© Reuters. Blockchain-based P2E games are exploding in popularity
Blockchain-based games are evolving and establishing themselves as a lucrative genre within the expanding universe of blockchain-based products and services.
According to the latest report released by the Blockchain Game Alliance (BGA), more than 804,000 unique users were playing on one or more of the play-to-earn (P2E) game platforms available, increasing the market by 121% in terms of unique and active Purses.
While the concept of in-game purchases for video games has been around for a long time, the merger with blockchain technology has created a new dimension for gamers and game developers alike.
To date, gambling has been primarily a centralized activity; all game data, assets and game currency are limited to the game manufacturers who published them. Players have had no way of selling, trading, or renting out their excess in-game items, at least not in the open market.
The introduction of blockchain in gaming circles opened the door to a decentralized gaming economy that offers multiple user-centric features, including full ownership of in-game assets, the embedded security and transparency of blockchain, and a lucrative income opportunity.
By increasing the monetary value of in-game assets through non-fungible tokens (NFTs), almost every blockchain-based play-to-earn game allows players to buy, sell, and sell their game assets both within the game and within the game, to rent and trade. and marketplaces that operate outside of the game. Because every item purchased in the game has tangible value, it offers players an opportunity to generate returns on the investment they have made.
Most blockchain-based games either use an existing token or issue their own, aided by thoughtful tokenomics, immersive gameplay, and the ability to buy, sell, rent, and trade in-game assets.
As a result, players who own in-game items such as weapons, skins, cards, XPs and more can transfer their assets to their in-game wallet or other supported wallets outside of the game. In addition, players can convert these assets into cryptocurrencies or fiat currencies and use them for real transactions.
P2E games accelerate the visibility of blockchain
P2E games like Splinterland, Axie Infinity, and others have revolutionized the way gamers interact with the in-game economy by giving gamers control and ownership of in-game content and allowing them to quickly increase their value through active gameplay.
The continued growth of the P2E gaming market is a positive sign for the evolving blockchain industry. It also plays a vital role in expanding NFT use cases. For example, Splinterlands, an NFT trading card game, breaks records in several categories.
The exciting play-to-earn gaming platform has nearly 114,000 active daily users as of August 26, after having only 26,193 daily users in July.
Additionally, Splinterlands recorded an average of four million daily transactions that month, four times the Ethereum average daily transaction count of one million. By assigning organic and real value to in-game items, Splinterlands enables its player community to enjoy an average of $ 30,000 in daily revenue and nearly $ 250,000 in daily peer-to-peer market sales.
Another P2E game, Axie Infinity, a Pokémon-type monster fighting game that runs on the chain, rewards players with Axie Infinity Shards (AXS); Tokens that can be exchanged for real money. AXS is currently trading at over $ 71 per token, compared to an average of under $ 5 in June.
The play-to-earn gaming scene lays the foundation for an open economy while ensuring that players are financially rewarded for their loyalty and support. It has become so popular that the play-to-earn gaming model has become one of the preferred sources of income in third world countries like the Philippines and Vietnam, helping local gamblers earn more than $ 1,200 a month, by simply playing games and completing quests.
Since its inception, the blockchain gaming market has been on an upward trend and has established itself as one of the fastest growing niches in the blockchain universe while triggering a huge inflow of capital from institutional and private investors.
As a result, it is well equipped to make an enormous contribution to the mass adoption of blockchain platforms and cryptocurrencies.
Disclosure: At the time of publication, Reuben Jackson had no position in any of the securities discussed in this article.
Disclaimer: The information contained in this article represents the views and opinions of the author only, and not the views or opinions of TipRanks or its affiliates, and should be viewed for informational purposes only. TipRanks does not guarantee the completeness, accuracy or reliability of this information. Nothing in this article should be construed as a recommendation or solicitation to buy or sell any security. Nothing in the article constitutes legal, professional, investment and / or financial advice and / or takes into account a person’s specific needs and / or requirements, nor does the information in the article constitute a comprehensive or complete presentation of the matter or topic discussed therein. TipRanks and its affiliates disclaim any liability or responsibility with respect to the content of the article, and any action taken with the information in the article is at your own and sole risk. The link to this article does not constitute an endorsement or recommendation by TipRanks or its affiliates. Past performance is not an indication of future results, prices or performance.