What Is NFT in Gaming?
Updated · Jun 09, 2022
How does NFT work? That's a question many people are asking as this new form of a digital asset begins to make waves in the gaming industry.
Simply put, NFTs are a unique type of cryptocurrency that can't be replicated. They're often used in games to represent rare or one-of-a-kind items.
Below, we'll discuss what NFTs are in more detail and their application in games.
We'll also look at the most popular titles which offer NFTs and everything about their gameplay and earning mechanics.
Let's get started!
What Does NFT Stand For?
NFT, or "non-fungible token," is a type of digital asset that's unique and can't be interchanged. NFTs are stored on a blockchain, similar to cryptocurrency.
However, unlike crypto, NFTs may represent anything from art and music to virtual worlds. They have surged in popularity in recent months as they provide a way for creators to sell their work without giving up ownership.
For example, an artist could sell an NFT blockchain version of their artwork for crypto or other currencies. The buyer would then own the digital file, and the artist would retain the copyright.
This model has led to a boom of NFTs, with some pieces selling for millions of dollars.
While the long-term value of NFTs is still uncertain, they've become a hot topic in the digital world.
What Is NFT in Gaming?
Recently, the gaming industry has also seen the rise of NFTs.
Unlike traditional in-game items, which are interchangeable and can be bought and sold on secondary markets, NFTs are unique and can't be duplicated or traded.
Instead, they exist as digital collectibles that represent ownership of virtual items, such as characters and even game worlds.
While this application and meaning of NFTs for gaming is still relatively new, there are already a number of high-profile platforms that experiment with this exciting technology.
For example, the popular online game Cryptokitties allows players to breed, trade, and collect virtual cats, each represented by an NFT.
Similarly, in the blockchain-based game Decentraland, you can purchase land and build virtual experiences anchored to specific locations within the game's digital world.
With their ability to create unique experiences and foster true ownership over digital assets, NFTs will likely continue to gain popularity in the gaming industry in the years to come.
How to Make Money with NFT Games?
Games with NFT offer a new and exciting way to earn some cash online. They work by a play-to-earn principle or in-game purchases.
Namely, many games feature in-game currency that can be used to purchase items or unlock new content. In others, you can gain real-world money by selling virtual goods or completing tasks.
Some titles are even suitable for hyper-casual gamers as they don't incorporate complex mechanics.
However, a new NFT meaning in gaming has emerged, offering players the opportunity to gain cash by playing the game itself.
These games, known as play-to-earn or P2E, use blockchain technology to reward players with cryptocurrency for their achievements within the game. The most popular genre of P2E is the collectible card game (CCG).
As the name suggests, in a CCG, players collect and trade digital cards stored on the blockchain. Each card is unique and can be sold on online marketplaces.
The popularity of CCGs non-fungible token games has led to the development of several highly popular titles, such as Gods Unchained and Splinterlands.
Additionally, there are also a number of other genres of play-to-earn games, including first-person shooters, role-play, and strategy.
While these games are still in their infancy, they hold great promise for the industry's future.
Are NFT Video Games Safe?
While some people consider NFT-based games revolutionary, many have raised questions about their safety. The major concern is that NFTs can be hacked or stolen just like any other digital asset.
Additionally, there's no guarantee that an NFT will retain its value over time, leading to financial losses for owners. Despite these risks, people continue to play and invest in NFT-based characters and games.
While there's no foolproof way to protect oneself from everything, understanding the risks involved is an essential first step.
Other negative aspects of NFT transactions are ecological due to the required energy.
Which Are the Most Profitable NFT Games?
We've mentioned some of the most popular titles above, but they are definitely worth revisiting:
- Axie Infinity
- Gods Unchained
- The Sandbox 3D
- Alien Worlds
- Battle Racers
In Axie Infinity, players can collect, train, and battle digital creatures known as Axies. The game features a robust economy where players earn rewards for completing tasks and selling virtual goods.
Gods Unchained and Splinterlands, on the other hand, are collectible card games that allow players to gain cryptocurrency.
As for The Sandbox 3D, it's a virtual world where you can create, own, and monetize their content and experiences.
Alien Worlds is another one of the exciting decentralized games. In this one you can get crypto by staking on planet governance.
As the name gives away, Battle Racers is a racing game in which players earn by winning races.
And, finally, in Sorare, you have to manage a fantasy football team.
These are only some of the most popular and profitable NFT games today.
With the rapid growth of the NFT market, many new titles are sure to emerge in the near future.
Will NFT Change Gaming As We Know It?
The short answer is that we don't know yet. NFTs are still in their infancy, and it'll take some time to see how they'll impact the gaming industry.
However, there's no doubt they have the potential to change the way we think about games and game development.
With NFT in games, developers can create titles that are more digital art than the traditional medium.
NFTs can lead to the establishment of new business models, such as subscription-based or pay-to-play.
Ultimately, only time will tell how NFTs will impact the gaming industry. For now, we can only wait and see how this new technology will change the way we play games.
To Wrap Up
Now that you know what NFT in gaming is, you are aware this new and exciting technology has the potential to revolutionize the gaming industry.
While some risks are involved, many people believe that the benefits outweigh the potential dangers.
It'll take a while to figure out the way NFTs will influence the gaming industry, but one thing is for sure: they're here to stay.
With charmingly infectious enthusiasm, Marina is always thrilled by forthcoming challenges. Thanks to her knack for gathering useful (and not so much) information, she is here to get you any answer you need.