How are NFT pioneering revolution in gaming industry

The gaming industry is displaying an expansionary trend across various sectors and it shows no sign of stopping shortly. However, although the size and the reach of the industry have been experiencing an expansion, the whole approach of the industry is unilateral. The logic behind its unilateral nature is that “developers” gain the overall profits from various in-app purchases as well as various monetary benefits associated with the game. However, dApps as well as games built on blockchain are revolutionizing this approach.

The influence of blockchain on gaming

In the traditional setup, a player invests heavily in the setup and various other purchases along with the setup to improve the overall proficiency. A majority of the player’s money is spent on initiating various purchases to unlock gaming content or various purchases which are restricted to the game itself. However, the utility and usability of such a purchase are heavily restricted.

In such a scenario blockchain pitches in dApps or blockchain-based gaming apps which help a player gain higher flexibility when it comes to in-app purchases or various other gaming purchases. The primary reason for using an NFT is because they are rare and unique and therefore they are the perfect fit to be deployed in multiple gaming environments.

NFT can be customized accordingly in such a way that they aren’t restricted to the particular environment where they were generated instead they can be cross utilized across various sectors, resulting, in boosting multiple gaming economies and facilitating the creation thetthee the n of a collaborative gaming environment.

Gaming Industry Reform

NFT’s aren’t saturated with gaming itself, instead, they have already been used in various sectors. They have already been roped in to represent various real-world assets such as artworks or real estate etc. However, the primary reason behind NFTs being such rage is because of its three characteristics

• Non Fungibility
• Rarity
• Indivisibility

The advantages of NFTs in gaming

Primarily they are being deployed by using the Ethereum ERC-721 token standard however several other networks support NFT. These networks are TRON and NEO. The primary advantages of NFTs in gaming are

• Ownership — Traditional gameplay allowed users to make an in-app purchase however the purchase itself was saturated to the game itself hence it would be considered a one-time investment. But on the other hand, on purchasing NFTs in a gaming environment the sole ownership of the purchase rests in the hand of the owner. The player can utilize the purchases not only in single gameplay instead it can be utilized across various gameplay where the purchases are supported. Apart from that, the purchases can be sold to various other players on the network itself. Thus, decentralizing the entire process inside a gaming environment.
• Immutability — If a game in a traditional setup closed down the user had no option but to incur a loss of purchases however NFTs in the gaming sector don’t face such a problem because they haven’t been saturated to particular gameplay instead they can be retrieved back by the player. Following this such purchases can be sold to other players. Developers can also develop newer games wherein the existing protocols can be plugged in easily.

Apart from that NFTs can neither be tampered or copied which will preserve the rarity of the collectible. This will be done with the help of the permanent records which are generated moments after purchasing an NFT.

Although NFTs look like a promising piece of technology when it comes to the gaming sector it is still in the nascent stage. It needs widespread adoption across the markets. Apart from that, utilizing NFTs also increases the risk of speculation of various assets which in turn gives rise to black market profiteering. However despite the challenges, the sector isn’t planning to dampen its spirits, instead, it is discovering new methodologies to revolutionize blockchain technology in the gaming sector.

Disclaimer: The opinions expressed in the Blog are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product. It is only intended to provide education about the financial industry. Please do your own research.