REVOLUTIONIZING GAMING :How Blockchain Games Are Transforming the Industry
Blockchain games have brought a revolutionary shift to the gaming industry. Unlike traditional video games, blockchain games incorporate the power of blockchain technology, fundamentally altering the way games are played and experienced
Blockchain games, also called crypto games, are video games built using blockchain technology. They usually involve non-fungible tokens (NFTs) or cryptocurrency in some element of the gameplay, making many blockchain games require a connection with a crypto wallet. Some blockchain games are also play-to-earn games, meaning players can transfer in-game effort, activity and items into cryptocurrency. Axie Infinity, Decentraland and The Sandbox are some of the most popular games on the blockchain.
How Do Blockchain Games Work?
Blockchain games utilize a handful of blockchain and Web3 technologies to operate user governance or dictate gameplay. These technologies in particular are often found in blockchain games. NFTS Characters, cards, creatures or items used in blockchain games tend to be represented as NFTs. This makes them unique on the blockchain, ownable by a single person at a time and transferable inside and outside of the game. In games that feature land or similar limited-availability dynamics, these assets are generally NFTs.
Utility tokens Almost all blockchain games include a utility token that generally acts as the in-game currency or energy that drives activity in the game. These utility tokens can be fungible or non-fungible with some games “burning” them — removing them from the pool available — when they are used for transactions. With few exceptions, these in-game tokens cannot be bought with standard fiat currency, but must be purchased with crypto or earned in-game.
Traditional vs Blockchain Games
Unlike traditional video games, blockchain games use blockchain tokens as their virtual currency. These tokens can be transferred, sold, and purchased independently of the service provider. Players using crypto games should first register in the blockchain platform used by the particular game, thus gaining access to the blockchain wallet. Blockchain games are unique in terms of virtual currency use, and they provide an unprecedented degree of transparency and security to the players. Unlike traditional games, crypto games are decentralized, and they offer tangible economic benefits to the players, who can use blockchain games to earn cryptocurrency while simultaneously entertaining themselves.
Advantages of Blockchain Games for Developers
The advantages of developing blockchain games for developers justify investments in this sphere. Below are the most significant benefits of using blockchain in games, which you need to consider when designing your games:
• Effective data encryption. Blockchain-based games use sophisticated technology to secure crypto tokens storage and use. For developers, it means that the risk of hacking is extremely low. A decentralized blockchain network stores all the data, making it impossible for hackers to modify or compromise players’ transactions.
• Many growth opportunities. The crypto-games market is currently on the rise, meaning that companies investing in game development in this sector can enjoy multiple growth opportunities and have higher chances of earning a market share if they employ innovative blockchain solutions.
• Security and user-friendly experiences. Blockchain games can provide user-friendly experiences by offering a high degree of security and transparency. Tech-savvy gamers value these advantages and can become loyal fans of well-designed, engaging blockchain games.
• Transparency of asset distribution. Developers can also benefit from the total transparency of asset distribution. They can attract players who want to own their assets and be sure that no one would take hold of them. In this way, developers can earn a share of the traditional gaming market by attracting players who had negative experiences with game assets ownership or simply want to feel secure.
Before we explore further read this also…
Blockchain games utilize a handful of blockchain and Web3 technologies to operate user governance or dictate gameplay. These technologies in particular are often found in blockchain games. Characters, cards, creatures or items used in blockchain games tend to be represented as NFTs. This makes them unique on the blockchain, ownable by a single person at a time and transferable inside and outside of the game. In games that feature land or similar limited-availability dynamics, these assets are generally NFTs
Decentralized autonomous organizations (daos), Many blockchain games feature a decentralized autonomous organization, or DAO, which functions as a player-owned governance over the game. Blockchain games with this dynamic generally have a (usually non-fungible) governance token in addition to the in-game utility token that gives their holders the ability to vote or otherwise contribute to the way the game — or subsets of it — are run. In games with land NFTs, land often functions as a governance token, meaning these games return players to a time when only landowners could vote.
