The transformational potential of blockchain extends well beyond the banking industry. The gaming sector, which is always looking for new ways to innovate, is now adopting blockchain — and the new technology seems destined to upset the USD $100 billion worldwide business.
What is blockchain, and why may it be a game changer in gaming?
Blockchain, in a nutshell, is a new method of storing and exchanging data. Its main strength is that it breaks down data into millions of bits and distributes them over the network. This technique of data storage lends blockchain a distinct set of features. First, since data is decentralized – dispersed throughout the network rather than being housed in a single location – no one person or organization owns or maintains the data. Second, since the data is immutable, it cannot be modified or manipulated. Blockchain technology continually checks data chains, making any modifications or suspicious activities instantly obvious. Third, the whole blockchain infrastructure is protected by sophisticated cryptography, which encourages strong data encryption. These traits, when combined, are currently being employed in novel ways to alter gaming as we know it.
Possession of in-game assets
One intriguing new blockchain-enabled invention focuses on moving in-game asset ownership from creators to players. Battle royale games, such as Fortnite and PUBG, pioneered the transition to free-to-play games by introducing in-game purchases, such as aesthetic improvements, to earn income. To promote prolonged gaming, developers included awards for players who put in countless hours of work to attain a certain goal. Despite spending time and money on the game, users do not own the digital items they have amassed. Developers have the authority to add or delete goods as they see appropriate; players are only licensees.
Games like Fuel Games’ Gods Unchained are flipping the script and allowing players to be actual owners of their in-game assets. This is made possible through smart contracts, which ensure that ownership of the digital asset is immediately transferred to the player when a predetermined condition is satisfied (such as purchasing the asset or completing objectives). The smart contract cannot be reversed by the developer since the data on a blockchain is immutable. This opens up a variety of chances for gamers to monetize their abilities and advance.
The gaming economy
The formation of a decentralized gaming economy is the most exciting development that can be brought about by decentralization. SpacePirate Games’ Age of Rust is an example of how blockchain is fundamentally redefining what blockchain can do in the game business. For achieving specific goals in Age of Rust, players may earn ‘Enjin Coin’ (ENJ) — an Ethereum-based cryptocurrency – which can subsequently be used to purchase gift cards for a range of well-known businesses such as Uber. You can basically pay for your Uber journey by playing a video game. You may also swap your ENJ for other cryptocurrencies such as Bitcoin. Suddenly, all those hours you spent playing video games may suddenly offer you extra money.
This technique of monetizing in-game behaviors to drive real-world transactions is a thrilling possibility with limitless possibilities, limited only by our creativity. In principle, users may rent the required equipment or employ the aid of an experienced player to fulfill tasks, so generating new digital economies. The possibilities are infinite, and many people are eager to watch how this plays out.
Opportunities for blockchain game developer
Although blockchain technology seems to be moving power to the players, it may also empower engineers. Smart contracts enable developers to manage their game economies by defining particular predetermined trade circumstances. This has the ability to limit oversaturation in the in-game market while also ensuring fair deals. Finally, developers have the ability to design any universe they can dream of, as well as establish the groundwork for an ecosystem that users will utilize to build game economies. Developers may then leverage free economies to create money by collecting trade fees or taxing peer-to-peer transactions, thus imitating the existing financial system.
We are still in the early stages of this revolution and have only made baby steps toward realizing the potential of blockchain technology. The near future will see a lot of experimenting, which will undoubtedly push gaming to a whole new level.