NFT Gamification is the Next Evolution for NFTs
Nonfungible tokens or simply NFTs are now a major phenomenon of our tech age. NFTs are permeating every platform and finding newer utility and value. They are constantly in flux bringing forth new opportunities and use cases. While earlier NFTs merely had a collectible value, newer NFTs are offering tiers of utility that add tangible value to the ecosystems where they are deployed.
In gaming, NFTs employ the play-to-earn paradigm where players earn some NFTs by playing games. There are iterations of this model that enable gamers to trade NFTs. They can buy or sell in-game NFTs or fulfill some tasks to earn cryptocurrency payouts.
NFT trading occurs in some of the well-known NFT marketplaces which are essentially blockchain marketplaces that work as auction houses for digital collectibles. These marketplaces use cryptocurrencies as the currency for trades.
The gamification of such NFTs adds to the richness of the experience and can serve several purposes. Gamification provides an opportunity for creators to monetize their work while also incentivizing players to earn cryptocurrencies when they play the games.
What is NFT Gamification?
Gamification is a new and fast-growing trend in the utilization of NFTs. To provide value and increase engagement with customers and users, many businesses and other players are embracing NFT gamification, that is, adding some game design concepts to the NFT assets such as images, videos, or NFT games. Gamification is being used by many brands to curtail customer attrition and increase customer engagement. These efforts are already paying dividends for some brands with many reporting increased engagement and conversions after adding gamification to their marketing campaigns.
Gamification of NFTs blends elements of gaming with blockchain technology. It requires considerable effort, involving the programming of the gaming resources as nonfungible tokens. Many gamers are already enthusiastically embracing NFTs, either as collectibles or tradeable assets. Gamification, therefore, ties in well to an already fast-developing market for NFTs.
How NFT Gamification Works
Playing NFT games is not equivalent to collecting crypto collectibles. In gamified experiences, the NFT is used for player engagement, in the rules of the games, or in the mechanism of the game. In a gamified collection, the NFT may, for instance, be used to represent a unique character in the game. The NFTs can also be incorporated into the digital items to be discovered in the game. Players who unearth these NFTs will benefit by trading them to other games or simply selling them in the NFT marketplaces to collectors. Players can also benefit from NFT games through the play-to-earn model that is widely being embraced by top NFT adopters. Developers must craft the smart contracts that will govern how the NFTs are to be produced, exchanged, or implemented in NFT games.
For instance, developers can craft the foundational contracts that will control the game and these contracts will define the random mechanics that will generate the new NFTs.
What are the Benefits of NFT Gamification?
There are many benefits that accrue from the gratifying NFTs. NFTs that have been integrated into conventional games open up lots of new possibilities for engagement, conversion, and monetization. Below, we outline some of the benefits of NFT gamification for both gamers and game creators.
Benefits of NFT Gamification for Players
Gamification was primarily created to target gamers and they have the most to benefit from the trend. Many players leverage the gamified NFT experiences to earn extra income. Here are the top benefits of NFT gamification for players:-
Gamification as an investment Opportunity
Gaming is a highly engaging and enjoyable activity but for most, it is time that goes down the drain as they do not earn from the engrossing and time-consuming. Through gamification, players are able to make productive use of their time by earning a tradeable asset while playing NFT games. The time spent playing these games becomes something of an investment as the collected assets can be traded for cryptocurrency.
Earn an Income
Gamification has evolved to a point where the money earned in some of the play-to-earn crypto games now rivals what one would earn doing a 9-to-5 normal job. There are NFT games where one can earn as much as $100 per day! Besides, if the asset is a lucrative one, you can rake in thousands of dollars every month selling collected NFTs. For many, NFT gamification is shaping up into a respectable income source.
NFT token ownership is registered on the blockchain such as in the Ethereum blockchain. Because an NFT is recorded on the blockchain and has an irrevocable digital certificate of ownership and authenticity, it is unique and immutable, and its ownership cannot, therefore, be duplicated or modified by third parties. The NFT code stored in the blockchain contains details such as the originator of the NFT and its history of ownership. When an NFT is transferred to a new owner, the record stays on the blockchain codebase, ensuring the ownership is 100% verifiable. It is therefore, practically, not possible for an imposter to appropriate the ownership of an NFT in the way real-life art and collectibles are often duplicated by art thieves and cons.
