Blockchain x Gaming

Our view on the recent adoption of blockchain into gaming

The first generation of blockchain integration with gaming was the popular Play-to-earn (P2E) trend with Axie Infinity leading the news globally.

The positives

Firstly, these games have introduced a new and engaging way for people to learn about and participate in cryptocurrency. By offering players the opportunity to earn cryptocurrency while playing games, crypto play-to-earn games have attracted a new and diverse group of users to the blockchain market.

Secondly, these games have provided a use case for blockchain technology beyond just currency transactions. The concept of owning unique digital assets within a game that can be traded or sold on a decentralized marketplace has demonstrated the potential of blockchain technology to create new types of economies and markets.

Thirdly, the success of crypto play-to-earn games has attracted significant investment and attention to the blockchain market, leading to the development of new and innovative blockchain-based projects and applications. This has led to increased awareness and adoption of blockchain technology across different industries.

Finally, the popularity of crypto play-to-earn games has also led to the development of new blockchain-based gaming platforms and tools that developers can use to create new and innovative games. This has expanded the scope of blockchain technology beyond just finance and has shown the potential for blockchain to revolutionize the gaming industry.

The negatives

On the other hand, there are several shortfalls that were brought along.

One negative impact is that crypto play-to-earn games have led to increased demand for graphics cards, which has led to shortages and price hikes. This is because the games require powerful graphics cards to mine cryptocurrency while playing, and this has led to gamers having to pay more for graphics cards or wait longer to get them.

Additionally, crypto play-to-earn games can be viewed as a distraction from traditional gaming experiences. Some gamers may shift their focus from playing games for entertainment to solely playing games for the purpose of earning cryptocurrency, which could lead to a decrease in the quality of gameplay and the overall gaming experience.

Moreover, there have been instances of fraud and scams in the crypto play-to-earn game industry. Some games have promised players high returns for their investment or participation, only to disappear with the funds later on. This has led to distrust among gamers and investors in the industry, which could hurt the overall gaming market.

Finally, the energy consumption required for mining cryptocurrency in these games is significant and may have a negative impact on the environment. The environmental impact of crypto play-to-earn games may deter some gamers who are environmentally conscious.

Overall, while crypto play-to-earn games have provided a new way for players to earn money and participate in the cryptocurrency market, they have also had negative impacts on the gaming industry, including graphics card shortages, potential fraud and scams, decreased gaming quality, and negative environmental impacts.