Why Play To Earn Isn’t Going Away Anytime Soon?
In the 50 years that home video games have been around, they have always been a way to have fun and take your mind off a hard day’s work. But now, a new generation of video games rewards players with cryptocurrency by using blockchain technologies like NFTs. In some countries, these “play to earn” games already let people make a living by playing video games. Scholarship programmes and academies have sprung up to help players figure out how to live in this strange new world.
Some people have been happy about the rise of “play-to-earn” games, saying that they give users rewards for doing things they would have done for free before. However, many gamers have been unhappy about the unwelcome addition of commerce to the world of “escape” games.
How do “play to earn” games work?
In the simplest terms, play to earn games are video games where the player can get real-world rewards.
People have been making money from video games for a long time through things like “gold farming” and unofficial markets for in-game items. However, blockchain technology and non-fungible tokens (NFTs) have completely changed the game. Non-fungible tokens, or NFTs, are cryptographically unique tokens that can be used to prove ownership of content like images or music. In blockchain games, players can own things in the game, like virtual clothes or plots of land.
In regular games, in-game items are kept on closed data networks and belong to the company that made the game. With NFTs, however, players can own the unique assets they buy. Also, once you own the NFT, you can sell it anywhere, not just on the platform where it was made, which isn’t possible with regular games.
That means NFTs representing in-game items can be bought and sold on any NFT marketplace for real money. These NFTs have real-world value because they are hard to get. With regular games, the only reason to play is that it’s fun. You pay for the game, and unless you’re a pro esports player or a streamer with a lot of followers, you’ll never be able to make money from playing it. Blockchain gaming, on the other hand, gives players a chance to win real money.
Because blockchain technology lets users transact wherever they are, players can transfer value and get paid to play no matter who they are or where they are in the world.
Play to earn games are becoming more popular.
The biggest play-to-earn game by a long shot is Axie Infinity, a monster-fighting game like Pokémon that was released in 2018 by an independent studio called Sky Mavis. In the game, players collect cartoon creatures called Axies, which are represented by NFTs. Each Axie has its own strengths and weaknesses, and players can take their Axies on adventures, fight with them, and breed them as they play. As a reward for fighting, players get Smooth Love Potion (SLP) crypto tokens, and Axie Infinity Shard (AXS) tokens are used to vote on decisions about the game and its future.
You collect cute monsters to fight with in Axie Infinity. Axie Infinity is shown.
With 2.8 million daily users and a total trading volume of $3.8 billion, Axie Infinity has become one of the most popular play-to-earn games. In countries like the Philippines and Indonesia, people even play Axie to support their families. There have also been “Axie scholarship” programmes like the one Yield Guild Games has, which let Axie owners loan their NFTs to other players.
Play-to-earn games are also helping crypto become more popular. Aleksander Leonard Larsen, co-founder of Axie Infinity, says that half of the game’s players have never used a crypto app before. But playing the game costs money, and before you can start, you have to buy three Axie NFTs, which can cost hundreds of dollars each. Larsen has said, “It’s really hard to start playing Axie right now,” which is an admission that getting new players up to speed is hard. To solve this problem, Axie plans to give new players a taste of the game by releasing free starter Axies that can only earn a small amount.
The blockchain gaming industry is in for a shake-up. Last year, the popularity of blockchain gaming peaked. Many popular games are now addressing concerns about sustainability this year. The significant players emphasize graphics, storytelling, and gameplay to keep gamers interested. The shift from Play-to-Earn to Play-and-Earn is a sign of the blockchain industry’s maturation. Last year saw a lot of craziness and questions about the future of games that don’t seem to prioritize desirability, playability, or fun.
Meanwhile, games that are making their way into the blockchain world need to understand that if their first aim is to provide an excellent gaming experience, they will succeed.
Blockchain has already changed the gaming business by rewarding players in exchange for in-game success. These Play-to-Earn games surged in popularity during the pandemic, ushering in a change in the Pay-to-Play paradigm. Blockchain will undoubtedly continue to dominate the video gaming industry, but what does the future hold for blockchain gaming? Let’s see what happens!
Play-to-Earn games generate billions of dollars in revenue.
For example, Sky Mavis‘ popular game Axie Infinity has about 2.5 million daily active users. As of August 2021, Axie had sold one billion dollars, making it the first Ethereum-based game to do it. Following the great success of Axie, the market was flooded with every possible Play-to-Earn game.
Axie Infinity: Origin
– 3 free starter Axies ✨
– All new cards 👀
– Axie upgrading 🛡️
– Live in Early Access 🪶
— Axie Infinity🦇🔊 (@AxieInfinity) April 18, 2022
The pandemic’s excitement continues this year, but several games are concerned about sustainability and looking into measures to ensure long-term viability. Axie Infinity is one of these players, and it’s trying to improve its looks and gameplay. The principal factors in the Play-to-Earn industry are concerned about a potential backlash due to its flaws. While blockchain gaming has a long way to go, games that overlook the basics in favour of monetary gain will not last long. As the blockchain gaming sector evolves, only the best games will survive. Basic graphics with a token on the side would no longer suffice. Gamers want to have fun while earning money.
Now comes the subject of what makes a decent Play-and-Earn game.
The solution can be seen in the most successful traditional games, where all of the fundamental components, like aesthetics, gameplay, and lore, continue to entice players to invest in them. This still does not rule out the possibility of exploring new ways to create valuable digital assets using blockchain technology.