Collect Gaming Assets
In NFT gamification, the game NFTs are available as a collection. It’s a collector’s paradise with numerous lively, unique and stunning game assets to discover and collect.
Protective Environment for Players
NFT gamification gives players high-level protection and stability in the gaming environment. The blockchain-based ecosystem, in itself, includes various safeguards for the gamers’ wallets. It provides an indestructible layer of protection that gives players the confidence that their digital assets and collectibles are sufficiently protected.
Benefits of NFT Gamification for Game Owners
NFT gamification involves considerable investment on part of game developers. Here are some of the benefits that developers can derive from this effort: –
Venture Funding Opportunities
Investors are increasingly pouring money into the blockchain and the crypto markets and NFT gamification presents a good value proposition for such investors thanks to its monetizable potential. Developing blockchain-based games is, thus, a great way to attract venture capital from investors eyeing this market segment. The World Economic Forum estimates that investors poured over $50 billion into blockchain-based solutions and startups between 2021 and 2022.
Boost the Growth of Existing Gaming Solutions
NFT gamification can have a ripple effect on the existing gaming solutions. Not only does it create new revenue-generating opportunities but it is also a way to attract new users into your platform. Besides, a game’s rating improves when you ramp up its user numbers. NFT gamification is a great way to get more users to register and play your games more frequently. Incorporating NFT game creation into your existing games and products creates an appealing alternative for users and incentivizes their play times.
Earn Transaction Fees
Whenever NFT tokens are exchanged or sold between users, owners of the NFT can charge transaction fees via the intermediary wallet, the exchange, or as a direct fee. In vibrant platforms with lots of users, the transaction value can amount to millions of dollars thereby generating considerable transaction fees for the game developer.
Mergers and Takeovers
NFT gamification is creating a flurry of mergers and takeovers as established players seek to stem the ascendance of new players with innovative solutions in the gaming market. For budding game developers active in the NFT space, this might create a dream exit as they sell their companies to bigger and more established players for millions of dollars.
Earnings from App Stores
For premium apps, game developers will receive a cut of the download charge when a certain threshold of app downloads is reached in either App Store or Play Store. With every new download, the company’s income rises. Game developers can also generate income from in-app purchases which can turn into a steady income stream. During the festive seasons, game owners can take advantage of seasonal discounts and special events to ramp up their incomes.
NFT Gamification is Already Having an Impact on the Gaming Industry
NFTs and the general blockchain ecosystem are gradually transforming the gaming industry. NFT gaming is serving as the bridge between the traditional gaming world and the crypto market segment. NFT gamification has the potential to disrupt conventional gaming in the coming years as the industry continues to undergo tremendous growth.
NFT gaming is adding interoperability to the gaming ecosystem. Blockchain-based games enable gamers to leverage their individual gaming assets in multiple games. The importance of this will be more apparent as the metaverse takes shape and where players and users, in general, have to interact across platforms.
Traditional gamers can stake nonfungible tokens and get handsome payouts. Players must generally make an initial deposit first to earn big staking rewards.
NFT gamification offers great potential to radically improve the dynamics of gaming. The proof of ownership and scarcity in NFTs lend themselves easily to the in-game economics and in-game merchandise, unlocking the monetization potential in games. Beyond their economic value, NFTs can also be implemented in other creative ways to enhance the nature of the game.
They allow for the creation of new game types within preexisting game categories. Their blockchain-based properties and the accompanying advantages add to the value exchange in the gaming industry. Millions of dollars are already being generated from gaming systems and blockchain-based marketing and branding initiatives thanks to NFT gamification. It’s no wonder that many brands are now rushing to take advantage of this new gold rush.https://virtualrealitytimes.com/2023/01/13/nft-gamification-is-the-next-evolution-for-nfts/https://virtualrealitytimes.com/wp-content/uploads/2022/09/Doodles-NFT-600x389.pnghttps://virtualrealitytimes.com/wp-content/uploads/2022/09/Doodles-NFT-150x90.pngMetaverseTechnologyNonfungible tokens or simply NFTs are now a major phenomenon of our tech age. NFTs are permeating every platform and finding newer utility and value. They are constantly in flux bringing forth new opportunities and use cases. While earlier NFTs merely had a collectible value, newer NFTs are offering...Rob GrantRob Grant[email protected]AuthorVirtual Reality Times