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The gaming world has constantly been evolving, and incorporating Non-fungible tokens (NFTs) into the games is reshaping the industry. The popularity of NFTs in the gaming industry has skyrocketed in recent months because they offer users the ability to own any type of in-game assets or objects such as weapons, armor, and others virtually. This way, gamers will discover an ecosystem tailored to them, which provides digital asset ownership.
Benefits of NFTs that can bring to the gaming industry
NFT games offer various benefits over traditional games that will make them future gaming. For instance,
Offers a Source of Income: NFT games are often called play-to-earn games that reward players with tokens or NFTs for their time spent playing. Tokens are usually the main rewards, and players can also buy NFTs in high demand from other players and resell them if the value increases. In many countries with poor economies, unemployed people take this opportunity of NFT gaming to earn money from doing what they love. Players in the Philippines reportedly earn between US$ 200 and US$ 1000 per month through a popular NFT game, Axie Infinity.
Ownership of In-game Assets: The items purchased in traditional games are locked to the game and cannot be traded between players. In contrast, players in NFT games can trade their NFTs across various supported platforms or sell them to other players. When players feel like they own their game items, they are more invested in the game world and its characters, which leads to more player engagement and better retention rates.
Security: Players can feel secure about their NFTs against duplication or stealing because every NFT is unique and cannot be replicated. Unless a player grants malicious smart contract access to their wallet or a fraud, it is impossible to lose an NFT.
Transaction Fee Commission: Besides players, game developers benefit from NFT games. The game publishers can charge a percentage of the transaction amount when an NFT changes ownership. Several NFTs are being sold frequently, and this way publisher earns money every time an NFT is sold.
Provable Scarcity: One can determine the worth of an NFT by how rare it is. The blockchain technology on which NFTs are built maintains transparency, making verifying the NFT owner and its scarcity easier.
Ability to Attract Venture Capital: Game publishers can attract good investors with a good understanding of NFTs and cryptocurrency for venture capital.
A glimpse of successful play-to-earn (P2E) NFT games
Axie Infinity, CryptoKitties, Decentraland, the Sandbox, Alien Worlds, and Gods Unchained are a few examples of successful NFT games. These games generally use NFTs in different ways, such as,
The future of NFTs in gaming is promising; as the technology continues to develop, the gaming industry will likely see more games using NFTs to represent in-game items. This will undoubtedly create new opportunities for players to own, trade, and sell their game items and earn money. In addition, success stories of NFT games such as Axie Infinity may ignite other companies to enter this NFT gaming space. Axie Infinity's current worth is around US$ 4 billion, with 2.5 million daily active users. The most expensive Axie sold in the form of NFT was valued at around US$1.2 million. NFTs also change how people think about games as a waste of time, as players in NFT games can potentially trade or sell their game items for real money. Moreover, we can expect the development of new game genres built around the concept of ownership and trading from a short to medium-term perspective.
To know more and gain a deeper understanding of the global NFT market, click here.
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