Someone might ask themselves, How do blockchain games work in DAO?, Blockchain games work by employing various blockchain technologies like NFTs, utility tokens and DAO structures. Depending on the technologies used, these help determine the gameplay mechanics and user governance system of a blockchain game.
“Something to note”
If you are a mobile game developer you must focus on the followings things:
-What kind of game you are going to create.
-The level of the game.
-Game advertising.
-A game should be able to be played with 1 finger.
-A game should use bright colors and cartoonish characters.
Even though we experienced a crypto winter, the GameFi gaming sector continues to thrive and reach new heights in 2023. It remains red hot in the current year. Over the past year, the number of blockchain-based games and exciting crypto-gaming projects has doubled. In Q1 of 2023, GameFi companies managed to raise over $450 million, capitalizing on the bull run of the previous year. Consequently, our interest in play-to-earn and NFT games will undoubtedly remain strong throughout 2023.
The gaming crypto niche combines two attractive industries — video games and the crypto world.
Let’s cover some of the best gaming crypto coins and projects, ways to invest in crypto gaming, reasons everyone should invest in gaming tokens, and how to invest with GamesPad, the next-gen holistic gaming, and the Metaverse ecosystem.
How to Make Money With Crypto Games?
Video games have evolved thanks to blockchain technologies dramatically. Now they can be used to earn good money. While playing NFT and play-to-earn games, gamers can have true ownership over their in-game assets and earn rewards with real value. As for blockchain marketplaces, they allow users to buy and sell unique in-game digital assets and more.
What Are Gaming Crypto Coins?
A gaming coin is an in-game cryptocurrency that can be used to purchase a particular game. Gaming coins can be used to buy characters and other items in-game. You can earn cryptocurrency through fulfilling certain activities. These games can also be played with non-fungible tokens (NFTs).
How to Invest in Crypto Games?
There are many ways to try to make money with NFT-based and GameFi projects. So let’s check them out!
• Earning in-game tokens
Most blockchain-based games have an in-game currency and native tokens that can be swapped for other cryptocurrencies or cashed out. For example, Axie Infinity uses Smooth Love Potion ($SLP), which has two primary uses: it is the in-game currency and an item used to breed the characters.
• Breeding Blockchain-based games are more than battling,
exploring, and collecting. So-called breeding, which means minting a new token to be put in circulation in the game, is another good way to earn passive income. CryptoKitties game is a good example. While playing this game, gamers can pair a male and female NFT cat character and breed them to create new characters that can be sold on NFT marketplaces.
• Minting new in-game items In some metaverse games,
players can create in-game objects, wearables, and other collectibles and earn royalties from secondary sales. In other GameFi projects, players can forge new weapons and sell them on the marketplace or submit NFT collectible designs. If these designs are approved, they can be added to the game allowing artists and creators to earn royalties on secondary sales in perpetuity.
• Staking tokens
Staking is another way to make money while playing blockchain-based games. Staking is locking tokens to earn rewards, which means making them available for other players to make exchanges.
• Trading non-fungible tokens (NFTs)
Trading NFTs refers to purchasing and selling them. It sounds easy; however, this way of earning in blockchain gaming requires doing your own research (DYOR), patience, and even an investment up front.
• Participating in tournaments and events
Some blockchain-based games feature special events and tournaments that give unique opportunities to earn rewards. For example, in some games, players have to enter a tournament and pay an entry fee, and the top player earns the pot. These games can also feature special events, where gamers can team up to fight bosses and earn special rewards.
• Mining
Even though this way of earning is definitely not for everyone, it is worth mentioning. Mining a token is when hardware “mines” new tokens to be put in circulation. In GameFi, the mining phase begins at the immediate release of a new gaming project. Miners start adding the new game’s native token into circulation so it can be used for the game. Mining in the crypto sphere refers to hardware solving complicated math issues to create the next block. Unfortunately, it is a pretty costly and time-consuming process. Furthermore, mining coins puts a lot of stress on the graphics processing unit.
