In this Article
Max Frilot delves into the monetisation of video games, and more precisely, Blockchain Games. The gaming industry has continued to develop exponentially over the years since its introduction. It can be noted that there is a drastic difference in games and gaming devices from the 90s vs those of today. Games have experienced massive advancements in graphics, intractability and social connectivity where an individual, either through a mobile phone, console or computer can play and interact with others across the world, provided there is access to internet connection. So, how do Blockchain Games enter into all this?
What are Blockchain Games?
‘Time is money.’ This is something that everyone has heard at one point or another in their life and is extremely applicable to the world of video games. Billions of individuals across the world have invested countless hours in various games. Often, with little to show for it in the real world. Naturally, people have sought after a way where their hobby can become monetised. Through eSports, some individuals have achieved this goal by being paid to play in professional leagues. Yet, it is a privilege for only a select few. As esports teams only select top tier players, leaving minimal room for casual gamers to earn money: until the emergence of blockchain games.
The majority of online games feature a marketplace wherein players may exchange and purchase items with real money. Through means such as a debit card or PayPal. However, due to the centralised model that most game developers adopt, players do not actually own any of their accounts or items. They are in possession of the entity instead. Today, through the novel rise of blockchain games, players can now become financial decision-makers with absolute ownership and control over their virtual assets.
How Blockchain Games Work
Blockchain technology facilitates the integration of NFTs and cryptocurrencies into the digital world of video games, allowing for a diverse area of infinite possibility in the realm of virtual economy. The player may own and control unique assets, typically represented by NFTs. They can be traded and sold amongst other users within the same game or between platforms. An individual can sell their NFT and either receive cryptocurrency or fiat currency which allows individuals to earn money. Since NFTs are unique, individuals may utilise these to their advantage to gain a profit. In 2017, a game called ‘CryptoKitties,’ allowed users to purchase, sell and create various virtual kittens in the form of an NFT. This transformed each virtual kitten into a collectible digital asset, with one being so rare, it sold for $172,000.
‘Silks,’ is an NFT project established in the Metaverse. It features thoroughbred horse racing where each player owns a digital horse. that is an NFT which is linked to a real-world race horse. The NFTs possess characteristics similar to those of their real-world counterparts. For example, if the real horse is known for having a strong finish, then its NFT version adopts this quality. When the real horse wins a race, you are awarded the in-game cryptocurrency: STT. The more STTs earned by a player, the more they can engage and interact with the world, like placing wagers and buying land or stables.
Examples and Applications of Blockchain Games
The introduction of blockchain games brings forth a space of equal playing ground for people across the globe. In countries where the average salary is fairly low, playing blockchain games can actually aid them considerably. In fact, several communities in the Philippines spend the majority of their time in a game called ‘Axie Infinity,’ where they collect items that can be redeemed and transferred to fiat currency. It is so popular there that players have turned it into a full-time occupation. In fact, it is expected that the total size of remittances that the Philippines receive from the U.S will soon exceed $10 billion.
With its arrival, the gaming world is changing dramatically. Blockchain technology permits the fair, interoperable, creative and authentic era of video gaming. It is a space where individuals can earn a living by playing. This idea seemed impossible upon its initial release, yet these are only the newfound applications and benefits of the incorporation of blockchain technology into video games.
More about MK Fintech Partners Ltd.
Michael Kyprianou Fintech Partners Ltd is a Maltese licensed VFA Agent (virtual financial assets agent). It comprises a team of dedicated experts who provide services such as advisory, licensing and registrations of activities related to Fintech, Crypto, Blockchain, Investment, company incorporations and banking. and other ancillary services. MK Fintech Partners forms part of the Michael Kyprianou Group, a top tier international legal and advisory firm. It has established an enviable reputation as a broad-based legal practice over the years. Mainly by keeping at heart its principle to always exceed its clients’ expectations. MK has grown to become one of the largest law firms in Cyprus with offices in Nicosia, Limassol and Paphos. The MK Group’s international presence also includes fully-fledged offices in Greece (Athens and Thessaloniki), Malta (Birkirkara), Ukraine (Kiev), the United Arab Emirates (Dubai), United Kingdom (London), Israel (Tel Aviv), and Germany (Frankfurt).
The content of this article is valid as at the date of its first publication. It intendeds to provide a general guide to the subject matter and does not constitute legal advice. We recommend that you seek professional advice on a specific matter before acting on any information provided. For further information, contact us at MK Fintech Partners via email at email@example.com or by telephone +356 2016 1010.