Jack Lu, CEO of Magic Eden, discussed the “paradigm change” he believes will occur when the popularity of gaming NFTs increases. Many crypto supporters believe that video games are one of the most effective applications of NFTs. They enable a user-owned economy where participants may profit from reselling digital goods. They might use this tokenized, interoperable content in several games or virtual worlds. However, there is a significant issue: many players dislike NFTs.Fans of conventional gaming have fought back against Ubisoft and Team17 as they’ve investigated the NFT area, and many see the business as rife with fraud and speculation. People have also worried about the environmental impact of NFTs. However, this issue is moot, primarily now that Ethereum has merged.

In addition, others believe that game publishers will exploit NFTs to extract more money from users. The opposition to NFTs is comparable to the opposition to free-to-play games and downloaded add-on content when initially launched these business models. However, both are now universally recognized as industry norms. Magic Eden, a market for non-fungible tokens, continues to believe that game NFTs have long-term viability even though individuals are engaged in conflict. One year after its inception, Magic Eden was estimated to be valued at $1.6 billion. It has lately joined the Ethereum market and is the largest market for Solana non-fungible tokens (NFTs).

NFTS ARE GOING TO THE MOON 🚀🌙… literally

Couple of months ago, we did an auction called “This is Solana”, created by @Tejji90 @MoonEkko33 ft some top collections.

Today, the @dreamboundio x @InfinityLabsNFT crew sent it to outer space! ☄️🌌 pic.twitter.com/YAgZpfNwg7

— Magic Eden 🪄 (@MagicEden) December 15, 2022

On the most recent edition of Decrypt’s GM podcast, Magic Eden co-founder and CEO Jack Lu told co-hosts Daniel Roberts and Stephen Graves that NFTs “open something fundamentally new for game creators to construct an economy and a new business model on” despite users’ skepticism. Magic Eden has assisted various NFT-based gaming projects, such as future titles SkateX, Mini Royale: Nations, and BR1 Battle Royale, via its launchpad feature and secondary marketplace. In July, the business launched a gaming-focused venture investing arm. The objective was to attract game creators to Magic Eden. By creating simple connectors, the marketplace intends to make it simple for developers to incorporate the Magic Eden platform into their games. Therefore, players may purchase and sell non-fungible things (NFTs) themselves.

Lu said there is “so much to unpack” on how players perceive NFTs, including that hostile actors in the business and digital assets are becoming more similar to currency. In addition, being a new field based on decentralized technology, it’s no surprise that many of the first NFT-powered games were simplistic and failed to satisfy the expectations of some players. Axie Infinity, an Ethereum-based token with over $4 billion in NFT trading volume and millions of active participants at its height last year, is the most critical success story in the market. Additionally, hackers stole bitcoin worth over $600 million from the game’s Ethereum bridge.

Also, read:3 Reasons Why Blockchain Gaming Will Win Over Traditional Players

It might take time for NFT-powered experiences to improve as more experienced game creators migrate into the Web3 realm and begin developing. Massive video games often take years to build and include large development teams. Lu said that his team is “waiting for a few diamonds to arrive, shine” — i.e., exceptional games that showcase NFT capability — to assist in the industry-wide adoption of NFT.”Great games need a considerable amount of time to create. We are waiting for the most promising gaming firms to have sufficient time to develop their content and determine how to include NFTs. To create that much material, you need vision, creativity, and a great deal of time for development,” Lu stated.

According to Lu, once a couple of these “diamonds” enter the market and perform well, they will be used as a “case study” to entice other developers in the NFT field. He added that it might be a “tidal wave that follows previous paradigm changes,” such as the transition to free-to-play games.