Crypto gaming (crypto igaming) is a new form of online gaming that has ten-fold risen in popularity over the past few years. And since it is a type of trading, it makes sense why crypto-based games have become so popular – cryptogames are more engaging to players and are not reliant on third party companies taking their cut for outreach.
Crypto games use blockchain technology to operate, which means game economies are controlled by players and can’t be manipulated by outside entities. Find here.
1. What is crypto igaming?
Crypto games are online games that use a cryptocurrency (such as Bitcoin, Ethereum, XMR or Dash) for prizes. In these types of games, the game’s economy isn’t controlled by an outside entity and, since the game runs on a blockchain, all of the trade history is recorded in the ledger. Because of this transparency, it will be easier to detect cheats and misused funds.
The first ever crypto gaming platforms were launched in May 2016 by New Games Network (NGN) and Playtika. The other two notable examples are BitDegree and GameCredits.
2. How do they work?
Crypto igaming starts with players sending in a specified amount of cryptocurrency tokens to the gaming company. In exchange, the player receives an in-game currency which they can use to play games. New coins can be introduced into the system by developers at any time.
To make a crypto igaming transaction, both parties must have access to the ledger and trust it is correct. The platform will also use Smart Contracts to ensure people do not buy access to game items that are not owned by them, or sell virtual goods that don’t exist. Also, Smart Contracts will verify trades between players and make sure all of them have met their obligations before any money changes hands and users’ digital assets are transferred.
3 . What does it mean for developers?
Crypto game development is incredibly exciting for any developer. First, the platform will use blockchain technology to provide a trading system – there is no need for third party companies to take their cut from the trade. Secondly, users are able to buy and sell games and in-game items with only their cryptocurrency tokens; third party companies can’t prevent players from doing this, as it’s all recorded on a public ledger. Adding value to your games by launching them on a blockchain site allows players to connect more directly with the items they want and shows an array of amazing opportunities that were previously only available via third parties.
Some developers are already able to take advantage of blockchain technology via existing tools such as Unity. With this, virtual goods can be traded on the blockchain and developers have been able to integrate cryptocurrencies into their games. Additionally, popular games like CryptoKitties can use blockchain tech to add a level of interactivity and an NFT game marketplace.
4 . What does it mean for players?
Players are in control of their own virtual assets – they never have to give them up again! Also, since there’s no middleman involved, fees are low and transactions take place quickly. Players will also be rewarded for playing the game with digital tokens that they can spend in the new economy platform.
5 . What industries will be affected?
The gaming industry and the e-commerce industry are the two largest industries that will see major changes; blockchain technology is already being used in certain areas of these industries.
For years, companies like Steam and Blizzard have taken a large cut from every item sold in their games. To solve this issue, more people are now using blockchain technology to create trading platforms where players can buy and sell items directly with one another – without any middleman taking their cut. This allows gamers to play more freely as they can choose to use whatever currency they want rather than having to constantly convert between currencies.
Crypto igaming platforms will allow for developers and players to interact directly. No longer will the developers be bound to companies and the players will have more freedom in their choices and will also receive their funds faster than in previous igaming trades.
6. The business case
With the gaming industry making more money than ever before and cryptocurrencies becoming more mainstream, it’s only natural that these two would come together. Crypto igaming is at the forefront of this new movement, which means that developers who create games functioning on blockchain technology will be able to make considerable profits.
7 . What does the future hold?
With crypto games being so successful, there will definitely be a huge increase in interest for gamers. With this being said, it is anticipated that a lot of people will get involved with creating their own crypto igaming platforms.