The Revolutionary Impact of Blockchain Technology on the Gaming Industry

Do you just now learn about the blockchain? To what extent do you need this concept explained?

If so, then you've come to the right place.

This primer will provide a high-level overview of blockchain games and how they differ from their conventional counterparts. Let's delve deeper into the topic at hand.

What Role Do Blockchain and Cryptocurrencies Play in Online Gaming?

Blockchain, a distributed ledger, allows for encrypted transactions and permanent record keeping. Players can now use NFTs and cryptocurrencies to purchase virtual goods in games in a modernized marketplace. These items can be traded for real money by players.

A cryptocurrency is a digital currency that uses cryptography for secure transactions. Banks and credit card companies are bypassed in favor of direct online transactions. In-game assets such as avatars, themes, and other cosmetic items can be traded for cryptocurrency, which players can then use to purchase additional game content or other rewards.

As cryptocurrency and blockchain-based games continue to grow in popularity, developers are finding new uses for blockchain technology in the gaming industry.

NFTs

NFTs are digital assets used in blockchain games as a currency or payment for things like avatars, memes, and videos. NFTs allow users to have actual ownership over their digital possessions.

P2E Games

After completing a cryptocurrency game, you are awarded a cryptocurrency that can be used outside the game itself. The point is to encourage players to keep going by rewarding them with bitcoins that can be spent on real-world goods and services.

Virtual Events and Tournaments

The video gaming industry wouldn't be what it is today without virtual tournaments and events. People worldwide have competed in virtual tournaments for decades, but organizing the teams, prizes, and venues takes a lot of time and effort.

Benefits Of Blockchain In The Gaming Industry

Real Digital Ownership

When playing a blockchain-based game, digital assets won by the player are permanently theirs. No one, not even the developers, can take that away from them, even if they decide to end support for the game forever. A significant issue is that these resources are tied to players rather than games.

Traditional games often result in "buyer's remorse" for players. This happens when players invest real resources into a game, only to have the game keep asking for more. Players feel duped because their previous purchases in the game have been devalued in this way. There is no such problem with blockchain-based games. Further, players have varying perspectives on the value of the money they invest in such games.

NFT Data Collection

After acquiring a collection of in-game assets, players can keep their NFTs safe on a blockchain. These tokens, which are of incredible value, represent the items and materials used in the games. Low transaction fees, ease of use, and portability make NFTs ideal for use in the cryptocurrency market.

Any in-game item, such as a weapon, shield, character, or piece of art, might have a corresponding NFT. The item can still be kept in a bitcoin wallet even if the player loses the game.

Improved Safety

Traditional online games likely use insecure centralized servers for player transactions. The items in the wallet could be stolen, and the user's gaming accounts could be hacked. Blockchain engineers incorporate the safest method of storing irreplaceable digital assets, thereby reducing fraud and improving security.

Enhancement to the User Interface

Blockchain can improve the user experience by providing a more efficient, secure, and transparent method for making digital transactions and gaining access to digital assets.

Blockchain games give players more agency over how they're played. This trend has manifested itself in several ways, such as giving players agency over creating characters, stories, and game mechanics. This will allow them to download games from any location, including older ones, without worrying about the quality of the downloads.

Validity of Scarcity

These items' rarity is one factor contributing to their high market value. However, the current design makes it impossible for a player to know how rare a given Kevlar shield is. If these assets are generated and distributed via a distributed ledger, users can easily verify their total number by looking at the blockchain. Since more people trust each other, the market benefits.

Consequences of Blockchain Gaming

Although dabbling in blockchain-based gaming might seem like an excellent way to pass the time, there are a few factors to consider first. It's important to note that, first, some games have accessibility restrictions. For instance, to play Axie Infinity, customers must invest at least $300 in purchasing three Axies.

There's also a chance that some of your tokens or cryptocurrencies will be lost. More than $600 million worth of NFTs belonging to Axie Infinity's Ronin blockchain were stolen, and the creator of Hedgie lost more than $1 million due to fraud.

Gamer fraud may be more common than bitcoin trade fraud due to the exemption of blockchain players from various financial rules, such as anti-money-laundering laws.

Lastly, regular market fluctuations may bring about financial losses for participants. However, the inability to withdraw funds promptly from some games increases the risk of players incurring more significant losses.

Popular Blockchain-Based Games

Some of the most popular games built on the blockchain are discussed.

Axie Infinity

In Axie Infinity, players collect NFTs called "Axies" and use them in the battle against other players. After a successful fight, players are rewarded with a Smooth Tincture, which can be traded in for tokens of the Axie Infinity. As a bonus, Axies can be purchased, traded, and bred.

Decentraland

In Decentraland, players can buy virtual land and use it to construct virtual cities or even an entire virtual world. Players can build games, open businesses, and do much more on their land. Decentraland users need access to Ethereum and the ability to purchase MANA.

Alien Worlds

Capturing alien NFTs used in mining provides players with in-game currency that can be used to purchase new equipment in the science fiction game Alien Worlds. Players can use TLM tokens to buy and sell NFTs, win battles, and accomplish other in-game goals. Players need land, TLM, and mining gear to begin.

Discussing the Future of Blockchain Gaming on Mobile

We don't yet completely understand blockchain gaming because it's so new. However, most experts in the mobile gaming industry believe that blockchain games are the industry's future. However, only a small percentage of people have the guts to try and predict what exactly will happen. Here is a rundown of things we expect to occur in the not-too-distant future.

One thing that can be counted on is enhancing blockchain gaming experiences. The currently under development blockchain systems have previously claimed they would solve the major problems plaguing blockchain gaming.

The CEO of Quantum Economics claims that cryptocurrencies will revolutionize the gaming industry. To a greater extent, the games we play will reflect the real world, and the items we purchase in-game will have real-world value. As a result, now is the time to put money into blockchain if you hope to reap its benefits in the future.

As blockchain technology improves and is more widely adopted, we may expect more blockchain game development services and features, such as faster and more secure transactions, decentralized platforms for virtual worlds, and new digital assets.

After reading this, you should have a better grasp of blockchain gaming. Any thoughts, ideas, or questions? Feel free to share your thoughts in the space provided below.

Author Bio:

Patricia Smith is an experienced content writer & strategist with hands-on knowledge about technical and non-technical content and expertise in crafting content that creates value for the user. Nowadays she is focusing on sharing knowledge about blockchain game development services, nft for games, ico launchpad for business and more. Stay tuned to know more about these trending topics.