I’ve been recently involved in the gaming console project which piqued my interest in the applications of cryptocurrency in the gaming industry.
What are their developments and their interactions? Here are my thoughts.
Not so long ago the global cryptocurrency market reached a record high of $700B, a distinct indicator of the increased interest in digital currencies and blockchain technology behind them. The blockchain technology is being successfully adopted across various market sectors and expected to find implementation in all sorts of different areas: money transfer, online trading, real estate, insurance, dating and even entertainment.
The video game industry — one of the dominant players in virtual economies –is no exception. There are several companies like MobileGo, GameCredits and Spells of Genesis who already successfully applied blockchain on the video game market. Tapinator, a mobile game developer, recently formed a subsidiary, Revolution Blockchain LLC, with a plan to develop blockchain apps and games. Their first project is scheduled to kick off in the second quarter of 2018. Overall, gaming is an extremely promising segment for cryptocurrency and blockchain adoption that will have an impact on both gamers and developers.
From the gamer’s perspective, cryptocurrency will be an easy switch as almost every game already uses its own kind of virtual currency — diamonds, credits, etc. — that players buy to play. Implementing the blockchain system could give gamers an opportunity to reinvest their earnings from one game to another and cash out their gaming talent whenever they want. Such free flow of currency would also allow to bypass credit card micro-transactions, international fees and would eventually lead to a quicker, less complex system. Moreover, gamers who build careers in gaming and streaming could benefit from easier accessibility to currency exchanges with their global audience and partners.
For game developers, blockchain can become panacea for many industry vulnerabilities such as difficulties in player retention and security. First, it would address duplication and cybertheft concerns by making a transparent registration system and verifiable ownership of large in-game assets. Consequently, players will be able to buy, sell and trade their virtual items outside of the games. Such secure environment and clear ownership transfer options will stimulate players to invest more funds and time into gaming.
First, it would address duplication and cybertheft concerns by making a transparent registration system and verifiable ownership of large in-game assets.
But that’s not all! With blockchain technology, developers can reduce marketing expenses by utilizing the multi-level referral system in near future. The ABYSS, a digital distribution platform for gamers and developers created by Destiny.Games, is starting its ABYSS token sale this January. Focused on F2P browser and client MMO games, this platform will become a community where both gamers and developers can earn from multi-level referral, motivational programs, auctions of game items and other gaming social activities. Developers will save on marketing efforts by restructuring their logic of advertising. Instead of competing, the ABYSS will offer their users to collaborate by directly buying and selling targeted traffic to one another.
As blockchain and cryptocurrency industry grows, its application in businesses expands. For developers, startup entrepreneurs and especially technology and web driven projects, adoption of blockchain is not even optional, it is a must to stay afloat.
The gaming industry looks like one of the most promising and, frankly, exciting areas for the blockchain infusion. And apart from the all extra “hype” it awakes, we must admit, it is rapidly becoming a vital part of today and of the future.