The gaming business has a long history of pioneering new technologies, from early arcade games to cutting-edge VR experiences. However, the introduction of blockchain technology has ushered in a new era that has been aptly dubbed the “Epic Crypto Games” period. With decentralized technology and Bitcoin, players in these games can do more than participate; they become investors, traders, and co-creators.
The next big thing in gaming might be games built on the blockchain, which adds real money to virtual worlds. This article delves deep into cryptocurrency gaming, discussing the most influential games, the technology that powers them, and the prospects for gaming’s future in a decentralized system.
The Emergence of Crypto Games
Games that use digital assets—such as characters, objects, or in-game money—to represent themselves on a blockchain are called crypto games, blockchain games, or play-to-earn (P2E) games. Blockchain games give players true ownership of in-game assets, either in fungible tokens that can be exchanged on other platforms or non-fungible tokens (NFTs), which are not limited to a certain platform like traditional games.
The ERC-721 token standard debuted NFTs in 2017 on the Ethereum blockchain and was a driving force behind this breakthrough. Players may collect, breed, and sell one-of-a-kind digital cats in the popular game CryptoKitties, which debuted in November 2017. Because players could claim ownership of the virtual goods they created, in addition to the fact that it was a lot of fun, it changed the game. While CryptoKitties may have been an early sensation in the crypto gaming business, it was merely the tip of the iceberg.
Play-to-Earn Revolution
The Bitcoin business has created a revolutionary new concept called the play-to-earn (P2E) model. In contrast to the more traditional methods, players in P2E games get cryptocurrencies or NFTs as a reward rather than just paying to play or purchase in-game things. For many, gaming has become an essential source of subsistence due to the possibility of exchanging these products for real money.
This shift is spearheaded by the peer-to-peer game Axie Infinity, built on the Ethereum blockchain. Monsters in Axie Infinity can be purchased, bred, and battled using the Axies. Each Axie has its own unique set of traits, and players can earn Smooth Love Potion (SLP), a cryptocurrency that can be sold for real-world value for their efforts. Some Southeast Asian players could make a living playing Axie Infinity during the COVID-19 pandemic, which contributed to the game’s immense popularity. At its height, Axie Infinity had over a million active users daily, proving that P2E gaming could be entertaining and lucrative.
Notable point-to-point games include Gods Unchained, Decentraland, and The Sandbox. The unique gaming experiences offered by these games are enhanced by the ability to buy and sell land, items, and characters, which adds true economic value. Because of the convergence of the gaming and business industries, the term “gamer” has taken on a new connotation.
Non-Fungible Tokens (NFTs) and Their Role in Gaming
Crypto games rely on NFTs or Non-Fungible Tokens. In contrast to fungible, one-to-one cryptocurrencies such as Bitcoin or Ethereum, notional tokens (NFTs) represent separate assets. Their uniqueness makes them quite valuable in the gaming community.
In crypto games, many in-game items, such as characters, weapons, and even land, are represented by NFTs. One example is the ability to purchase virtual land and build on it in The Sandbox with NFTs. This virtual property can be yours, rented or even used in user content creation. Players in Gods Unchained own the decks of cards used as NFTs, allowing them to trade or sell them on external marketplaces.
Because of the potential to buy and sell these assets, NFT markets that focus on the gaming sector have emerged. Trading and buying NFTs from various games is possible on platforms such as OpenSea, Rarible, and Immutable X. With this, a secondary market is born, and digital assets have a chance to appreciate.
Decentralized Autonomous Organizations (DAOs) in Gaming
Decentralized Autonomous Organizations (DAOs) are increasingly integrated into blockchain games beyond P2E and NFTs. Token holders in a decentralized autonomous organization (DAO) have a say in organizational matters via voting systems. In crypto games, decentralized autonomous organizations (DAOs) give players a voice in how the game is made and run.
For example, landowners and token holders in The Sandbox can vote on the game’s mechanics, future collaborations, and improvements through the integrated DAO. With this kind of community governance, gamers are no longer seen as passive observers of game development but as active participants in shaping the game’s future.
Players can also form guilds using DAOs, like Yield Guild Games (YGG), and invest in player-versus-environment (P2E) games together. You can get into the game without spending a dime by joining one of these guilds and receiving assets like NFTs or in-game money. A mutually beneficial ecology is established by dividing up the participants’ money among the guilds.
Epic Crypto Games Shaping the Industry
Several cryptocurrency games have become iconic thanks to their innovative gameplay, strong economies, and enormous fan bases. Let’s examine some of the seminal works in greater detail.
