SERAPH: In The Darkness faces significant external threats that could hinder its success in the competitive Web3 gaming space. This report identifies the challenges posed by market competition, regulatory risks, cryptocurrency volatility, player fatigue, and technical limitations. This report will cover:

• The impact of competition from established Web3 games and traditional AAA titles.
• Regulatory uncertainties that could disrupt the game’s tokenomics and play-to-earn mechanics.
• Challenges posed by cryptocurrency market volatility on player earnings and in-game economic stability.
• The risk of player fatigue with current play-to-earn models and the need for innovative engagement strategies.