How is Blockchain Transforming the Gaming Industry?

The gaming sector has come a long way since its humble origins. We are all aware of how this once-simple industry has grown into a gold mine of gripping virtual reality games that encourage careful planning and accuracy. Many of us remember using a 16-bit gaming system to play Super Mario.

Because characters in massively multiplayer online games (MMOs) like PlayerUnknown’s Battlegrounds (PUBG) are customised to the players’ characteristics, players must live in a fair universe. The reputation of the gamer suffers from character abuse.

Characters do not die the same way as Mario, nor do they pursue an improbable goal like a princess in a fortress. These video games are heavily emotionally charged and based on actual events.

Blockchain Gaming – How is it Possible?

A network of open data blocks connected by users on a computer is all that a blockchain is. It cannot be relocated or altered. This ensures the preservation of a complete record of all network activity involving the data.

Because the system is decentralised, players—who own digital assets and in-game items—control the game instead of a single, centralised entity.

On a blockchain for cryptocurrencies, you hold several cryptocurrency coins like Bitcoin, Ethereum, or Litecoin. On a blockchain for games, you hold a similar amount of digital assets called NFTs. Although they are in-game items, you possess them in the same way you would a cryptocurrency, and you may transfer them outside of the game and to a wallet.

The Role of NFTs

NFTs are unchangeable, one-of-a-kind, and can be sent to a wallet address similar to currencies. For instance, a sword, a bow, a shield, a staff, or a chunk can be an NFT in a game. They may be anything, as they are only metaphors. If you possess such digital materials, you can keep them forever.

Additionally, blockchain technology has the element of scarcity, implying a finite supply of these goods. There are items in the game that are common, exceptional, rare, epic, and legendary, just like in an online RPG game like World of Warcraft or a similar game. The rarest items are the legendary ones.

You can view how many legendary items are available in a blockchain-based game, for example, 35. Once this number has been decided upon, this object cannot be produced again. Although these 35 items are all the same, each is unique in its unique way since it may include the complete history of how that particular item has been utilised. Even if it is bought by someone else, the fact that the best player in the game formerly owned it will always be attached to it.

What happens if the game you’re playing abruptly stops working? And guess what else? On the other hand, your thing won’t! Since it can be moved between blockchains in the metaverse. You can still keep it and possibly use it in another game. You might save it in your digital currency wallet. This is how NFTs are appealing. NFTs are a kind of content that will always exist in the metaverse.

The Transformation of the Gaming Industry 

1. Increasing the Security of the Gaming Market

Because of blockchain’s decentralisation and data encryption capabilities, it will be very difficult for hackers to access data across the server. Thus, it creates a safe environment for game developers and business owners, increasing production. Since there are no servers to compromise, hackers could not bring down a decentralised blockchain network.

2.    Enhancing the Ownership of In-Game Assets

Blockchain technology can assist in-game asset ownership by bringing more transparency and regulation to the gaming industry. One of the most crucial components of blockchain-based gaming is actual digital ownership, which enables users to trade limited assets and profit.

Smart contracts are used to handle all transactions in a blockchain-based game. Smart contracts are irreversible and operate on pre-programmed parameters. As a result, all in-game assets bought with smart contracts are immediately transferred to players’ public address accounts when a blockchain-based game is released.

3.    Control Over Favorite Video Games

Players had invested almost $6.7 million after Crypto Kitties was introduced on November 28th, 2017, by December 6th. These figures show that players will value intangible digital assets when a fun game is developed on the blockchain.

If you create a fun blockchain game, players will be willing to give real value to intangible digital assets. Video games that are both enjoyable and engaging will inevitably lead to a boom in investment.

Final Thoughts

Now that we understand how cryptocurrency and video games interact, we can create a more entertaining, safe, and seamless gaming environment. The world of cryptocurrency gaming is still developing. Users will be able to try out new games in the upcoming years.

The gaming industry has never let down its customers. While the internet promoted the growth of the gaming sector, it could not keep out dishonest people and unscrupulous players.

Thankfully, blockchain-based gaming is the next step in safeguarding video games and creating a long-term industry standard. Because of this, cryptocurrency and video games have the potential to alter the gaming industry drastically.