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The games industry relies on all types of technology to offer players the most innovative and engaging experiences. As such it shouldn’t be surprising to see NFTs being adopted in this context.
But what exactly are NFTs, and how do they apply to gaming? Read on to get the lowdown on this up-and-coming development.
Introduction to NFT Games: A Closer Look
Essentially, a non-fungible token (NFT) is a digital asset that can be bought or sold on a blockchain platform like Ethereum.
They represent something unique – from artwork to collectibles – that are both tokenized and secured by cryptography.
This makes them special, because unlike other cryptocurrencies (like Bitcoin for example), each one is completely unique, since it exists only once on the blockchain network.
Additionally, ownership of an NFT gives users access to certain rights associated with it, such as voting power within Decentralized Autonomous Organizations (DAO).
The use of non-fungible tokens in gaming is a relatively new concept, but it’s quickly gaining traction as more developers are harnessing the technology to create immersive experiences. These games offer players an opportunity to own unique digital assets that can be bought, sold, and traded on different marketplaces.
As such, NFTs have become incredibly popular for both hardcore gamers and casual fans alike – offering them access to exclusive items not available anywhere else.
Understanding web3 Technology and Its Role in NFT gaming
To appreciate how NFTs function for gaming, it’s useful to understand the underlying technology that powers them, which is known as ‘web3’.
Simply put, web3 refers to the next generation of internet protocols that are designed for secure communication between two or more parties on an open network.
Gaming with web3 technology involves technologies like smart contracts and distributed ledger systems for data storage, providing greater transparency than traditional databases. This allows users to securely transact without needing third-party intermediaries, like banks or credit card providers.
Within blockchain gaming applications, web 3 forms the backbone infrastructure by facilitating trustless digital asset exchange via non-fungible tokens. As such, this technology is essential for enabling the smooth functioning of games and other decentralized applications (DApps) built on blockchain networks. And as more developers continue to explore its potential within the gaming space, it’s clear that web3 will only become even more important.
Examining Different Game Types that Implement NFTs
Various gaming genres put NFTs to work to facilitate their gameplay or offer players a way to take indelible ownership of digital assets within their economies and ecosystems.
A good example is collectable card games (CCG). This genre has been around for quite some time, but with blockchain integration it’s arguably even better. Players can purchase booster packs containing rare cards, each of which is an NFT that’s unique to them. By having access to these scarce items, they can then build strong decks to challenge other players, and also sell cards to earn crypto assets in return.
There are also decentralized finance (DeFi) games to discuss in this context. These involve users depositing their funds into a smart contract, then using it to purchase items, earn rewards, or even trade in order to increase the value of their holdings.
These types of applications allow players to experience real-time financial interactions on the blockchain, making them incredibly popular amongst those who want an immersive gaming experience with actual monetary gains. This sits parallel to the blossoming crypto casino scene.
Finally, it’s worth mentioning the metaverse. This genre has been growing rapidly due to its ability for developers to create entire digital economies based around rare assets stored via tokens. Users can buy virtual land parcels, represented by NFTs, and use them as a form of currency within these worlds.
Final Thoughts
As you can see, NFT games come in all shapes and sizes, but are underpinned by the same blockchain and web3 tech across the board. It’s a brave new world, but one which puts the player in the driving seat.