Blockchain Technology Can Improve the Gaming Industry

7 Mar 2023

Blockchain technology has been one of the most revolutionary technologies of the past decade. This is where concepts like artificial intelligence, cloud computing, and machine learning are transformative.

Today, blockchain has invaded almost every industry you can think of. From business and medicine to sports and marketing, blockchain is everywhere. Next, we saw advances in the application of gaming technology.

Evolution time

Games have been around for as long as we can remember. But, a few decades ago, the advent of the internet meant games became even more ubiquitous. Everyone is suddenly able to play games on the computer, connect with friends in other countries, and enjoy a wonderful experience.

Games are now a repository of emotions, made even more immersive and enjoyable by enabling technologies such as virtual reality. Planning and precision are everything when it comes to games, and technology has done a lot to get that.

Today, we have games like Player Unknown Battlegrounds (PUBG) where millions of people can compete and go head-to-head. You can create your own online identity and live in a new world where you can be whatever you want. Characters don't necessarily die, nor do they chase something in the distance. It's all about - fight, survive and dominate.

Many of these popular games are also played online, with players using virtual assets to achieve specific goals and establish dominance.

What blockchain offers for games

Given that the gaming space is so self-sufficient, why does it need blockchain technology?

As the gaming space has grown significantly, some roadblocks have arisen. Many of these problems didn't exist a few decades ago, mostly because games didn't promise to emulate or provide an escape from real life. Now that we have massive data needs and tools like virtual reality, these problems have to be solved once and for all.

1. Improvements in accountability

One of the many issues plaguing the global gaming landscape is a lack of accountability. Many games have economies within them, and players don't necessarily trust developers when it comes to making sure transactions are fair and transparent.

This is where blockchain comes in. For many industries with accountability issues, blockchain technology is more than just a means. At its core, the blockchain ensures that anyone can create immutable, trustless transactions between two parties — without them having to meet. No single entity controls the blockchain network, and there is no central repository of information that can be hacked.

For game lovers who want accountability, blockchain is the solution. You can trust that your game's internal economy is safe and secure, and free from manipulation. Transactions are as they seem, and you can be sure that any actions you take are motivated by pure motives.

In many modern games, you need assets to move forward. You need environments, weapons, vehicles, characters and more. These assets are important to the game and are in scarce supply. So you can buy them with real money as an in-app purchase, or earn them as you progress and complete certain milestones in the game.

To incentivize players to work hard or spend money on game assets, the game itself needs to be completely neutral. However, there is no transparency. Game developers can easily create new assets out of thin air or craft an unlimited number of assets, thereby manipulating the game against certain players. There is an important need for optimal verifiability and transparency, and blockchain technology provides this.

2. Opportunities to make money

Blockchain can also help games attract more players due to the incentive structure. To understand this benefit, one need only look at the Axes Metaverse.

Axes Metaverse is a blockchain-based online game that takes players into a specific multiverse. Developed by Azur Games, Axes Metaverse offers an immersive environment where players can fight and claim resources. In-game assets and characters can be sold and bought as non-fungible tokens (NFTs), so players can actually make money in real life.

These days, games aren't just entertainment - they're a way to make money. This is why blockchain is so important - to provide a free and trustless environment where everyone can play and earn freely.

3. Resource scarcity and optimal security

Another important property of assets that you see in many games is that they are scarce. This scarcity is what really gives these assets their value.

However, the current setup makes it difficult, if not impossible, for players to understand the relative scarcity of specific assets relative to other assets. As such, assessing their value can be challenging.

Using blockchain, you can easily find out the total amount of assets that are actually available. This provides the basis for you to assess the value of the property. Once again, you can directly trust the game you're playing.

By storing your assets on the blockchain, you can ensure that they are safe. This is much better than traditional online games hosted on central servers.

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