Krafton Unveils Settlus Blockchain on Cosmos

Krafton, the company behind the renowned battle royale game PUBG, has announced the launch of its new blockchain, Settlus, built on the Cosmos network. The platform is set to debut in 2023 and will support the metaverse game "Migaloo."

Krafton's Blockchain Launch

On September 4, 2023, Josh Lee, founder of the DEX Osmosis (OSMO), revealed that Krafton, the developer of the popular shooter PUBG, will introduce a new blockchain named Settlus, built on Cosmos.

The plan was confirmed by Settlus at the Circle Hacker House event, hosted by AngelHack and Circle, on September 3-4, 2023. A Settlus representative stated:

"We are developing a native module on our blockchain to facilitate the seamless migration of NFTs from external blockchains into the Settlus system without the need for cross-chain conversion. These NFTs can then be integrated into the 'Migaloo' metaverse (which will feature a Create-to-Earn system), allowing creators to profit from their creations through NFT sales, while maintaining blockchain transparency throughout the transaction and payment process."

Settlus is also working to establish USDC as the primary payment currency for creators, aiming to simplify and manage financial transactions on the platform.

The official Settlus website describes the blockchain as a standalone system designed to offer transparent payment solutions for the creator economy. Settlus aims to connect web2 products with various web3 domains, rather than merely promising a new universe.

Key Features of Settlus:

• Transparent Payment System: Integrated as a blockchain module, ensuring decentralization and security.
• On-Demand Payments: Transactions are recorded on the blockchain, guaranteeing transparency and efficiency.
• NFT Copyright Management: Protects intellectual property and ensures fair compensation for creators.
• NFT Interoperability: Enables easy and rapid conversion of NFTs from different blockchains to Settlus.
• Stablecoin Gas Fees: Uses stablecoin to minimize price volatility and ensure system stability.

The Settlus Testnet is expected to launch in early 2024.

The Shift of Web2 Gaming Companies to Web3

Krafton, formerly known as Bluehole, is a South Korean video game developer and publisher established in Seoul in 2007. It is one of South Korea's top seven gaming giants and the company behind the blockbuster battle royale PUBG: Battlegrounds.

In April 2023, Krafton and VR company NAVER Z announced the formation of a joint venture to create a North America-based metaverse platform, investing $36.8 million into Migaloo's development. Under the agreement, Krafton will hold 85% of the joint venture, with NAVER Z holding the remaining 15%.

The Migaloo metaverse platform is still under development, with a 2023 launch anticipated. While details are sparse, Migaloo's world may resemble Roblox.

Notably, Migaloo is not Krafton's first Web3 initiative. In March 2022, Krafton announced a collaboration with Solana Labs to develop games on the Solana network. However, since then, neither Krafton nor Solana Labs has provided updates on the product's launch.

Krafton's foray into Web3 gaming is part of a broader trend where traditional gaming companies are transitioning to blockchain technology:

• February 2023: Square Enix, known for titles like Final Fantasy and Tomb Raider, announced its own blockchain game, Symbiogenesis.
• March 2023: CCP Games, the developer behind EVE Online, and gaming giant Sony both hinted at their entry into blockchain and Web3 gaming.
• August 2023: Zynga, the developer of mobile hits like FarmVille and Words With Friends, revealed plans for a new Web3 game project called Sugartown.

This surge in blockchain game development is partly driven by Unity, a leading game development platform, which integrated crypto solutions into its toolset in early March 2023 under the "Decentralize" category.