Games Based on Blockchain – For many years, the gaming business has drawn players, developers, and investors. When the COVID-19 pandemic struck, games were there to support players during the lengthy hours of quarantine, and they continued to gain popularity even after that time. The emergence of cryptocurrency gaming as a new genre of gaming has also occurred recently.
The size of the global market for cryptocurrency gaming was estimated at $3.3 billion in 2020 and is projected to expand at a compound annual growth rate (CAGR) of 16.4% from 2020 to 2027, reaching $9.3 billion. The popularity of the cryptocurrency gaming business is rising despite the volatility of the market.
Any game with cryptocurrency components—such as NFTs or tokens—that is constructed on a blockchain is considered a crypto game. In order to participate, players must understand cryptocurrencies and possess some coins. Players can buy assets in cryptocurrency games and then sell them to gain money.
What exactly is cryptocurrency gaming, though? Where to begin with cryptocurrency gaming, and is it something you enjoy doing? Continue reading to learn more.
Origins of Crypto Gaming Games Based on Blockchain
CryptoKitties was among the first games to employ blockchain technology, or cryptocurrency. It was introduced by Axiom Zen in 2017 and let users buy Ethereum-based NFTs (non-fungible tokens) in the form of virtual pets. Gamers could breed, collect, and even sell virtual cats! The game gained a lot of popularity, particularly among Chinese gamers.
Another 2018 release that is based on NFTs is Axie Infinity. It’s a “play-to-earn” game, which refers to the idea that players buy NFTs, enhance them in the game, and then get paid when the publisher (Sky Mavis in this case) sells them to another player. This is a notion that will eventually catch on for cryptocurrency games.
The COVID-19 epidemic was the catalyst for the next big development in the cryptocurrency gaming industry. As gamers sought solace in video games during the months-long quarantine, the market for metaverse content and cryptocurrency games grew. The market that exists now was sparked by large game publishers considering blockchain and NFT-based games for the future, even though Valve Corporation prohibited blockchain games from their platform in 2021.
Crypto Gaming: What Is It?
First, let’s go over the fundamentals of cryptocurrency gaming. Cryptocurrency, as you may already be aware, is virtual money that can be kept in digital wallets and that can be verified by anybody without the help of banks or other authorities. All transactions involving cryptocurrency are protected and verified by cryptography, which means that a robust encryption mechanism safeguards every transaction.
Digital ledgers that also employ encryption techniques to ensure security include the records of every cryptocurrency transaction.
The wallets used to hold bitcoin are called blockchain or crypto wallets, and in order to play a cryptocurrency game or transact with another business, you must link them. The most well-known wallets are those that are linked to the Internet, such as Coinbase, MetaMask, Exodus, and Guarda; they are referred to as “hot wallets.”