The third internet age, known as Web3, combines the previous era’s decentralized and community-driven protocols with the cutting-edge blockchain and cryptocurrency technology. Gaming is one of the many sectors it has the potential to change. Web3 gaming is giving players new ways to acquire, sell, and profit from in-game assets, adding value and excitement to the gaming industry. Gamers may utilize their valuables outside of the game world and verify their legitimacy and scarcity using blockchain technology.
Web3 Gaming: What is It?
Web3 gaming is a term that encompasses titles that utilize cryptocurrency, NFTs, or blockchain technology to enhance the gaming experience. These blockchain-based projects aim to provide players with greater control over their digital identities and assets.
In practice, NFT games can offer similar entertainment as other types of video games, such as massively multiplayer online role-playing games, puzzle and strategy games, and online poker bitcoin creations. However, blockchain technology elevates these games by offering secure payment methods and verifiable ownership of digital in-game assets through NFTs.
The Reasons to Choose Web3 Gaming
As mentioned previously, blockchain technology drives game development forward by providing secure payment channels and verifiable ownership of digital in-game assets through NFTs. Additionally, there are numerous other potential advantages for both users and developers.
How Gamers Could Win From Web3?
Web3 gaming has the potential to solve the problem of ownership in the gaming industry. With the use of NFTs, gamers can truly own their in-game assets and have the ability to sell or trade them with other players. This means that the time and money invested in honing skills and acquiring assets can lead to real-world returns.
In addition to a new economy within the industry, NFT gaming also provides greater transparency and security, ensuring that players can trust the value and ownership of their assets.
How Game Developers Could Win From Web3?
Web3 gaming offers new options for funding and income streams for game producers. Developers may produce new IaP alternatives that benefit players and bring in money by utilizing crypto and NFTs.
Moreover, Web3 enables community participation and input, which may help developers build stronger connections with players and produce games that better satisfy their wants and requirements. Moreover, NFT gaming gives producers the chance to keep gamers around for extended periods of time since ownership and value of in-game assets may encourage investment and continuing play.
The Prospects of Web3 Gaming Development
Games that make use of blockchain technology are developing quickly alongside the traditional gaming business.
According to the following statistics, this may be seen:
- In 2022, sales of NFTs will be 32% game-related.
- Games account for 49% of all bitcoin activity.
- There are more than 100 play-to-earn games with over 500,000 unique players.
- All lands in the Metaverses are worth $2 billion.
Also, the results of a recent poll conducted by Coda Labs show that Web3 gaming has a bright future. It is evident that there is rising interest in this technology given that 75% of game developers anticipate working on P2E gaming projects in the future.
The majority of study respondents believe that Web3 is prepared to alter the gaming business, suggesting that Web3 gaming may be a disruptive force in the market. The possibility for novel income streams is one of the benefits of NFT gaming, as was already mentioned.
Results of the survey showed that 47% of participants saw digital token sales as an essential advantage of Web3, while 43% see crypto tokens as a potential supplemental revenue stream. These findings imply that Web3 gaming may provide new revenue streams for publishers and producers of games.
Furthermore, the survey participants’ views on user acquisition and retention demonstrate the potential of Web3 gaming to bring in and retain new users. As a result, 40% of respondents anticipate that implementing Web3 will attract more new users and 36% believe that it will enable games to retain users better.
The Factors That Hold Back Web3 Adoption
Apart from the above positive prospects of Web3 gaming development, Coda Labs survey results also reveal there are some skeptics in the industry, with 32% of participants viewing Web3 gaming as a fad that will not last long. This suggests that there may be a lack of understanding or awareness about the technology’s capabilities and potential benefits.
While the potential for new revenue streams and user acquisition and retention solutions is promising, there may be issues associated with implementing NFT gaming. This way, developers and publishers may need to invest in new infrastructure, tools, and talent to create P2E titles, which could be a barrier to entry for some.
Potential Regulatory Challenges
The usage of cryptocurrency and NFTs in gaming may raise regulatory and legal concerns in addition to the requirement for investment in new infrastructure and expertise. For instance, questions about money laundering or the legitimacy of certain in-game purchases could come up.
Decentralized Gaming’s Future
Going ahead, interoperability across blockchains and sub-chains will characterize Web3 gaming and allow developers to design games that are specifically tailored to their intended consumers. By the use of distributed ledger technology, this will lead to more fair rewards and better games, which will be advantageous to both creators and users.
Platforms like Pinata are at the forefront of this trend, offering NFTs and multiple token options for payment, while building ecosystems for gamers beyond individual transactions. With games like Axie Infinity, Splinterlands, CryptoKitties, and The Sandbox already onboard, Pinata is helping gamers discover new titles based on their interests and giving them the ownership they crave.
By breaking down the barriers that have kept mainstream gamers from embracing decentralized gaming, marketplaces like Pinata are paving the way for a more inclusive and dynamic future for iGaming.