You may be wondering, “what are NFTs in gaming?”, It’s an approach where the digital items inside video games–things like collectibles, weapons and cosmetic skins have real-world asset valuation, similar to stocks or bonds, in the form of non-fungible tokens (NFTs).
All the items that are sold are different and unique. Most of them are rare, which explains why they are very costly. The concept of scarcity which is rarity leads to a high unit price of game species, hence to higher incentives to catch which simply means that things become more valuable if they are in short supply or are rare.
NFTs and cryptocurrencies exist in the same world, however, they are not the same thing. It’s easiest to think of NFTs as digital items and cryptocurrencies as digital currencies used to purchase NFTs.
What Are Play-to-Earn Games? Everyone games in a way, but how many people actually earn from gaming?
- Gaming refers to playing electronic games, whether through consoles, computers, mobile phones or another medium altogether.
- These traditional games range from tic-tac-toe on a piece of paper to a simple game on a phone to the all time video games.
- Not so many people know about the NFT way of gaming and hence are not gaming the best way.
- Play-to-earn games are games that allow gamers to win and have ownership of assets which can range from game wares to tokens and gifts.
- These gains can come from breeding and improving game characters for gaming competitions, selling items and unlocking new items as they advance.
NFT Gaming Technology
Smart contracts are used by developers to define how NFTs work in the game. On the blockchain, the contracts are stored. Items are traded in the same way as tangible assets are. The blockchain keeps track of every transaction. They are as secure as cryptocurrency.
Gamers were seen as unserious until now with people making enough income to game full time.
The whole issue that the older generation had about the “you can not earn money while playing games’ was thrown out of the window by the talk of NFTs. Gamers can now earn full-time income and still do the very thing that they love through NFT or Crypto games.
At some point, we have all bought items on really cool games. Now what NFTs offer is that “only you can have this item that could be traded in the marketplace”. Imagine owning a very rare gaming item in your favourite game and you can just imagine how many people would come looking for it and how valuable it will be.
Can You Make Money With NFT Games?
Before we go further, Neo Tokyo City NFT Gaming tournament just kickstarted with a total reward of over $1 Million. That’s insane if you ask me.
You might also have heard about CNBC’s report of how many Filipinos were making well over minimum wage playing the Axie Infinity game.
The 2021 global games market generated revenues of $175.8 billion and is projected to exceed $200 billion by the end of 2023, according to a report by Newzoo. The numbers are rising fast majorly because the gaming industry is introducing the “play to earn” concept in the form of NFTs and most people still do not know about this.
Games like Axie Infinity, Thethan, Wolf Game and more are disrupting what traditional gaming usually represents.
The Potentials Of NFT Gaming
The world is changing now and the future is here and now. The reign of the metaverse is at hand. People can now do a lot more by playing games; that means the gaming industry can only get bigger and your NFTs value can only increase.
The real power of NFTs is that they could turn players into partners or decision-makers. Some rights are being sold with NFTs. An ordinary person could own rights in a game. Imagine being able to have a say in whatever a gaming company does and with some companies, it goes as far as earning a percentage of their profits.
Secondly, NFT Games are building communities. Strong communities of people that are opening up more business opportunities for commerce both physically and as digital wears.
The growth potential has also increased with small gaming companies exploding like Neo Tokyo City and Wolf Game did. They have gone as far as giving out tasks that the game players would complete and then earn crypto coins which they could later sell and get real cash(paper money).
The Future of NFT Gaming?
So many people are so skeptical about it and they put up questions like “it doesn’t exist now?” and “why should I trust something that is not popular”. They don’t realize that they are about to make the same mistake again.
Well, the era of cryptocurrency took everyone by surprise and many people considered it a huge scam.
Some others took the risk and became richer. The same thing is about to happen again with NFT games. You can either be in it or out of it. It is here to stay.