Over the past few years, the gaming industry has encountered a ton of changes. Blockchain and cryptocurrency are just two of the most significant advances in the industry, with many more to come.
For those who aren’t familiar with NFTs, they’re a form of cryptocurrency that can be traded on blockchain platforms like Ethereum.
Each NFT is unique, and it represents something different depending on what game you’re playing. It could be an item for your character in an RPG, or it could be an in-game currency such as Smooth Love Potion or Vigorus. There is no doubt that NFTs will make a significant impact on the gaming industry.
In this article, we’ll explore how NFTs will affect the gaming industry and how they will change it.
The NFT hype will end.
The gaming industry has long been at the forefront of blockchain innovation. Back in 2012, Bitcoin was used to make in-game purchases for the MMORPG, Entropia Universe. Since then, the industry has seen an explosion of crypto games, using everything from Ethereum to TRON and even EOSIO.
One of the biggest trends is the integration of blockchain and crypto into the world’s most popular games.
In particular, NFTs, or non-fungible tokens, are becoming a major part of modern gaming. More and more game developers are exploring the commercial side of non-fungible tokens (NFTs).
Over the past year, the number of streamers on Twitch, YouTube and Facebook has grown from 5 million to over 11 million. E-sports has been a huge hit in the live streaming market this year. And the industry has evolved into a whole new space like the Metaverse.
NFTs are no longer something new. In fact, the NBA’s Top Shot has been using them in their game to reward players with special cards featuring their best plays of the season. They are so successful that people are starting to sell them at high prices on eBay.
According to data pulled from NFTGO.io in 2021, the total market cap for NFTs surged from $4.2 billion to more than $10 billion. Over seventy percent of that growth was within the last four months.
Ultimately, 2022 will be the year NFT games become mainstream — the new normal for both gamers and NFT enthusiasts.
Gamers will have more ownership over in-game assets.
One of the most important things that make games different from other forms of art is that they’re meant to be interactive. You’re not just watching a movie when playing a game; you’re an active participant in what’s happening on the screen.
This means that your actions have an impact on the world around you, which is one of the reasons why video games are so popular among gamers. The ability to interact with the environment is one of the main reasons why people play video games instead of just watching movies or TV shows.
A key to enticing gamers into any ecosystem will be the way rewards are distributed. For games to stand a chance at being relevant, the gameplay is crucial. This is followed closely by ownership and dividends for the time devoted to a given platform as they are forms of investment as much as entertainment. The play-to-earn (P2E) distribution model is more of an add-on for gamers at heart.
Some blockchain-based platforms like Gamerse’s offer further incentives to gamers through their “share-to-earn” model. However, P2E still does not offer sufficient rewards to gamers. This is where the share-to-earn model has worked well for many Web3 games.
Gamerse, a cross-chain social platform for NFT gamers, provides NFT game developers with a simple way to connect with their users and the wider NFT gaming community. By doing so, the APY yield for the group’s holdings is decided by group activity and group participation is rewarded.
Several games could implement the share-to-earn model or come up with new reward systems, which without a doubt will be a functionality in the NFT gaming ecosystem.
Players can earn real money by selling their in-game assets.
Games that are competing for players’ attention will have to be more compelling than simply integrating tokenization.
That doesn’t mean that NFTs won’t remain relevant. They might become a point of discussion among the hardcore gaming community, much in the same way that Diablo 2 players obsess over their item drops and trading opportunities.
It is possible to imagine a future where a game like Fortnite remains popular but becomes associated with its own “darknet” market for trading skins and other digital assets.
Players could make huge profits by selling rare items at high prices, creating a potentially lucrative second economy beyond the game itself. That would likely change how players interact with one another and could dramatically alter the gaming experience in ways that are difficult to predict today.
Blockchain can help secure games against unauthorized use of in-game assets.
While simultaneously protecting players’ privacy, blockchain technology can help secure games against unauthorized use of in-game assets.
In-game asset trading has been a part of the gaming ecosystem for a long time. Companies like Steam and GoG have been offering their users a way to buy, sell and trade games for years.
With the advent of blockchain technology and its applications in gaming, the way gamers interact with their favorite games is about to change.
Blockchain technology allows for the creation of digital assets that are backed by both real-world value and an immutable record on the blockchain ledger. This means that these assets can not be copied without invalidating their value on the market, which protects game developers from piracy as well as unauthorized use of in-game assets.
These digital assets are also traded peer-to-peer through online marketplaces, which allows gamers to earn income from their favorite games while also giving them full ownership over these digital items.
Key Takeaway
NFTs could change the gaming industry and how we experience digital gaming in a very positive way. For non-fungible tokens to evolve within gaming, all the variables need to come together.
The most important piece of the puzzle is for gaming companies—particularly those producing free-to-play mobile games—to decide that embracing NFTs makes sense for their business. And that decision won’t be made overnight.
Since cryptocurrencies are very volatile, NFT games are already opening their doors and targeting traditional gamers to widen their reach.
In order for NFT games to sustain their business model, they cannot solely rely on the play-to-earn mechanics as their token may lose its value depending on how the market plays out.
By being free-to-play and play-to-earn, they are able to cater to a broader array of audiences. Players can now choose to enjoy the game through a relaxed approach or if they want to grind and earn from their efforts and investments.
Companies will have to consider the different benefits NFTs can offer in comparison to other kinds of tokens, and use their resources to build out the necessary infrastructure. But if more companies do decide to embrace NFTs and build out this technology, it could lead to a defining moment for gaming culture.
Writer on Demand PH 