Blockchain and utility tokens are increasing in popularity within the gaming industry. However, entrepreneurs often face legal complications associated with using this funding mechanism when launching a game because of its rigidness and legal complexity. Crowdfunding is a helpful tool for developers to fund their projects, but it's not always successful. Creators using crowdfunding platforms often lose the opportunity to finish their project upon failure to meet an initial goal, and even worse, many projects end up failing entirely due to investors losing faith.
Blockchain and NFTs are the most exciting evolution in digital goods and ownership
The use of blockchain technology has allowed for the creation and trading of NFTs or Non-Fungible Tokens that are unique, rare, and rewarding.
NFTs are an innovative way to own and control your digital goods. They represent an artist's work in its most idealised form- from art, music, and clothing. The popularity of NFTs is not a fleeting trend but rather the beginning of an important cultural shift in how we provide value and meaning to ownership of digital goods.
An NFT could be a limited-edition shoe purchased from a designer online or a Van Gogh artwork. They can represent in-game assets such as a limited-edition sword to a rare version of your favorite character. The possibilities are endless.
Creativity is an endangered species in our culture. With so much competition, it's difficult for artists to fully earn the recognition they deserve — especially when unscrupulous actors attempt to take advantage of them.
In an era where talented creators constantly have to deal with fraught copyright issues and forgeries, NFTs ensure the hard work of creative imagination is duly rewarded. Not only in terms of ensuring credibility from a visual perspective but also financially, which extends creativity recognition.
NFTs in the gaming industry
The gaming industry is currently booming, with no signs of slowing down. As a $200 billion industry and over 3 billion gamers worldwide — it's no surprise blockchain technology has become embedded in video games.
Blockchain and NFTs are quickly becoming a hot new world for developers to explore. They're developing ways to create an immersive experience by giving players control over their assets on a game's platform.
NFTs are a way to own a piece of your favorite game. With NFTs, gamers can trade or sell any unique assets they've created in-game on the secondary market and earn even greater financial rewards!
Why are game developers tapping into the world of blockchain and NFTs?
Game developers are taking advantage of the opportunity to synchronize two hot trends in the public consciousness — gaming, and NFTs.
The pandemic has brought about changes in our lives and blurred what we previously believed were normalised routines. But, with an emphasis on freedom and employment choice comes opportunity; Play-to-Earn (P2E) gaming is at the forefront of consumers' changing attitudes to earning.
With a blockchain foundation and NFTs as focal points, P2E has allowed game developers to thrive in this new ecosystem.
—The author is CEO, Gamestarter, a crowdfunding platform and marketplace that seeks to benefit game developers by developing an NFT-based business model. The views expressed are his own
(Edited by : Ajay Vaishnav)