How Are NFTs Revolutionizing The Gaming Industry?

NFTs and blockchain are about to modify the gaming sector forever. NFTs (Non-Fungible Tokens) have taken much of the internet by storm. Just in 2020, NFTs were vague and familiar only to the most rooted Ethereum enthusiasts. Now, a household world and not only that — a buzzword representing tech innovation. In the gaming industry, many gamers and crypto investors are now picking up interest in NFT gaming.

NFTs have now disrupted the gaming industry with decentralized games such as Axie infinity, Decentraland, My Neighbour Alice and Sandbox, etc. With their unique characteristics, NFTs combine their unique blockchain qualities with a vast utility to allow players to represent gaming commodities, characters, outstanding ability and other tradeable objects in games with NFTs and give special power-ups. They also enable players to generate additional income in games.

In this article, we’ll explore gamification and how NFTs are revolutionizing the gaming industry.

What is NFT Gamification?

NFT games have the same characteristics as traditional games. So, elements such as rules of play, point scoring, and competition were modified by applying blockchain technology. NFT gamification improves the gaming industry by using GameFi, where gamers trade game assets for financial rewards. With GameFi, blockchain innovation has been applied to the traditional gaming industry.

How NFT GamificationWworks

NFT gaming is structured to work efficiently. Where In-game assets used in the game are programmed as NFTs, since they have value, they can be sold or swapped among collectors and players. For example, in Axie Infinity, an Axie (an in-game creature) is usually minted as an NFT. Gamers can battle the game with their NFT or exchange them for crypto rewards.

Gaming policy varies for different games; for instance, in My Neighbour Alice, gamers can create their own virtual lands. Users can also interact with their neighbours by performing activities and earning rewards for their achievements. In-game prizes and purchases awarded in NFTs vary in their degree of rarity.

How Is NFT Revolutionizing The Gaming Industry?

NFT gaming is revolutionizing the traditional gaming world in several ways. However, we’ll be analyzing the most prominent ways NFT games have improved the gaming world.

NFT Staking

NFT staking is one of the popular and inviting developments. Several NFT games permit players to lock up their cryptocurrencies or NFTs in smart contracts, which may eventually produce a high return on investment — for instance, staking MBOX tokens awards users MOMO NFT Mystery Boxes in return. Each mystery box consists of a random rarity NFT which can then be sold on the secondary market. But, to amass substantial staking rewards, gamers will need a large initial deposit.

A source of income via play-to-Earn games

Traditional games operate in a play-to-win mode. Players play and buy gaming items and upgrade features that help them increase their chance of winning the game with no substantial monetary return. However, with the new Play-to-Earn model, players can earn from their gaming activities. Play-to-earn games entertain and serve as a source of income for gamers who gain monetary rewards for their actions in a game.

In general, you can earn from play-to-earn games by earning in-game rewards and cryptocurrencies or trading NFTs. Gamers usually start by investing in a starter team or an NFT character. They then use it to farm crypto and new NFTs or sell the NFTs to other players on the market, $such as the Binance NFT Marketplace. These activities establish an economy within the game which is mainly independent of the developer’s interference.

To learn more about the mechanisms of Play-to-Earn games, you can explore our complete guide on how to earn crypto and NFTs with play-to-earn games.

Play-to-Earn Guilds

With a continuous increase in favour of decentralized games, many new gamers troop in to play the play-to-earn games, hence, the need to create Play-to-Earn Guilds that help new players get started. Guild makes it possible for members to “rent” in-game assets rather than paying the sometimes-expensive fee to buy them, thus easing the barrier of entry to NFT games. An agreement is made between the two parties that the lender will then receive a certain percentage of the player’s earnings while the player gets what they need to start gaming.

A guild is a new event that relies on the achievement of the NFT gaming space and its need. In addition, It’s a win-win situation for both sides in the relationship. Guilds earn more as the number of new players increases, and new players can start earning themselves. Yield Guild Game is an excellent example of a guild.

Interoperability of game assets

Interoperability is one of the outstanding characteristics of NFT games. In PC games and traditional consoles, gaming ecosystems are not synonymous with each other. So, game characters and players’ assets are invariably restricted to a specific game, and the game developers exert absolute control of the game.

In contrast to a traditional game, blockchain-based games boast interoperability (the ability to use individual game assets in numerous games if permitted). NFT games can survive on an interoperable blockchain, where game assets can be swapped on marketplaces. An excellent example of an NFT project with NFTs that anyone can use to make a game is Loot. If your NFT is a BEP-721 token, it can be used easily in other games that accept that token type. However, this may depend on the designers’ support.

How to start NFT gaming

To get started with NFT gaming, players buy the in-game assets of their favourite blockchain games. Binance NFT has launched a new gaming initiative — the Initial Game Offering (IGO) to help gamers find new opportunities to amass new gaming characters and NFT items. IGO aims to power the future of the gaming metaverse. You can follow Binance NFT on Twitter to stay up to date with the latest on NFT gaming.

You can learn a lot about NFT on Twitter. There are a lot of NFT updates posted daily. You can follow @NFT on Twitter to learn every day.