How Do Play to Win Games Utilize Blockchain Technology?
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How Do Play-to-Win Games Utilize Blockchain Technology?

Play-to-earn games, made possible by blockchain technology, let players make money off their hobby by accumulating virtual assets that have real-world worth. Play-to-earn games built on the blockchain encourage the development of a thriving gaming ecosystem supported by a digital economy, as opposed to the traditional gaming ecosystem where most players play for fun and as a temporary escape from reality.

What Are Play-To-Earn Games?

Play-to-win games, in a nutshell, offer players financial incentives to participate. They bring together the worlds of gaming and finance as part of the GameFi ecosystem. Players in this model are rewarded for logging more hours, investing more time with their avatars, and achieving in-game objectives by gaining access to better gear and cosmetic options. In exchange, customers can receive digital assets or cryptocurrency, which they can use to buy or sell in the market for a profit.

As a bonus to the opportunity to make money while having fun, play-to-earn games also provide a window into an alternate universe. Many variables contribute to the growth of a wholly unified and integrated Metaverse, and play-to-win games are one of them. Play-to-earn games have already demonstrated their ability to connect players, encourage them to participate in a virtual world, and support a robust digital financial system, even though it will be a while before we witness a fully-fledged Metaverse.

How Do Play-To-Earn Games Work?

Play-to-earn games can be broken down into three categories based on how players can make money: crypto mining, NFT mining, and staking.

The primary revenue model is elementary in complexity. Players must do something daily, like acquire content or compete against other players or the game itself. They do it in exchange for utility tokens. In-game things, such as playable characters, cosmetics, resources, and more, are another common form of NFTs for gamers to obtain. Staking, on the other hand, lets users stake NFTs or cryptocurrency in smart contracts for the chance to earn exceedingly rare and lucrative rewards.

While there is potential for financial gain from playing play-to-earn games, there is sometimes a significant barrier to entry. NFTs are required to enter most games. Prices may be too high for everyone, depending on how big and famous the game becomes.

How Does Blockchain Enable Play-To-Earn Games?

Making money off video games is nothing new, and it certainly didn’t start with the advent of blockchain technology. We can point to “gold farming,” in which users intentionally farm for in-game cash and other incentives to sell them to other players.

However, gold farming and similar strategies are not only not encouraged by developers but are often outright forbidden when it comes to more traditional games. This means that players who engage in such practices violate the game’s official policy and may face repercussions. In addition, players must resort to unofficial methods, such as message boards, to market the items they have earned in-game.

The revolutionary step made possible by blockchain is incorporating play-to-earn mechanics into the standard gameplay loop.

Utilization of Blockchain Revolutionizes Play-To-Earn Games

NFTs

NFTs are the main attraction of blockchain-based ‘earn-as-you-play’ games. As was previously said, they allow players to legally possess virtual items like character skins, vehicles, weapons, and more. But they also help to make digital resources harder to get by. NFTs are one-of-a-kind digital assets you can not copy, split, or change them. Using them, gamers can take pleasure in secure digital personas. The best part is that NFTs are not tied to any one game and can instead be sold on third-party sites. So, users are free to take real ownership of their virtual goods and turn them into things they can use in the real world.

Tokenomics

Due to decentalized nature of blockchain, games can use fungible native currencies to power their economies.

Decentralization

Decentralized play-to-earn games depend on all players and participants rather than a single company or government. Play-for-money games built on the blockchain provide participants a voice in-game administration while distributing the risk.

Immutability

Tokens used in “play to win” games are stored in the immutable blockchain. All users receive access to the transactions stored in the blockchain. This eliminates the possibility of gamers manipulating the blockchain to their advantage by adding, duplicating, or removing data.

Security

Blockchain’s capacity to properly maintain a trust- and immutability-based network can prevent gaming hacks, fraud, and corruption previously achievable in conventional settings.

Most Popular Play-to-Earn Games in 2022

Most of the globe is buzzing about the play-to-earn gaming industry. In 2022, development of hundreds of new games take place every hour, but only a select few will endure. The majority of today’s platforms for paid games use the Ethereum blockchain.

The Sandbox

The Sandbox is a Metaverse-like project where users can explore a virtual environment. They can participate in various ways, such as through play-to-earn games, the purchase of virtual land, the creation of digital assets, the construction of virtual buildings, and more. The site doesn’t only cater to gamers, but they do make up a large portion of internet users nowadays.

Decentraland

Decentraland is a different initiative that is attempting to bolster the path leading to a unified Metaverse. The platform, like The Sandbox, attempts to mimic the real world by simulating it in various ways, including the ability to own virtual property, play multiple games, interact with other users, host virtual events, and much more.

Axie Infinity

Axie Infinity is another well-known name in the play-to-earn gaming industry. Players gain NFTs in the game by capturing and leveling up virtual animals called Axies. Players in the Axie universe can make a living by trading, breeding, raising, and fighting Axies.

Sorare

Designed primarily for sports fans, Sorare elevates their love of the beautiful game to a new level. NFTs, or digital cards, are rare and exclusive to roughly 250 different teams. Players can collect them all, build their football teams, compete in leagues, and even exchange cards for real money.

Gods Unchained

Another blockchain-based game where players can benefit from complete ownership is the free-to-play strategic card game Gods Unchained. Each player controls their deck, and the objective is to defeat the other players.

Conclusion

It is important to keep in mind that play-to-earn games are still in their infancy and have some quirks to iron out as they evolve and become more popular. Examples include expanding and refining existing tokenomics models to facilitate the development of sustainable in-game economies better and thriving online gaming communities. However, play-to-earn games are already proving popular among a rising number of gamers. They are a perfect example of how blockchain might affect an entertainment industry. So, we recommend hiring a reputable blockchain game development services provider to start your future project and make a mark in the gaming industry.

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