Explore the online gaming world by integrating NFT in the gaming platform | Via Linda John | The Capital | June 2021
Non-fungible tokens or NFT, Because they are well known or considered to be the next big thing in the crypto world. 2017 is the year of initial token issuance, 2020 is the year of decentralized applications, and 2021 is considered the year of NFT.
To understand what these NFTs are, you need to understand the concept of fungibility.
What is fungibility?
Fungibility is the possibility of an asset being exchanged for another similar asset without any change in value. The best example of a fungible asset is the US dollar. You can exchange the 10 dollar bill for any other 10 dollar bill without any change in value. Although the two banknotes may be different, their value has not changed.
Mainstream cryptocurrencies like Bitcoin are also considered fungible because they can be exchanged and broken down into smaller components and sold in segments.
On the other hand, non-fungible tokens are unique and cannot be broken down into smaller parts. They must be sold all or not at all!
Possibility of NFT
Irreplaceable tokens present a variety of applications by virtue of their uniqueness and the versatility of the blockchain technology that supports them. It has been used by celebrities, musicians and digital art creators such as Lindsay Lohan. However, one of the most prominent applications of NFT is in the field of video games.
A brief history of blockchain and video games
Even before Super Mario Bros. became a global hit, video games have existed for a long time. However, with the launch of a video game called CryptoKitties in 2017, the game world has changed. This is a game where players can buy, collect and sell virtual kittens. Every kitten created in the game is unique. There is a sense of ownership, and the uniqueness of the created kitten increases the value of digital assets. This is probably one of the first and most popular use cases of NFT. It should be noted that the game uses the ERC-721 standard to develop its irreplaceable tokens.
Surprisingly, game creators have earned more than $40 million in profits from CryptoKitties.This prompted the same game company to cooperate with the NBA, and they created a game called Best shot in the NBAIn this game, basketball fans can buy and sell memorable video clips from last season’s games called “Moments”. They are essentially blockchain NFTs, which represent the ownership of that particular video clip. Although video clips can be shared on multiple platforms, the ownership of that particular video clip belongs to the person who purchased the NFT. It is estimated that the total value of all transactions for this game is more than 370 million U.S. dollars.
Application of NFTs in games
NFT can show itself in the blockchain game world in many ways.
There are certain NFTs called branded NFTs, which are digital representations of traditional collectibles. Collectibles may use established brands, such as sports franchises. Even baseball trading cards fall into this category. People’s needs are the reason for their interest in these NFTs over time, especially in the NFT market.
Some NFTs are called game-related NFTs, and their value is determined only by demand. This demand arises when many games include NFTs. In-game items and skins fall into this category. It should be noted that players or owners cannot directly affect the value of NFTs, but can only be generated through demand.
Even the game world has virtual souvenirs. There are NFTs representing such collections. The ability to be a proof of authenticity makes NFT stand higher. Therefore, the possibility of counterfeit products is almost zero. The value generation of these NFTs requires a thorough understanding of the in-game economy and final game design.
Some NFTs are driven by stories. Although they are very consistent with game-related NFTs, players and owners have the ability to change the value of these tokens very actively. A good example of this kind of NFT is how to sell heroes in the form of NFT in World of Warcraft. This will help you reach the highest level faster than ordinary players.
What makes NFT a perfect candidate for the game?
NFT exists on the blockchain, which brings many benefits to the game world. The world of NFT is truly decentralized, because unlike traditional games where game developers grant access to virtual assets in the game world, NFT transactions occur between players.
If multiple games are built on a single blockchain, blockchain technology allows multiple games to communicate with each other perfectly. This has a huge advantage over the traditional game ecosystem, in which the assets purchased for a particular game are only useful for that game.
The value of NFT is directly proportional to scarcity. The scarcity of the blockchain world is easy to prove because the transparency, security and immutability of a single distributed public ledger has reached its peak.
Most importantly, when you buy something in the game world, it is very likely that if the developer decides to unplug the game, then all the virtual assets you purchased will be in vain and will not benefit anyone. However, in the blockchain world, due to interoperability, ownership, and immutability, you can use the asset in different games on the same blockchain, or even sell the asset to another user, so you can cash out Buy something for your money.
The utility of NFT in the gaming world It has been proven beyond doubt. The thing to remember is that every cryptocurrency boom has soared, but it hasn’t fallen. Similarly, NFTs will continue to be prominent for a long time, and now is the best time to invest in NFT development.
If you are one of the cryptocurrency entrepreneurs who want to enter this world, all you need to do is contact NFT Development Company Learn about the world of blockchain and games. They will carefully understand your business needs and provide you with the perfect NFT solution to meet your gaming needs!