Blockchain gaming can provide a number of benefits to gamers and the gaming industry as a whole. This technology will facilitate more collaborative game development between game developers and players. It will also facilitate rarer in-game assets. A number of players have expressed concern that success in a virtual game platform is often determined by how much they can spend on in-game items.
One game that uses blockchain technology is Axie Infinity. Similar to a Pokemon game, Axie Infinity allows users to earn money through playing games. Players purchase in-game currency, known as Axies, with cryptocurrencies. They can then sell these items for fiat currencies. This game is anticipated to generate over $1 billion in revenue by 2021.
Blockchain gaming is already seeing significant growth, with the three largest games generating over two million monthly active users. Most of these users are located in the U.S. and Asia-Pacific region (China, Philippines, Thailand, India, Vietnam, and Indonesia). Crypto gamers are mostly millennials and Gen Z, with most growth coming from users aged 45-54.
Another exciting aspect of blockchain gaming is its transparency. Games with blockchain technology can be split up so that players can have access to the code behind the game. The blockchain also enables non-fungible tokens (NFTs) representing unique assets on the game’s blockchain. These assets can be anything from in-game items to rare skins. Most NFTs are found on the Ethereum blockchain, but almost all cryptocurrencies have the ability to implement them. Blockchain games can also enable interoperability between different types of games.
Despite its many benefits, blockchain games have a few potential disadvantages. Blockchain networks can be slow. For example, the popular CryptoKitties game clogged up the Ethereum blockchain to the point where an emergency task force had to be set up to deal with the problem. Additionally, players must secure their private keys and practice disciplined computer security to protect their digital currencies.
The future of blockchain gaming looks bright. It has the potential to replace microtransactions and provide developers with a free hand in creating rare collections. By eliminating the risks of hacking, blockchain technology can significantly improve the productivity of developers and entrepreneurs. It also helps prevent fraud and protects data. This technology can also provide a great deal of value to the video game industry.
While blockchain gaming can be lucrative for game developers, the traditional PC gaming industry is still wary of the concept. Blockchain gaming offers a way to launch an in-game economy without the need to rely on loans and inflated working capital. This makes blockchain gaming an ideal option for small studios who do not have the time or the expertise to build a large gaming franchise.
A new wave of technological innovations and a surge in popularity among gamers have made blockchain gaming a viable income stream for developers. With new age technologies and a rapidly growing user base, blockchain gaming will continue to grow and become a major player in the gaming industry.