# Red Door Digital Financial Model

Blockchain game development studio building Play-to-Earn (P2E) / Web3 games with NFT economies, targeting global metaverse communities.

- Canonical: https://finamodel.com/startups/red-door-digital
- Excel download: https://finamodel.com/startup-models/red-door-digital.xlsx
- Category: Crypto/Web3
- Model type: SaaS ARR / Valuation
- Funding round: Seed
- Funding: $5M
- Founded: 2022
- Geography: Singapore-headquartered; global developer talent; target market global.
- Customer: B2C

## About the company

Red Door Digital is a Singapore-based game studio building play-to-earn Web3 titles with NFT economies for global metaverse communities. Its planned commercial mix includes NFT drops, token issuance, royalties, IP licensing, and in-game marketplace fees rather than a single recurring game subscription.

The company appeared pre-revenue and seed-stage, with a debut title targeting a second-quarter 2022 launch. That makes game delivery and audience formation more important than a historical revenue extrapolation. Its global developer talent and global market ambition also make content cadence and live-service capability core operating considerations.

Model each title from development milestones through launch, active players, NFT drops, marketplace GMV, and royalties. Keep token rewards and player incentives separate from cash revenue, then include development, live operations, community, platform, and acquisition costs. Launch timing, retention, NFT demand, take rate, token price, and title pipeline should drive scenarios.

## What's included

- 5-year monthly revenue build with stage-appropriate growth assumptions
- Full P&L, headcount plan, and operating-expense schedule
- Cash-flow statement, runway, and burn-rate tracking
- Valuation via exit multiple with a DCF cross-check
- Returns analysis with MOIC and IRR
- Unit economics including CAC, LTV, payback, and cohort retention

## Product & value proposition

- Flagship title: "Reign of Terror" - Cyberpunk Real-Time Tactics MMO; Solana blockchain; Web + Mobile; targeted Q2 2022 launch.
- Second title in pipeline: "Dinohorse Saga" - Racing & Battling Action RPG; Web + Mobile; targeted Q4 2022 launch.
- Core mechanics: P2E (Play-to-Earn), PvE and PvP modes, NFT lending marketplace, in-game NFT crafting and trading, DAO governance, DeFi staking rewards.
- Token revenue split (Reign of Terror): Royalty 5%, Royal Court 5%, Government 15%, Soldiers (players) 75%.
- Value prop: Transform existing IPs (TV shows, film, anime, legacy videogames) into blockchain games plus original IPs; lower Web3 entry barriers for mainstream gamers.

## Revenue model

From deck text (slides 5, 9):
- NFT drops per title launch (primary sale revenue).
- In-game NFT marketplace royalties - 5% royalty on secondary NFT trades.
- Token issuance / staking ecosystem tied to RDD games token.
- NFT lending marketplace - fees from borrowers and creditors.
- IP acquisition and licensing for transforming existing IPs into blockchain games.
- No explicit pricing, subscription, or per-unit revenue figures disclosed.

## Traction & metrics

- Established: 2021, Singapore.
- Developers: 40+ global talents.
- Cumulative title experience across team: 120+ titles, all platforms.
- Debut title "Reign of Terror": planned Q2 2022 launch on Solana.
- No revenue, user, sales, or pre-registration numbers disclosed.

## Competition / moat

- Moat claims (qualitative only): team credentials from EA, Perfect World, Tencent, Netease, Ubisoft, Epic Games, Bigpoint, Hollywood Studios; prior NFT launches on Ethereum and Polygon.
- Notable franchise experience cited: Warcraft II, Star Wars Galaxies, EA Origin, Call of Duty, Diablo, Destiny.
- Competitive differentiation: focus on quality IP transformation vs. low-quality existing GameFi projects; reducing Web3 onboarding friction.
- No competitive landscape slide or comps matrix in deck.

