How Gaming Companies Can Benefit From Blockchain Technology

 
With over two billion players all over the world, gaming is becoming a compelling blockchain.

Integration of cryptocurrencies and exclusive non-fungible tokens (NFTs) have revolutionized the Blockchain and brought unlimited possibilities to this multi-million dollar industry.

In contrast to other online games from mobile game app development companies that operate on a central model, Blockchain operates on an uncentralized model, which makes its ecosystem transparent and borderless.

It's no wonder that blockchain games are attracting the attention of millions of gamers and investors across the globe.

Let's begin.

Blockchain in Gaming: An Overview

A blockchain is a collection of data blocks within the network. The greatest benefit of it is that it cannot be moved or altered. It remains open to all. This system is a great opportunity to keep an entire record of all the events that took place through the network.

Blockchain gaming is games that use blockchain-based frameworks or are integrated using blockchain technologies.

From a market that was zero value a few years earlier, gaming on Blockchain surpassed 3 billion dollars at the end of 2021. This number is predicted to grow by 39.7 billion dollars in 2025.

The fusion of two worlds: gaming and Blockchain, has led to numerous opportunities for the gaming industry.

In the beginning, the game offers digital assets for its players. These assets are valuable even outside of gaming. In conjunction with cryptocurrency and NFTs, Blockchain is used to buy assets in the game that can be traded for cryptocurrency and real-world money.

When the player earns the NFT prize, they acquire all ownership rights to these assets. These assets can be traded or sold within and outside of the game.

A survey conducted by members of the Blockchain Game Alliance (BGA) from top game development companies group in September 2021 shows that an 85percent of survey participants said that asset ownership is the biggest benefit of blockchain-based games. This contrasts with the traditional model of gaming that is centralized, which strictly prohibits the selling of game assets on marketplaces outside the game.

According to this study, the emerging revenue structures (74 percent) and reward-based player models (71 percent) came in at the second and third spots on the list of top advantages of blockchain gaming.

In contrast to traditional games, which are extremely central, which means that the game creators are the sole owners of all currency and assets, Blockchain-based games have no centralization. This signifies that the games aren't controlled or owned in any way by any authority central to them but rather by all who have digital games and assets (players, in this case).

More Read About 7 Easy Stages Of Game Development

How Blockchain is Transforming the Gaming Industry

The gaming industry and player best mobile game companies developers typically face difficulties that can be seen in the form of high costs, unreliable data central surveillance, fraudulent activities, and concealed costs.

However, Blockchain can resolve several of these issues. This is how it's happening.

Safe & Secure Environment For Game Developers and Entrepreneurs

Blockchain platforms utilize advanced encryption techniques for data like the private-public secret key to secure cryptocurrency transactions. With the technology we're now using, it's virtually impossible to break the encryption methods used to protect data - thus making them secure.

In addition, hackers will only be able to degrade a blockchain that is decentralized if there's one server to beat.

Blockchain networks rely on 'Proof of Work' (POW) or other consensus algorithms to ensure the network remains safe. This means that hackers aren't able to erase or alter the existing network's transaction history on the Blockchain.

If you are an entrepreneur or game designer of gaming development companies, you will benefit from an environment that is secure when you develop your game using Blockchain.

Cost-effective Payment Processing

Gaming is a popular industry throughout the globe. International players compete against each other in games.

In most online games, players must pay high fees for online gaming through mobile game app development companies. Furthermore, while players can use fiat currencies, transactions do not come at a cost.

Also, a solution for how to transfer their assets and not need days to process payments was necessary. Blockchain allows instant payment across the globe - with no limitations.

With Blockchain, players can eliminate their credit or debit cards. However large or how small a transaction is, Blockchain provides an alternative to centralized payment. It is only possible for fraudsters to take data and alter transactions.

Minimize Fraudulent Activities

The gaming industry takes the greatest burden in online fraud. Hackers are becoming more adept at exploiting vulnerabilities on the technical side. Therefore, the industry continuously explores ways to cut the company's money.

Blockchain will eliminate all possibilities of fraud and help make billions.

If you create a game based on Blockchain top game development companies,, create your smart contracts properly. Also, a fully transparent ledger for all transactions helps ensure that there is no fraud when playing blockchain games.

Players Get to Own The In-game Assets Truly

In contrast to non-blockchain games, in which you don't own the purchases you make in the game, one of the main advantages of playing blockchain games is that the players own their own assets. The game that is based on Blockchain uses intelligent contracts to manage transactions, which makes an enormous difference.

Smart contracts run instantly when the conditions they encode are met, and the result is irrevocable. So, all game assets purchased by smart contract users are recorded and transferred to their official addresses. Smart contracts allow for total transparency, and each participant can see the rules.

The decentralized Blockchain stores the smart contract execution results, which remain unchangeable. A central agent is not able to change the public address at which the assets are kept. Also, no one is able to change the ownership of any game of best mobile game companies assets.

Safety and Security of Gaming Items Storage

If you ask a hacker, they'll tell you they're crazy about central servers!

They are easily compromised, and they are just one target to them. Once they crack through the security, all information stored in them could become theirs.

Blockchain technology, however, is able to transform the way that it works. The players can keep their collectibles safely in their cryptocurrency accounts when they buy digital objects in games that utilize blockchain technology.

Cut Down The Price of Gaming Assets

The price increase of gaming products can reduce the number of players available to game makers. Price is the primary reason gamers seek out games that are stolen on the market for digital items.

Blockchain, however, offers the advantage of micro-transactions that are affordable. It allows developers to market their power-ups for a low price without losing any profits. Additionally, players have the ability to control the amount they're willing to spend on online games.

Critical Challenges of Blockchain in Gaming

Although there's a worldwide rise in the use of blockchain-based games, development from gaming development companies could be improved by numerous obstacles. A lot of these issues were only considered after their emergence. However, thanks to advances in technology, there's hope.

Some of the most important problems are:

Limited Awareness

There needs to be more general awareness of blockchain or NFT technologies. While many people have heard about these technologies, they view them to be merely buzzwords. This is why games that are based on Blockchain and their distinctive advantages don't get them they deserve.

More Read About Mobile Game Development Process — An In-depth Overview