Published on: 15/03/2022
Crypto platforms integrate with video gaming market, prospects
Crypto platforms are making their way to the online gaming industry and slowly but steadily has been reshaping opinions surrounding the subject matter. While some gamers plainly rejected the idea of connecting crypto and video games due to a number of reasons, the other instead welcomes the idea.
The gaming industry worldwide is valued at $173.70 billion in 2020 and the value is expected to grow to $314.40 billion in 2026, per multiple sources. Both the valuation and growth made the market is hard to miss for crypto platforms and companies to try their fortune.
This is not built overnight, from retro video games to realistically looking graphics. Right now, crypto platforms shaping the gaming industry by providing an economic environment where the transaction, trade, buy and sell of in-game items exists. While at the moment, such an environment is present on so-called play-to-earn (P2E) video games, the future remains lucrative for crypto platforms.
Crypto, video games
Key players in the crypto scene have expressed their interest in the gaming market for some time now.
From London-based venture capital Hiro Capital launching investment fund for video games as well as metaverse, independent project Pixelmon which had raised $70 million funding, regular P2E game platform Nest Arcade launching more projects alongside tokens and NFT collections.
Some companies expand businesses to the video gaming market, for example, last February a Bahamian cryptocurrency exchange company FTX, expressed interest in expanding businesses to the gaming market.
The company is looking to have an established dedicated division for such expansion called FTX Gaming. The spokesperson added that one of the reasons for expansion is the 2+ billion gamers worldwide.
There are other similar crypto platforms aiming at the gaming market with different intentions or objectives at hand, but it appears that the idea or the “how-to” from one to the other remains the same, to take the already existing video game features, in this case, in-game items (avatars, skins, as well as rewards) make it available for real-life investment and trade.
Moreover, crypto platforms have been pushing the gaming market to a decentralized future by providing blockchain as the solution. This not only allows players to have a global-size transaction process and monetize their in-game assets but also ones that are secure.
Therefore, this will ensure a sustainable blockchain gaming economy and improve both gaming as well as earning (revenue streams) experiences.
It remains slightly unclear amidst great skepticism the gaming community has over crypto finding its way to the market. The opportunity to integrate the two is there, but crypto platforms must find a way to navigate and rebuilds how gamers view the integration.
With over 2 billion potential customers to tap into, crypto platforms must remain vigilant in how they run their operations. From prices that are known to be unaffordable to many and other challenges.
Crypto platforms have many works to do, especially when it comes to security and experience. Integration must be provided in ways that are secure, better gaming and earning experiences to ensure the longevity economy. This is achievable with decentralized future blockchain technology can offer.