Blockchain technology has the potential to radically change many different industries, and one that is currently changing is online gaming.
We are witnessing a revolution right in front of us, as paid game and free game models give way to a new one: play to win. We are also witnessing the real-time transformation of online gaming into a more honest, fair and transparent industry. Let’s dive into the depths of how blockchain technology is changing the global $ 200 billion gaming industry.
What is the play-to-earn model?
The play-to-earn model is a relatively new model for gaming, and blockchain technology is accelerating its adoption. Previously, players bought the game, subscribed monthly, or funded the game through in-game purchases, but now with the blockchain-based winning game model, players make fractional penny micropayments to make moves like hitting opponents. By performing certain tasks, such as finishing in the game leaderboards or winning tournaments, players can also win with gameshence the name play-to-earn.
Play-to-earn games are not just a fantasy or a hypothetical concept. There are several great games available right now. For example, we learned about Saber Games’ Legends at War at the recent Polish seminar on blockchain games, and regular CoinGeek readers know all about BSV’s most popular game, CryptoFights. How fast are they picking up? In the aforementioned webinar, we learned that gambling games to win already compete with local salaries in some developing nations.
The play-to-earn model has the potential to disrupt the entire playing space. Players can adopt a pay-per-use model that allows them to make money, while game developers can earn micropayments on every game interaction regardless of the outcome. How small can these micropayments be? In the BSV blockchain, payments can be processed in fractions of a penny, so it doesn’t have to be expensive to play these games, but at the same time, both gamers and developers could earn fortunes through millions or even millions of micropayments. in your wallets.
These are still the early days for the Play-to-earn model, but games only suffer major disruptions every decade or two, so it will be exciting to see this unfold. If successful, older models are likely to follow the path of the game cartridge or CD-ROM as game-winning games take over the world.
How can micropayments transform games?
The game model to win as we know it would not be possible without the real innovation of Satoshi Nakamoto: micropayments. These small payments allow us to disrupt the revenue models that have dominated gaming for so long.
While we’ve already talked about how players can earn micropayments by finishing up in the game leaderboards, micropayments have the power to disrupt games in other ways that aren’t immediately obvious. For one thing, think about how games are created today. The big corporation X hires a lot of developers, pays them a fixed salary, sets up a game, and then earns billions. Some key employees get a bonus, but if not, shareholders get the money. Sounds familiar to me, doesn’t it?
Micropayments can change this pattern because payments can be split into tens or even hundreds of addresses. Suddenly, the graphic designer, audio technician, game programmer, screenwriter, and everyone else involved can earn continuous payouts every time players interact with the game. To see how this actually works, visit Haste Arcade, play in the penny league in any game, and see how dozens of players who have finished above your ranking receive a share of your penny (or vice versa). Really small payments are finally possible!
Micropayments can also transform games in other ways. In addition to allowing gamers and developers to make money in new ways, they allow game moves to be recorded in an immutable public blockchain. Imagine how fair and transparent eSports tournaments will be when every move is registered in a public database that no party can modify. Micropayments are the cost of this transparency; someone has to pay the miners / transaction processors to write the book entry.
Games will have to be built on a scalable blockchain capable of making true micro and nano payments for all of this to be possible. Right now, Bitcoin SV has been the leader for a long time.
Do NFTs play a role in the transformation of games?
There’s been a lot of noise about NFTs in the last year or so, with famous artists like Justin Bieber collecting Bored Ape JPEG for millions and artists like Beeple selling digital collages for $ 69 million. NFTs are the “hot” right now, but few have stopped considering their true usefulness.
Under the radar of all the hype and buzz, the NFTs are changing the games in various ways. For example:
- Players can earn and earn valuable NFT that they can hold or sell. For example, in CryptoFights, players can forge and earn valuable weapons and armor.
- Some NFTs may entitle players to benefits. For example, they can unlock access to an exclusive game tournament or a hidden level.
- NFTs can make game assets much easier to trade. It is well known that skins in games like CS: GO are marketed in foreign markets. With NFT, all of this can be done within games, and ownership can be tracked and transferred to the blockchain.
These are just some of the ways NFT can change existing game models. As things evolve, gamers and developers will find a myriad of alternative use cases that are beyond the reach of what we can imagine today.
Making games more transparent
Transparency is always a good thing, and that’s especially true when it comes to gaming tournaments. FYX Gaming CEO Adam Kling has repeatedly mentioned how eSports tournaments are full of allegations of cheating, but since data exists on servers accessible only to game developers, it can be a challenge to prove what happened and who it was. the fault.
That changes when games are built on scalable public blockchains like BSV. Remember how we said earlier that micropayments pay miners to write transactions in the blockchain? Think about how that will change these cheating disputes in eSports tournaments; instead of players launching unproven allegations and getting frustrated when nothing is done about what they consider a dirty game, third-party auditors or anyone with analytics tools will be able to extract data from the blockchain and prove exactly what happened and when. In other words, trap claims will eventually be demonstrable or falsifiable.
Are you already starting to realize what public blockchains like BSV are? It’s not just about payments; if scaled, they are also powerful data management tools that mark the beginning of a new era of transparency in all industries based on them. Games will be transformed for the better when they move to the blockchain.
Responsible game in the blockchain
No discussion of games would be complete without covering the games with real money. Every day, millions of gamers around the world have fun playing slot machines, card and board games, and other games like dice and coin toss in apps like Peergame.
Unfortunately, some players become addicted to these games. This can lead to all sorts of problems such as financial difficulties, broken relationships, mental health issues and worse. According to a UK government survey, 0.5% of the population could be classified as a problem gambler, with 3.8% being “at risk”. In an effort to combat this, many iGaming operators have adopted the concept of “responsible gaming” to protect players. Ideas such as self-exclusion and daily limits have been introduced in the industry, but they are not good enough and are not 100% effective.
With blockchain technology, it is possible to build all sorts of new tools to improve responsible gaming and protect vulnerable players. Again, it’s about storing and sharing data effectively. When all game operators can access the same data, it makes it easier to identify these players and intervene by blocking more payments when they reach the limits imposed on them or by warning other operators in real time that they are behaving erratically. .
NChain and others are already building responsible gaming solutions. Check out this discussion for more information on how blockchain-based tools and solutions will turn gaming into real money.
Learn more at the BSV Global Blockchain Convention in Dubai
If this article has sparked your interest in how blockchain technology and micropayments can transform the gaming industry, the best way to learn more is to listen to the experts at the BSV Global Blockchain Convention in Dubai. It will be held May 24-26, and if you can’t attend in person, you can always attend online. We look forward to seeing you there!
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