, it ensures transparent ownership records and the ability to trade it, similar to a cryptocurrency or stock. Behind every digital pack, a physical version exists in Phygital’s warehouse. This ensures inventory that is reserved specifically for each asset holder, in order to reduce shipping risks and user trust. 

In the traditional trading card market, packs are illiquid, as the asset takes time to find a buyer, negotiate price and then ship to the new owner. However, the digital voucher associated with the pack introduces an added liquidity layer due to it being able to be redeemed and traded using Animechain’s collector platform. Trading a digital pack simply requires listing for a price on a market, similar to traditional exchanges.  

Beyond this financial design, onchain gachas and digital collectibles are not a new concept. Most RWA and tokenized collectible platforms out there are general purpose, where they’ll tokenize real estate, art, or cars. However, Animechain is doing this in a way that’s geared more toward anime collectors, and wants to cater their offering specific to anime fans looking for rare and in demand anime and manga collectibles.

Animechain’s launch comes at a time when onchain physical trading card protocols have been gaining traction, generating nearly $2.9 million in weekly fees. Factoring in how Animechain is stress testing its infrastructure by including top IP franchises, it's looking to build for consumer adoption that can handle volume by crypto and non-crypto users.

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This information is for entertainment purposes only. It should not be considered financial advice, nor should it be used to make investment decisions. Cryptocurrencies are high risk and you should consult a financial professional before making any financial decisions. Make sure you do your own research.