Gaming has come a long way from the 16-bit graphics of the past. Want to play online with friends? All you need is the right hardware and an internet connection. Purely in terms of accessibility, we are at a stage where the majority of the world’s population can indulge in virtual entertainment.
For better or worse, it has become incredibly easy to get started in gaming. However, the world of gaming is constantly changing with many new technologies influencing the scope of modern video games.
From the proliferation of crypto mining to sweeping changes in international law, digital currencies and peer verification, technology is growing exponentially, driving sweeping changes in how we do business, value art and design, and even the way video games are made. .
Blockchain technology, the proverbial backbone of all cryptocurrencies, is transforming many aspects of gaming. But just how influential is blockchain technology? Will this affect the future of all online games? At the moment, there are no definitive answers to these questions. What is clear, however, is that blockchain technology has already provided evidence of its influence.
From creating a whole new genre of video games to introducing non-fungible tokens (NFTs), blockchain technology is used for a variety of functions in online gaming. Below are several examples of implementing blockchain technology in video games, along with potential considerations for the future.
The rise of gambling to win
Pay-to-win and free-to-play embody the current state of video games. Gaming company profits are at an all-time high, with the video game industry earning more than movies and music combined. Historically, the average consumer hasn’t had many ways to share these profits, which is why play-to-win games are quickly attracting attention.
If you want to gamble online and make money while doing it, esports and streaming used to be the only ways to get paid to play games. However, thanks to blockchain technology, it is now possible to earn income by simply playing a game over time.
Based on the idea that gamers should be allowed to invest in the games they buy, this new genre is known as play-to-earn games. Players have the opportunity to profit from these games, in proportion to the time and energy they have invested in them.
Asset ownership and NFTs
If you spend a lot of time playing a particular game, what better way to show your dedication than owning a piece of the game itself? Due to the growth of NFTs, owning in-game assets is becoming increasingly common.
Numerous studies have shown that around half of all game development companies are now considering blockchain technology as a viable solution to monetization problems of the past. By keeping the profits of a game within the game itself, players have the opportunity to invest in something they are passionate about.
Major gaming companies, like Ubisoft and Square Enix, for example, are jumping on the NFT bandwagon, ushering in a new era of digital transactions. If such a move means the reduction of microtransactions and pay-to-win items, players will surely appreciate such a fundamental transformation.
Due to the transparent nature of blockchain transactions, peer-to-peer financial systems are highly secure. All transactions can be viewed by anyone, making fraud and other forms of criminal enterprise incredibly difficult to root out. Blockchain-built games can prevent many types of cybercrime, such as hacking and other popular exploits, because they use a decentralized payment model.
The value of any currency largely depends on its security. Blockchains are quickly becoming one of the safest ways to monetize a game. As mentioned before, recorded transactions are common knowledge, which leaves little room for manipulative tendencies or abusive practices.
Blockchain technology also answers the question of intangible value. How do you judge whether an in-game item should cost a specific amount? Instead of developers and publishers dictating the answer to this question, blockchain technology creates organic in-game economies, where the “free market” becomes the sole dictator of price.
On its way to becoming the biggest entertainment industry in the world, the world of gaming has seen its fair share of ups and downs, from failing products to groundbreaking new technologies. Microtransactions, loot boxes and unfinished games have all generated major controversy, while virtual reality, cryptocurrencies and mobile games have seen unprecedented growth.
Cryptocurrencies and blockchain technology are clearly going nowhere. Although their adoption rates are quite slow when it comes to online gaming, the benefits are more than enough to speed up the process. However, all things considered, NFTs are still a relatively new technology, which means it will be some time before the majority of consumers accept such a drastic change from current industry standards.