When it comes to Web 3.0 gaming, many people believe that the main appeal lies in owning in-game assets as non-fungible tokens (NFTs). However, this perception is a common misjudgment that fails to grasp the full potential of this revolutionary technology. While ownership is significant, it overlooks a more profound aspect—the ability of blockchain-based incentives to propel the gaming industry to unprecedented heights.
One aspect that has garnered less attention but holds immense value is the emergence of diverse monetization models for gamers, game builders, and supportive communities. Game developers need help reaching experienced and casual gamers, with their options restricted to consoles, app stores, or platforms like Steam. But imagine if they could expand their reach to the entire internet, monetizing countless virtual spaces.
Consider the possibilities if developers could tap into the new game market and gain a share of the secondary resale market. Blockchain-based games open up an exponentially larger market by allowing developers to earn a portion of each transaction involving their games, enabling creators to reach audiences they couldn’t reach before.
It’s akin to selling your game through a closed system like a single app store versus setting up a Shopify site integrated with every app and marketplace on the internet. The potential for growth and exposure is immeasurable.
Take, for instance, the League of Legends World Finals this year, where VIP guests received a badge that prohibited resale or transfer. This exemplifies the current gaming economic model, which focuses on maintaining strict control over the closed game ecosystem. However, that VIP badge could be created as an NFT under an open, blockchain-enabled economic model.
Instead of restricting access, event organizers could allow VIP holders to freely sell their tickets, with the organizers earning a percentage from each resale. Smart contracts enforce royalties, ensuring creators are fairly compensated whenever their digital assets are bought, sold, or traded—an innovative approach that benefits most game developers.
NFT assets provide advantages to both gamers and purchasers. If owners no longer need an asset, they can recoup a portion of their investment. Simultaneously, developers benefit from royalties, enabling them to monetize their assets across various platforms and grow their supportive community.
While prominent Web 2.0 games feature in-game digital currencies, they lack the economic guarantees inherent in Web 3.0 games. Web 3.0 offers publicly accessible information on quantity, inflation, and reward schedules, providing a level of transparency and trust.
Furthermore, owning an NFT means owning a complete history of that asset’s ownership, with all its traits stored securely on the blockchain. In contrast, Web 2.0 games only grant temporary ownership within the confines of their servers. These game assets become ephemeral IOUs, particularly uncertain since in-game currencies or assets often lose value when their supporting servers are discontinued.
Future generations of gamers will likely prioritize true ownership of digital assets that NFTs offer over the transient IOUs provided by centralized Web 2.0 servers. This shift in preference presents an exciting opportunity for gamers and game developers interested in embracing the blockchain, especially when coupled with the expanded economic models made possible by this groundbreaking technology.
In conclusion, Web 3.0 gaming holds vast potential beyond mere asset ownership. By leveraging blockchain-based incentives and embracing diverse monetization models, developers can unlock new avenues for growth and create immersive experiences for gamers. The rise of NFTs introduces a paradigm shift, emphasizing the significance of true ownership and offering a secure, transparent, and economically viable future for the gaming industry.