## Team & funding ask / use of funds

Team:
- Joseph, CEO - 10+ years game development, blockchain & NFT expert.
- Seewan, CTO - 15+ years game technical development & large-scale platform, blockchain expert.
- Rene, Executive Producer - 20+ years game production, DeFi & NFT convergence expert.
- Vissch, Creative Director - 10+ years, successful NFT project launches.
- Alvin, Game Design Director - 10+ years, own studio, metaverse/banking/ecosystem background.
- Aaliyah, Head of Korea - 20 years game business & ICT startup, IP licensing, blockchain platform.
- Curis, Advisor (Board of Director) - serial entrepreneur, corporate development and investment.
- John, Advisor - 10 years franchise management (Call of Duty, Diablo, Destiny); Tencent, EA, Epic Games, Ubisoft background.

## Recommended financial model

- Archetype + why: **Web3 Game Studio - Title-by-Title P&L with NFT token economy model.** Revenue is episodic (per title launch) driven by NFT primary sales and secondary royalties, not a SaaS ARR or DTC inventory model. The two-title pipeline (Reign of Terror Q2 2022, Dinohorse Saga Q4 2022) makes a title-waterfall structure most natural, layering in token/staking revenue and marketplace fees. A simple 3-statement can sit underneath once per-title economics are built.
- Forecast horizon & granularity: 3 years (2022–2024); monthly for Year 1 (launch + post-launch NFT activity spike); quarterly for Years 2–3.
- Key drivers & assumptions:
  - Number of titles launched per year: 2 in 2022 (Reign of Terror, Dinohorse Saga); 1–2 per year thereafter - studio capacity assumption.
  - NFT supply per title (genesis collection size): 5,000–10,000 NFTs per drop - industry norm for mid-tier GameFi at this stage.
  - Average NFT primary sale price: 0.5–2 SOL (~$50–$200 at time of raise) - comparable GameFi mint prices circa 2022.
  - Secondary market volume as multiple of primary: 3–5x primary in Year 1 post-launch - typical NFT secondary spike pattern.
  - Royalty rate on secondary: 5%.
  - Monthly active users (MAU) per title: 5,000–50,000 range - no traction data disclosed.
  - In-game marketplace take rate: 2–5% - standard NFT marketplace fee.
  - Token staking/DeFi revenue: modelled as a % of treasury float; low confidence without tokenomics paper.
  - IP licensing revenue: deal-by-deal; excluded from base case pending deal disclosure.
  - Headcount: 40+ developers current; scales to ~60–80 by end of Year 2 based on two concurrent title pipelines.
  - Dev cost per title: $1M–$3M over 12–18 months - typical mid-scale blockchain game budget; no cost data in deck.
  - Gross margin on NFT sales: 70–80% (digital goods, blockchain gas fees as COGS).
- Scenarios (Base / Bull / Bear - which variables flex):
  - Bear: 1 title launched, NFT sell-through 50%, low secondary volume, MAU <5k.
  - Base: 2 titles on schedule, 80% NFT sell-through, secondary 3x primary, MAU 20k per title.
  - Bull: 2 titles + 1 IP licensing deal, full NFT sell-through, secondary 5x, MAU 50k, token price appreciation.
- Required sheets / outputs:
  1. Assumptions - all title launch dates, NFT supply/price, secondary multiples, royalty rates, MAU ramp.
  2. Title P&L (one tab per title or combined waterfall) - primary NFT revenue, secondary royalties, marketplace fees, token revenue.
  3. Cost build - headcount (dev, ops, marketing), server/cloud, blockchain gas, marketing/UA.
  4. Income Statement (consolidated).
  5. Cash Flow - critical given pre-revenue status and lump-sum NFT drop timing.
  6. Balance Sheet (simplified).
  7. KPI dashboard - MAU, NFT sell-through %, secondary volume, royalty revenue, treasury balance.

## Frequently asked questions

### Is the Red Door Digital financial model free?

Yes. The Red Door Digital model is a free Excel download with live formulas.

### Can I change the assumptions?

Yes. The workbook is editable and its live formulas recalculate when assumptions change.