The game development industry was slightly shocked when NFTs became a part of the gaming world. A few people could imagine that crypto tech and gaming could become a whole, so many gamers are still figuring this out by exploring the pros and cons of NFT games.
At the same time, leaders of game development like Square Enix and Zynga consider NFT games as the industry’s future, and many gamers are already getting the most out of this novation. So what is so special in NFT games that multiple gamers and gaming companies see the future in this concept?
This article will shed light on the benefits of NFT gaming for both sides: game owners and players. Additionally, you will explore the analytics of the NFT gaming future and learn how a professional NFT game development company can support you with grasping this field. Now, let’s get this journey started!
In case you need to refresh your knowledge about the peculiarities of NFT games, you can read a brief explanation of how this game type works. First of all, NFTs (non-fungible tokens) enter a game in the form of art.
In other words, characters and in-game assets can be minted in NFTs, providing them a real worth, as they are becoming a kind of cryptocurrency. According to the concept’s name, play-to-earn, gamers can earn these NFTs throughout a game, purchase them, and resell them for a higher price.
Another thing you need to know is that NFT games are developed with the blockchain. This crypto-based technology encrypts, stores, and protects all the data related to NFTs: transaction history, ownership rights, etc. Since blockchain works as a decentralized database, gamers can withdraw earned NFTs from a game and sell them on marketplaces.
Don’t know where to start NFT game development?
While some gamers are looking for disadvantages of NFT games, others are making money and expanding their business opportunities thanks to their multiple benefits. Even no qualification in NFT expertise can be a barrier on the way to success, as you can hire a professional NFT gaming platform development company to cover the development. So, let’s jump right into the advantages of NFT games, which are valuable for both game owners and dedicated gamers.
Drawing venture capital. External funding is one of the most effective ways to grow a business for entrepreneurs and increase the capital for investors. As for NFT gaming, it’s rapidly growing, becoming a promising investment field. Thus, starting NFT game development gives you an excellent chance to draw venture capital to finance your project with no own funds involved.
Uncrowded market. Since the NFT market is relatively new and distinctive, there are not so many entrepreneurs who are ready to enter this field with a top-notch product. Hence, the level of competition is low, which gives a serious advantage to those far-sighted developers who see the potential in NFT gaming.
Scalability. Traditional games aren’t new to people, so the market is already divided by the products from popular game development companies and those who aren’t famous in the industry. This basically means that it’s harder for average gaming companies and small indie studios to draw a broad audience to their games.
However, NFT gamers are constantly looking for new products that give them further opportunities to earn and invest. Thus, NFT games have tremendous potential for increased transaction per second (TPS) rate and reaching new business scales accordingly.
New ways of income. In contrast to traditional gaming, the NFT-based system opens new opportunities to grow and create additional ways for earnings. First of all, many NFT games imply paid entrance for new gamers.
Also, NFT assets have a significantly higher price than traditional in-game items, not to mention that you can sell NFTs to gamers inside and outside a game. Finally, gamers who transfer their NFTs to a marketplace or directly to a new owner should pay a transaction fee.
Immutability. Traditional games often allow players to affect their gaming progress with better assets they can purchase right in a game. However, there’s no way they could resell those items and give their money back, not to mention to make a profit. That’s because gamers don’t really own these assets but can use them only in a particular game.
In contrast, NFT games are decentralized, meaning that players immutably own gaming NFTs. They can buy, sell or trade these assets, withdraw them to an NFT wallet, and showcase them in a marketplace.
Earn money while playing games. One of the main advantages of NFT gaming over a traditional one is having fun and profit at once. People who adore gaming and consider it their biggest hobby can make money on it now. And there’s no need to become a professional gamer who participates in championships for money prizes.
Of course, it takes some knowledge in crypto tech and trading in order to make proper decisions that draw significant income. Yet, making money from NFT gaming is more inspiring for many people than working at a regular office job.
High level of security. In the digital world of finance, people make millions of transactions every day, many of which are investments and cryptocurrency purchases for large sums. So, it’s crucial to use peer-to-peer technologies to protect trading deals from cyberattacks as well as to keep NFT ownership rights unbreakable.
Thanks to blockchain, NFT and cryptocurrency owners may not worry about the safety of their transactions, as the security system is robust. The data transferred in NFTs consists of blocks of chains, each with its unique key. If any intervention in a chain occurs, a block that was attacked becomes invalid, as the entire transaction. So there’s no room for cybercriminals.
The gaming community is still unsure about the future of NFTs. Yet, we have some facts, opinions, and already released products to analyze and conclude some possible outcomes.
Analytics based on relevant figures
We can’t deny that some members of the game development industry are skeptical about NFT games as it’s not such a popular activity. According to Finder’s NFT gaming adoption report, 9.4% of Americans are into NFT games, with the figures expected to grow by 1.8 times by the end of 2022 (that will be 16.9%). But most experts who refer to small numbers usually forget that these indicators are relative.
Now, let’s explore the other crypto-based data for a fair comparison. Gemini’s state of U.S. crypto report has shown that roughly 14% of the US population owns cryptocurrency, while 55% of investors who currently own Bitcoin began investing over the last 12 months. It seems as if they’re not so many, right?
At the same time, most people know that people who saw the potential in cryptocurrency have made a fortune thanks to their smart and early investments. For instance, the highest price of Bitcoin was $65k per coin by February 2021. Imagine how much the people who bought 100 coins for $200/coin back in 2013 earned.
Yet, the most expensive NFT art piece was sold for $91.8m, while the most costly gaming NFT was sold for $1.1m in 2021 since the game was launched in 2018. These numbers show that the NFT field is developing much faster than the crypto was, bringing more value to its owners simultaneously. Additionally, we see that the percentage of people who currently comprehend the value of a solution cannot determine its profitability.
According to these figures as well as the active development of the metaverse and NFT projects, we can conclude that NFT gaming is the future most people aren’t ready for at the moment. However, let’s not forget that the theories and ideas of transferring human social and business life to a virtual universe have been discussed for dozens of years. Moreover, you can use our metaverse game development services, and the future of your product will be in good hands.
Only a couple of years ago, tech leaders like Bill Gates, Tim Cook, and Mark Zuckerberg had implemented these ideas through metaverse solutions where NFTs were integral. So, don’t you want to be one of the first far-sighted entrepreneurs who will reap the fruits of the labor in the future? Then, let’s explore how to create an NFT game in the most efficient way.
In case you’ve seen the potential in the NFT gaming field for your business, it’s time to create a unique solution to stand out among the current competitors. Naturally, starting a project that is new in its development features is a challenge that’s hard to overcome all alone. Fortunately, you can rely on the experience of professionals who’ve already mastered the particularities of NFT game development.
Game-Ace is a proficient game development company, operating in the industry since 2005. The deep professional expertise and the use of cutting-edge technologies allow us to create best-in-breed products for our clients, catching the eye of a targeted user. Partnering with us, you can choose a business model that suits your company best so your NFT game will be cost-effective and profitable at once.
Contact us to get personal estimations and detailed consultation.