So, how exactly do these developers make money?
Let’s have a look! Largely, there are two ways: Transaction fees When a player signs up to play on a crypto gaming platform, they are required to pay a transaction fee for purchasing in-game digital currency. That’s primarily how game developers earn money. When more players purchase the native token, its value goes up, thus benefiting both players and developers. In-game assets Video games, like Fortnite, sell skins, or outfits, to their players. These help players blend into the game’s environment. Now, with the advent of blockchain gaming, Chief of Marketing at Bright Star Studies, Sune Thorson, expounds, “A game company doesn’t need to be the one selling the skins anymore to make money. Instead, we can facilitate the marketplace where the transactions of the skins take place on the blockchain. No matter where a cosmetic item is sold, the blockchain registers the transaction and charges a small fee which goes back to us.” That is to say that, with outfits being traded on blockchains, when players want to sell their skins for a profit, the developers will receive a cut of it, too. These assets are usually sold in the form of NFTs.
As per a survey, 50 percent of video game developers said that they intend on incorporating NFTs into their games. This gives players more real-world value as they are able to trade those NFTs and profit off of them. The flip side As profitable as crypto gaming may sound, it’s not so simple. The co-Founder of augmented reality platform OVR, Diego Di Tommaso, details, “Play-to-earn is not a magic pill that will make any game profitable for players, yet it sets a precedent and a canvas for such a value-distributing game.” Players need to account for the volatility of cryptocurrencies and the time it would take to start earning a significant amount with games.
Developers can rest assured that the scope to boost their income through blockchain gaming is only set to grow. In the coming years, as the industry expands even more, developers might even start trading their NFTs on other gaming platforms. Through inter-game interactions, developers will be able to expand their reach and revenue. The COO and Founder of cryptocurrency exchange WazirX, Siddharth Menon, concludes,“As more money is now being invested in the market, there’s no doubt that crypto gaming is all set to become an industry of its own. Several studios are also now jumping to the crypto gaming bandwagon, in an attempt to capitalize on the latest trend.”
Is the business model sustainable?
Possibly, but there are a number of problems associated with this concept because the appeal of earning money could dilute the gaming experience. One major risk is a game’s ability to continue growing the economy it intends to build. The only way a play-to-earn model can be sustainable is having the game’s users be of high quality, according to Adrian Kolody, founder of DeFi startup Domination Finance. Being entertained and actually having a good time while playing could be watered down by people using bot-farmers as a way to make the most of the game purely for the sake of residual income, he said. “Bot behavior also incentivizes the auto-dumping of the token rewards that you receive from these games,” he said. “This leads to negative price action, and can mean certain death for some of these projects who rely on their token to do well for sufficient runway.” Moreover, continuous trading of in-game assets creates the need for a constant inflow of new players to maintain the business model and develop revenue streams.
How is the game itself earning anything?
Easy one. Transaction fees! New players incur a fee for purchasing in-game currency, and this represents a major revenue stream for the game. The most appealing part of the game is the price appreciation of native tokens.Advertisement Games with solid communities and brands have an edge over others. “Axie’s sustainability will be based on how fast it can grow its player base and drive additional utility to its in-game assets,” said Koh Kim, head of ecosystem at blockchain infrastructure startup Mysten Labs. “Axie has literally changed people’s lives — that’s their competitive advantage. No other play-to-earn game has that level of loyalty.”
In conclusion, blockchain games have ushered in a new era for the gaming industry, characterized by ownership, play-to-earn opportunities, transparency, security, and player empowerment. As these innovative games continue to gain momentum, they offer not only entertainment but also the potential for players to unlock real-world value. The impact of blockchain technology on gaming is undeniable, and its influence is set to grow, reshaping how we play and engage with virtual worlds.
AUTHOR DETAILS
Full article created published by;-Eng Lenard R Wenceslaus (Lony_360) in Millennium magazine
