The integration of Blockchain technology in gaming industry

in #blockchainlast year (edited)

Currently the largest segment of global digital content industry is gaming market and annually, it is generating billions of dollars and it is attracting wide range of audience. In this gaming industry, blockchain technology is rapidly implemented. That is why, each day emerging trends are being introduced in this industry.

image source

In late 20th century, first computer games were developed and the purpose was to entertain the audiences and distract them from their routine work. Very soon, games started competing with other traditional forms of entertainment like cinemas, theaters and zoos. The introduction of new technologies like AI, VR and blockchain have become one of the key market trends. In the past few years, many blockchain-enabled gaming apps and services have developed and new projects are also growing fast.

The games development industry has observed the remarkable transformation during the past five years. As the mobile app stores and digital distribution platforms appeared, the smaller stores were able to create games and earn revenues. China has become the largest segment of digital games in terms of revenue and number of active players. As a whole, Asia-Pacific region offers highest profits and fastest growth rates. Currently, the market share for blockchain gaming is small, but its growth potential is significant.

With the integration of cryptocurrency, games of any type and genre can get benefit. Blockchain technology has opened many opportunities for mobile and computer gaming market. The first blockchain game, ‘HunterCoin’ was launched in 2014. Its purpose was to collect HUC coins. Unfortunately, as the number of users increased, its blockchain became larger and processing speed decreased. As a result, long delays occurred while processing player’s data. However, it is the only fully autonomous and decentralized blockchain game.

Recently, many crypto games have been developed using existing platforms including Bitcoin, Ethereum, EOS and TRON. The developers of these games have integrated blockchain technology into the gaming process. DappRadar, which is popular service to track various crypto games based on popularity and number of users, has listed over 1300 blockchain games.

Most of the blockchain games developers now choose Ethereum, EOS and TRON, due to their popularity and network effect. Some developers copy already tested algorithms, while others simply integrate blockchain technology into existing games. The game creators continue to look for new growth possibilities to attract the users.

image source

If we discuss the economics of crypto gaming, blockchain is best suited for the games that implement real monetary value, which can be expressed in cryptocurrency units. Gaming companies add new features to in-game currencies and allow the users to trade the earned token on digital exchanges. It is possible to launch crowd funding campaigns with help of game currencies. Due to blockchain technology, the gaming possibilities are expanded because in blockchain, each block is unique. It can help to create more unique objects and makes the player experience more individualized.

Unlike centralized gaming platforms, blockchain enables the transformation of game distribution. Due to decentralized nature of blockchain, costs are reduced as compared to centralized platforms and players are allowed freely to interact each other. Blockchain based decentralized system makes the gaming experience more transparent and secure and this feature of cryptocurrencies is also useful for online gambling. Millions of new members from across the world are attracted and benefit from gaming industry based on their skills.

Thank you for reading! Stay Safe!👋😌