Axie Infinity
One could argue that Axie Infinity is the most famous crypto game ever. Earlier, we established that the game was an industry trailblazer thanks to its P2E format and thriving NFT economy. You can gain SLP through gameplay and use AXS for governance, staking, and buying in-game items.
Players are prepared to part with their hard-earned cash for digital assets in Axie Infinity, proving that there is a potential for a return on investment. Despite regulatory attention and security failures, the game continues to be a foundational piece of the crypto gaming universe.
The Sandbox
Players in the Sandbox can purchase plots of land, construct buildings on them, and then sell or trade their wares. The game’s incorporation of NFTs and emphasis on user-generated content have made it a beloved platform for developers, artists, and designers. Within the ecosystem, transactions and governance are facilitated by the game’s token, SAND.
Several well-known corporations and celebrities have collaborated with The Sandbox to bring their respective virtual worlds to life, such as Snoop Dogg, Adidas, and The Walking Dead. These collaborations strengthen the game’s position as a frontrunner in the NFT and metaverse gaming industries.
Decentraland
Another virtual environment that allows people to buy, trade, and construct virtual real estate is Decentraland, which is built on the Ethereum blockchain. Similar to The Sandbox, NFTs represent land and other in-game assets in Decentraland. Essentially a decentralized version of Second Life, Decentraland allows players to build games, interact socially, and even host virtual events.
The MANA token serves as a voting mechanism for platform decisions in the game’s decentralized autonomous organization (DAO). As an example of the potential of the metaverse, Decentraland has drawn attention by holding real-world events, such as virtual music festivals and fashion exhibits.
Gods Unchained
Players gather and fight in Gods Unchained, utilizing trading cards based on NFTs. One reason for the game’s popularity among crypto gamers is its competitive nature and the opportunity to exchange cards on external marketplaces. The game’s token, GODS, adds a strategic element to the gameplay through its usage in governance and staking. The emphasis on competitive skill in Gods Unchained sets it apart from other P2E games and keeps players engaged and challenged as they win rewards.
The Challenges Facing Crypto Gaming
Despite its thrilling ascent, blockchain gaming has encountered its share of challenges. A significant hurdle is the high entry barrier for some of the most popular P2E games. Example: if you want to play Axie Infinity, you’ll have to shell out three Axies, which, at the height of the game’s popularity, could easily go into the hundreds of dollars. Newcomers may still face difficulties with the initial barrier, even though scholarship systems have been established to reduce it.
Furthermore, scalability is an important consideration. High gas fees and slow transaction speeds have plagued Ethereum, the platform around which many blockchain games are built. Some solutions to these issues include Layer 2 scaling (Polygon) and alternative blockchains (Solana, Binance Smart Chain, etc.). Nevertheless, wider adoption is still hindered by the scalability issue.
In addition, we need to think about the problem of regulation. As more and more capital floods into the crypto-gaming industry, governments worldwide are investigating the phenomenon more thoroughly. In some jurisdictions, the boundary between gaming and gambling is more porous than in others, and regulatory regimes are dynamic. This unpredictability could lead to stricter rules, which could make it harder for developers to create games with real-world uses.
The Future of Epic Crypto Games
The future of crypto gaming is promising, but only if the industry can overcome its current challenges. When blockchain technology becomes more accessible, it will meet the gaming business, and a deluge of innovative new games will be released.
We should expect interoperability to be a major focus in the future of cryptocurrency games. Imagine a future where players can effortlessly move their virtual belongings from one virtual environment to another, all because they can use assets from other games on their own. Projects such as Efinity and Enjin are already working hard to make it possible to move NFTs between games and platforms.
It is also feasible to place a greater emphasis on being environmentally responsible. Since proof-of-stake (PoS) blockchains are considerably less taxing on the environment than the more conventional proof-of-work (PoW) systems utilized by Ethereum and Bitcoin, they may find widespread usage in gaming.
Last but not least, the growth of the metaverse will likely mirror the growth of crypto gaming. As the amount of time spent in virtual worlds keeps growing, the importance of having true ownership of digital things is rising. The future metaverse economy will rely heavily on blockchain technology.
Conclusion
You have barely begun to explore the universe of Epic Crypto Games. Incorporating blockchain technology has opened up new possibilities for players to experience games. Features like owning and trading NFTs and earning real cash through P2E models are attracting millions of new players to crypto games. However, advancement is hindered by several factors, including but not limited to governmental limitations and technological limitations. However, blockchain gaming will have an unstoppable and far-reaching impact on the gaming industry.
