What is Power Protocol? How the POWER token operates to provide shared infrastructure for game studios

Power Protocol is a blockchain-based infrastructure platform for shared gaming and entertainment, connecting games, studios, and applications through the POWER token. Launched by Waves Labs in 2023, the platform integrates games, studios, applications, and intellectual property into an ecosystem, using standardized blockchain tools to allow developers to focus on gameplay and community, while maintaining a unified token economy across multiple projects.

What is Power Protocol? Unified Tokenomics Infrastructure for Multiple Games

Power Protocol is building a blockchain-based shared infrastructure for gaming and entertainment. The platform is designed to integrate games, studios, applications, and intellectual property into a single ecosystem, using the POWER token as the core currency. This design addresses the current fragmentation in Web3 gaming, where each game has its own token and economic system, forcing players to switch tokens between games and requiring developers to repeatedly build foundational infrastructure.

Through standardized blockchain tools, Power Protocol enables developers to focus on gameplay and community, while maintaining a unified token economy across multiple projects. Developers no longer need to build blockchain integrations, wallet systems, NFT marketplaces, and tokenomics from scratch—they can directly use the modular tools provided by Power Protocol. This “plug-and-play” approach significantly lowers the development threshold for Web3 games.

Players benefit from a consistent system, where POWER can be used to access features, unlock content, and participate in a broader ecosystem. Imagine being able to use the same token to purchase equipment, unlock levels, and join events across multiple games, without having to swap different game currencies each time. This cross-game token interoperability is the core value proposition of Power Protocol.

Power Protocol was launched by Waves Labs in March 2023 as a community open-source governance platform. It allows POWER token holders to self-organize, propose, and launch sub DAOs (Special Purpose DAOs, SP-DAOs) or migrate existing DAOs. Power DAO serves as the parent DAO, acting as a decentralized incubator, angel investor, and arbitrator for all sub DAOs built on Power Protocol.

Three Core Advantages of Power Protocol

Unified Token Economy: POWER acts as the universal currency for all games, eliminating token fragmentation.

Shared Infrastructure: Developers can use standardized tools without rebuilding blockchain integrations.

DAO Governance Mechanism: The community participates in project decisions and resource allocation through sub DAOs.

This design makes Power Protocol not just a technical platform, but also a decentralized organizer for the gaming ecosystem. Through the DAO mechanism, the community can decide which new games should receive incubation support, how to allocate ecosystem resources, and how to adjust tokenomics parameters.

POWER Token Mechanism and Staking Season Activities

The POWER token is the core currency for all games and applications within the Power Protocol ecosystem. Players spend tokens to progress in games, access content, and participate in gamified staking activities, while developers use shared infrastructure and tools to accelerate integration. This two-sided market design creates intrinsic demand for the token.

For players, POWER can be used to purchase in-game items, unlock premium levels, participate in limited-time events, and exchange for NFT assets. These spending scenarios provide continuous burning or locking mechanisms for the token, reducing circulating supply. For developers, studios are required to hold or stake a certain amount of POWER to use Power Protocol’s development tools and receive technical support. This threshold ensures that only serious developer teams join the ecosystem.

Staking Season allows users to participate in competitions tied to ecosystem activities, creating incentives for engagement and promoting long-term participation. In Staking Season, users lock POWER tokens in a staking contract, then earn points based on staking duration and amount. These points are used to compete on leaderboards, with top users receiving rare NFTs, exclusive in-game items, or additional POWER rewards.

This gamified staking mechanism is more attractive than traditional passive staking. Traditional staking only involves locking tokens for fixed yields, while Staking Season adds competitive and social elements. Players must actively engage in ecosystem activities to increase their points, effectively boosting user engagement and community stickiness.

Staking Season also provides a natural user acquisition channel for new game launches. When a new game goes live on Power Protocol, its activities can be integrated into Staking Season, motivating existing POWER holders to try the new game. This cross-promotion mechanism significantly reduces the cold start cost for new games.

Pixion Games and Fableborne Integration Case Study

Pixion Games, the studio behind Fableborne, is the first major partner to adopt Power Protocol. In Fableborne, POWER serves as the primary in-game currency, demonstrating how the platform can manage on-chain economics without altering the core gameplay experience. This integration case provides a concrete example of Power Protocol’s real-world application.

Fableborne is an action RPG where players build fortresses, train heroes, and participate in PvP and PvE battles. The game’s economic system is entirely based on the POWER token, which players use to buy building materials, upgrade heroes, join arenas, and exchange for rare gear. All these transactions are recorded on-chain, but players are not required to understand complex blockchain concepts—the gameplay feels just like in traditional games.

This integration demonstrates the practical benefits for developers, providing a framework for future projects. Pixion Games doesn’t need to build its own wallet system, NFT marketplace, or tokenomics; instead, it leverages Power Protocol’s standardized solutions. This allows the team to focus more resources on game content development and player experience optimization. As more Pixion Games projects adopt the protocol, it is poised to set the standard for tokenized economies in Web3 gaming.

Power Labs Incubator and Ecosystem Expansion Strategy

Power Protocol also operates Power Labs, an incubator focused on gaming, artificial intelligence, and blockchain projects. Teams supported by Power Labs integrate their applications with POWER, creating additional value for the ecosystem. The incubator provides seed funding, technical support, and marketing resources to help early-stage projects launch quickly.

Projects contribute through token swaps, buybacks, or new application token contributions, which helps maintain demand for POWER while allowing new studios to access shared tools, funding, and infrastructure. This approach fosters sustainable growth and collaboration within the ecosystem. For example, a new game can contribute part of its token supply to Power DAO in exchange for incubation support and access to the POWER ecosystem’s user base.

While gaming is the initial focus, Power Protocol also aims to expand into broader entertainment IP and AI-driven applications. The goal is to integrate multiple industries under a single blockchain infrastructure, increasing the utility and reach of POWER. Future application scenarios may include music streaming platforms, video content distribution, virtual event ticketing, and AI-generated content marketplaces.

Building on the foundation set by Fableborne and the new studios joining through Power Labs, Power Protocol is positioning itself as a core layer for the future of Web3 entertainment. If this ambitious vision is realized, POWER will not just be a gaming token, but the foundational currency for the entire decentralized entertainment economy.