Blockchain technology is currently being embraced by businesses all over the world, enabling its entry into every industry. A revolution in how businesses and operations are managed worldwide is being brought about by blockchain and its decentralized nature. NFTs are offering a quantum leap in existing technology despite cryptocurrency. The old pay-to-play games were replaced by the Play to Earn NFT platforms in the gaming industry. A new transformation in the gaming industry with blockchain was sparked by the introduction of cryptocurrencies to pay for in-game items and NFTs in place of immutable digital data. While some players and developers are against the usage of blockchain in gaming platforms, the entire gaming industry is gradually adopting blockchain as a crucial component of the gaming business. What’s going on in the area, and what should you know about it? Enter the fray!
What happened first!
Following the launch of Cryptokitties, the public became more familiar with the idea of integrating blockchain technology into gaming. It is a blockchain-based game in which the virtual currency, kittens, are converted into NFTs. In-game items might now be converted into NFTs and given tradeable ownership through an NFT gaming marketplace. At this time, all classic games demand that players buy particular gaming accessories like elixirs, elixir skins, maps, weapons, and more. Simply digital files or metadata are what these things are, and they are kept by the game developer.
Although having no real ownership over them, the gamer can use these products after purchasing them. This was made feasible by the idea of NFTs, which also allowed for the development of Play to Earn NFT games, which raised the bar for gaming experiences.
What’s the situation?
It has become popular in the gaming business nowadays as a result of the abundance of games that use this idea. Platforms for NFT gaming, such as Axie Infinity, report having over 3 million active users. Not only the game picked for its entertainment value, but also for the opportunity for passive revenue it offers its players.
For many players, the passive revenue quickly transitioned to active income. Many gamers in Vietnam and the Philippines quit their professions to play to make money for their games since these games offer them sufficient returns. Several non-gamers and crypto aficionados also invited by these platforms.
Putting yourself in the position of developers and gamers
How therefore is the gaming sector adjusting to the new developments brought about by blockchain technology? We must consider this from both the standpoints of game developers and players if we are to provide a satisfactory response.
The use of cryptocurrencies and non-fungible tokens in games was the major topic of conversation at the most recent GDC (Game Developers Conference 2021). Unexpectedly, the developers’ vote—which they invited to cast—was against this. The vote to include blockchain in the game sector received a no vote from 70% of the developers that attended the conference.
On the other hand, a lot of gaming companies are actively participating in NFT-related events, building their own NFT gaming markets, and more, raising optimism for the widespread use of blockchain. The launch of their NFT platforms actively pursued by companies like Gamestop, Ubisoft, Square Enix, and others.
Yet, the introduction of NFTs, which are replacing digital game products, is providing financial benefits to the players. In addition to renting them if they are not in use, they are free to exchange them whenever they wish. While some playersthrilled about the introduction of NFTs in games because of the passive income they can earn from them, others believe that the integration of blockchain would ruin the gaming experience they already used to.
Redactle, which announced the inclusion of NFTs in the game, was responsible for this. On the part of the gamers, there was a strong outcry. The developers reacted angrily, saying they would not adopt NFTs in order to appease the players.
Market conditions and data
The daily active user wallets were at their highest on NFT gaming platforms, even amid the crypto market meltdown. Unbeknownst to you, axie Infinity has 3 million players worldwide. Data from a number of sources also indicate that despite the cryptocurrency downturn, demand in the NFT gaming business remained steady.
A 2.5 billion investment made in the Play to Earn NFT games in 2021, in addition to other earnings. The developers anticipated a low investment ratio in 2022 due to the collapse of the crypto market, which had a negative impact on NFT games. The second quarter of 2022 saw 4 billion dollars in investment, however, thanks to the popularity and reach of these games. At this rate, it may potentially approach 10 billion, which would represent a 75% increase over the previous year.
A billion gamers will soon exist, as the number of players is also constantly rising.
Final conclusion
You should now know how the gaming industry is doing based on the statistics mentioned above. According to the statistics, 2022 will be the year in which players compete for NFT games. A further point to make is that news about blockchain and NFTs constantly broadcast in the gaming sector.
Better gaming experiences are always a fundamental need for gamers, whether they are play-to-earn NFT games or more traditional video games. With NFTs, players receive benefits in addition to a new and smooth gaming experience that made possible by in-game objects. The potential to earn money in exchange for the time and effort spent playing games means that Blockchain gives players everything they want and even more. NFT games are more superior to conventional games in every way because of this.
