Blockchain is changing society on so many different levels. It’s not just the gaming industry that is experiencing and utilizing what blockchain technology offers. Blockchain may wipe out entire modern industries two decades from now. Gaming is one area that is utilizing the technology. Although blockchain won’t wipe out the traditional gaming markets, it’s muscling in on this billion-dollar sector in a significant way. It’s changing how people play their games, using NFTs to generate ownership in the market, and providing unique licenses and validation, amongst a host of other new areas which we will explore today.
When people think of the online gaming industry, the gambling sector isn’t the first thing that springs to mind. Although video gaming, particularly console gaming, is an area that has generated enormous profits and is a truly global market, the same scenario has panned out in the digital casino industry. As one of the most profitable areas of the gaming sector, iGaming generates hundreds of billions of dollars worth of profit every year, which is a number that continues to grow.
One critical factor causing this growth is industry bosses tirelessly aiming for new horizons and bringing in new ways to play. Cryptocurrency gambling fits that bill perfectly, with the blockchain underpinning crypto acting as a fascinating way to securely validate transactions without needing a bank or third party. If you send a payment via your bank, you need to send it to the bank, which handles it, verifies it, facilitates the payment, and sends it on for you. However, with cryptocurrency, there’s no need. You connect your wallet to the gambling provider, deposit your money instantly, and the payment verification is available publicly on the blockchain and can’t be amended.
Cryptocurrency gambling comes in many forms, but it crosses into the world of traditional gaming too. If you’re a fan of eSports, then you might already be aware that there’s a growing market for cryptocurrency eSports betting. Although it is a new angle on a previously successful blueprint, cryptocurrency sports betting companies use the security of the blockchain to facilitate a market where you can gamble on your favorite teams. You can experience Bitcoin eSports betting at Thunderpick if you want to get a taste of what these new gambling markets have and the full breadth of games available.
As you can see in this key example, blockchain has a colossal impact on how people gamble on their selected eSports tournament or game. While this market has only flourished over the last half a decade, the gambling market continues to grow. With newer, more convenient ways to gamble, like using Bitcoin, blockchain looks like it’s only just getting started in iGaming.
Non-fungible tokens (NFT) are pieces of digital art that provide unique and verified proof of ownership. So irrespective of your game, if you purchase an in-game item, you can have it in your crypto wallet as an NFT that provides unparalleled proof of ownership. NFTs experienced an astonishing growth rate during the bull run in 2021, with some selling for millions of dollars at the height of the market.
However, following a sharp decline in the cryptocurrency market, NFTs inevitably felt the sharp end of the bear market – with many becoming essentially worthless. However, this didn’t detract gamers from using NFTs for their actual use case – verified and unalterable ways to prove ownership of items and art. So as blockchain technology continues to change so many industries, It’s not just gaming that uses non-fungible tokens to their highest capability; it is an excellent example of how effective they can be when used correctly.
One of the most intriguing ways blockchain is looking to infringe on the behemoth of the gaming industry is through P2E (Play To Earn) gaming. The concept of P2E is that you can earn cryptocurrency as you play the game, so not only does it encourage game designers to design games with this in mind in a bid to generate profit and organic advertising, but there’s also an incentive for players to check out the game model with the potential to earn.
It’s in its early stages at the moment. Still, with rumors circulating that the next landmark Grand Theft Auto game could have some P2E system in place, this would do wonders for the visibility and potential mass adoption of cryptocurrency. It would take something like this to legitimize blockchain and cryptocurrency to millions who still don’t understand how it works.
Instead of feeding off disjointed scare stories about cryptocurrency in the media, P2E earning in the world’s biggest gaming franchise could be the catalyst that brings blockchain to the forefront of gaming as it aims at new frontiers and the latest ways to engage new generations of gamers.