The world is evolving, and communication, work, and daily enterprises—including making money and enjoying games—have all undergone remarkable changes. Web3 is growing, and companies are taking advantage of the value potential of Blockchain technology. This technology is igniting a sudden change in several industries.
Companies in various fields are keen to implement this technology, and gaming is one such sector. As we anticipate the approaching era of Web3, we look at how it will affect gaming. Let’s look at how Web3 gaming has changed over time and how it differs from the usual games you know so well.
What Is Web3?
In the early days of cryptocurrency and blockchain, Gavin Wood, one of the co-creators of Ethereum, coined the term “Web3.” Older internet versions had restricted capability and relied on an antiquated understanding of things work. Wood considered Web3 technology an effective booster for expanding the worldwide tech environment. As a result, things went in a different direction.
The primary pillar of Web3 is the decentralization of the web. This innovative system has been designed to shift control from intermediaries to users, enabling a superior level of privacy, clarity, and stability thanks to its underlying structure composed of blockchain, digital assets, and NFTs.
The unique characteristics of Web3 make it capable of disrupting numerous industries, with substantial businesses exploring the prospect. We have already seen Web3 technology influence gaming, bringing forward the concept of Play-to-Earn, with major platforms like Axie Infinity and PlanetIX drawing global attention.
Web3 And The Evolution Of Gaming
Gaming has become one of the most beloved hobbies among the younger generations. While the normal gamer mold is an adolescent or shy teenage boy seated in front of an Xbox all day, the reality is different. A current study claimed that more than 3 billion individuals play video games, with a mean age of 35 and equal measures of male and female players.
The gaming sector yields more income than the music and movie industries. Even though merely a fraction of gamers generate an income from video games, plenty take advantage of them for recreation or to unwind in their free time.
Earning Money Through GameFi
With the surge of VR developments and the emergence of the metaverse, there are open doors to acquiring real-world money through online games. This cash is not only virtual money but an actual currency that can help children in emerging countries create a source of income. Game elements, such as avatars, colors, virtual land, and arms weaponry, can be obtained and exchanged with digital currencies.
GameFi is a combination of “game” and “finance”, which refers to blockchain-based games that provide financial incentives for players. During playtime in Web3 games, participants can win rewards such as crypto tokens, NFTS, and digital land by being tasked with achieving levels and competing against others.
Under this “Play-to-Earn” (P2E) setup, customers link their crypto wallets to the game, purchase an NFT, and grow through levels to receive gaming tokens. These tokens can be exchanged into Bitcoin, Ethereum, or genuine money through an exchange like Binance, and the NFT can be rented to gain interest.
There are so many great opportunities in the GameFi space. With the right investment and minds behind it, we may see it adopted by the mainstream gaming industry sooner than anticipated.