This content originally appeared on HackerNoon and was authored by Evan Luthra
Gaming has served as a great source of entertainment for a long time. Many adults today will point to moments in their lives as kids when they had their friends over or went to theirs to play video games as some of their best childhood memories. Video games like FIFA, Minecraft, Fortnite, etc. have provided some of the most adrenaline-pumping moments, keeping gamers glued to their control pads and television screens.
\ Gaming has gotten even better. The last few years have seen the immense growth of the blockchain industry. This growth has meant that there have been disruptions—most of which are positive—to many traditional industries in the world. A traditional industry that's experiencing this seismic-like shift is the gaming industry. The advent of Play-to-Earn (P2E) games has made real, something that could have only been a fantasy some years back.
\ This new model of gaming has seen so much growth in a short period, and I don't think it's even at its peak yet. The potential is immense. This is evident in the numbers around the industry. In 2024, the global P2E NFT market size is valued at $471.90 billion, and this is estimated to reach $942.58 billion by 2029—a CAGR of 14.84% in this forecast period.
\ Play-to-earn games are blockchain-powered games that reward players for their success and achievements within games with assets that have real-world value. These assets are in the form of cryptocurrencies and Non-Fungible Tokens (NFTs).
\ In this article, we'll explore P2E gaming on the blockchain, and how players are rewarded for their time and effort put into playing these games.
Rise of Play-to-Earn
As the blockchain industry has soared in popularity, so has the gaming niche. Almost everyone wants to earn crypto by playing these cool games, but what's the real deal? Many people have thronged to P2E games for several reasons. Maybe you are tired of spending your time, money, and effort playing games where you get nothing but the same old adrenaline pump you've always got.
\ Now, the idea of owning a cool sword that's an NFT tickles your fancy. Or you're trying to make crypto from doing one of your favorite pastimes; playing games. Who wouldn't want to earn crypto while playing games? Imagine getting paid to flex on lesser-skilled players in a spaceship battle. These games have provided alternative sources of income for many players.
\ A good example is Axie Infinity where players made around 151-200 SLP tokens at its peak (equivalent to $33.70 to $44.67) for playing the game 3-4 hours a day. This added up to nearly $1200 per month.
\ P2E games also allow you to own your in-game assets and be a part of a community where you can connect with gamers with similar interests. There are, however, some potential drawbacks. One of them is that it can cost a pretty penny to get started. Many of these games require you to have at the very least enough crypto to pay for gas fees used in facilitating transactions—which are any significant actions you take in the game. Blockchain game Cometh for instance requires the player to buy a starter kit from the Cometh Shop worth 200 MATIC. At the current price of MATIC, this costs $124.
\ Also, because cryptocurrencies can be volatile, the prices of the gaming assets you own that are worth a fortune today might not be the same tomorrow. For example, SLP at its peak traded for $0.4 per token. Today, it is at $0.0038, a 99.05% drop in price. And then earning in P2E can sometimes involve significant grinding. So, you have to make sure it is fun for you, and not just a chore for earning crypto alone.
\ Recently, I discovered a great P2E project called CosmicFactions. This is a P2E platform that has been ticking all the right boxes in the industry. A prominent player in the P2E space, CosmicFactions is a blockchain-based Game Engine powered by revolutionary No-code AI technology. With its innovative CosmicEngine, it offers a platform where game developers can effortlessly design, build, and launch games.
\ Founded on the principles of inclusivity and innovation, this company looks set to lead this era of interactive gaming and entertainment by democratizing game development and uniting the digital world with cutting-edge technology.
\ What gaming companies like Unity and Unreal Engine did for the traditional gaming scene is what CosmicEngine is trying to replicate; revolutionize game development on the blockchain.
\ It used to be that to build a game, you had to have vital technical knowledge and experience, but CosmicFactions is changing that. Here anyone can create games effortlessly with its no-code, AI-powered tools. The platform uses creative models like Build-2-Earn and Create-2-Earn, which empowers creators to build games ranging from 2D to 3D, to immersive VR experiences and even AAA tiles. This enriches the CosmicFactions ecosystem with a plethora of genres.
\ Other gaming platforms you could check out include Utgard, QORPO, and Darewise. Utgard is a PvP play-to-earn game where you can assemble an army and battle in real-time 1v1 combat, earn the native UTG tokens as in-game rewards for your efforts, and have complete ownership over your in-game assets. QORPO is a gaming platform that provides the perfect intersection between the blockchain and eSports. The company powers the hero shooter game Citizen Conflict.
\ Darewise is a subsidiary of Animoca Brands and is focused on building the future of the metaverse on the Bitcoin blockchain. Both companies (Darewise and Animoca) recently unveiled a new Bitcoin protocol, OPAL. OPAL is geared at becoming the leading web3 ecosystem on the Bitcoin network spanning across gaming, DeFi, entertainment, and education. OPAL has a Runes token, BLIF, that’s already the native token in Darewise’s MMOG Life Beyond.
Potential Impact of Play-to-Earn
Imagine a world where games and gaming activities aren't just about entertainment alone, but also a way to earn a living—or at least a crypto income. P2E is driving us towards such a world with its potential to revolutionize the gaming industry by:
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- Empowering players to have more control over their in-game assets and profit from their gaming skills and time.
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- The creation of new economies within games that potentially impact how digital assets and interactions between virtual worlds are valued.
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- Building stronger communities with shared goals and economic incentives that promote closer bonds between players.
\ There are however some challenges to overcome:
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- The question of sustainability still hangs in the air. Can P2E models be sustainable in the long run, or will they eventually be overwhelmed and come crashing down?
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- Regulation: Will P2E games survive when governments eventually regulate the crypto and blockchain industries?
Conclusion
The surge in popularity of Play-to-Earn games is driven by the opportunity to earn crypto and own in-game assets. While benefits like financial rewards, true ownership, and community building are front stage, challenges like steep entry costs and crypto volatility also exist.
\ P2E also offers a variety of genres beyond the traditional Role-Playing Games, which makes it even more exciting. The possibilities for completely revolutionizing gaming and blurring the lines between entertainment and real-world value are exciting. Questions however remain about the sustainability and ability to maintain its fun factor.
This content originally appeared on HackerNoon and was authored by Evan Luthra
Evan Luthra | Sciencx (2024-06-28T00:58:12+00:00) Play, Build, and Earn on Play-to-Earn Platforms. Retrieved from https://www.scien.cx/2024/06/28/play-build-and-earn-on-play-to-earn-platforms/
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