2023: The Rise of Web 3 Gaming and NFTs – Opportunities and Challenges
2022 was a difficult year for crypto, given the crypto winter that wiped $60 billion out of the entire sector. However, we saw some gaming trends, such as GameFi, which offers games in the NFT and Crypto sectors.
They did receive a lot of criticism for not using money as an incentive. A good game attracts people based on rewards and in-game benefits. This year I have a strong feeling about Web 3 gaming that will use NFTs as a centerpiece.
The NFT industry is evolving daily despite ongoing challenges in the cryptocurrency sector. Blockchain gaming and Non-fungible tokens will provide the ultimate Web 3 gaming experience. Here is why Web 3 gaming will trend in 2023.
Web 3 Gaming Investments Hit New Highs in 2023.
Last year, despite the harsh crypto climate, saw many investments in the Web 3 gaming sector. According to statistics from Footprint Analytics, 2022 saw over $7 billion invested in Web 3 gaming, with investors optimistic about the prospects.
This number means that in 2023, many games will pop up with new gaming infrastructure that combines NFTs, crypto, and blockchain to entice new audiences. Many big investors in the industry are already preparing successive rounds of investment in Web 3 gaming and are keeping them aside from their crypto investments.
That is because gaming has always been a big industry, and lagging in the Web 3 sector has been due to problems, including fraud and numerous scams and hacks.
Tech Giants Are Joining the Race
Many tech giants are joining the space, the most notable being Epic Games, which launched the first NFT-powered game, Blankos Block Party. Moreover, other players are showing interest and starting development in the sector, with Facebook, Apple, and Microsoft all taking a keen interest in the NFT gaming sector.
There is Active Implementation of NFTs in Games
Earning money in games can be good, but it drops the engagement of people who see it as a gamble. On the other hand, the integration of NFTs into games provides more engagement and makes games interesting.
Moreover, the NFT industry needs more practical uses of the assets. Games provide a perfect way to utilize NFTs and create an enticing gaming atmosphere. Creators of Metaverses are already in the sector, with companies such as Treeverse offering in-game benefits from NFTs.
NFT Applications in Web 3 Gaming are Limitless
NFTs have numerous applications that will make games more interesting. Aside from avatars, games can use NFTs by incorporating them as in-game items or assets. These NFTs can represent unique in-game items such as weapons, armor, or vehicles.
These items can be bought, sold, and traded on the blockchain, allowing players to own and control their in-game assets. Additionally, NFTs can represent in-game currency, allowing players to trade and exchange value within the game.
This ability can create a secondary market for in-game items, giving players more incentive to engage with the game and potentially increasing revenue.
The Potential Downside
NFTs in gaming have potential downsides to consider. One potential issue is the high cost of purchasing NFTs, which could exclude certain players from participating in certain aspects of the game.
Another potential concern is the potential for fraud and scams in the secondary market for NFTs. Additionally, the lack of regulation in the NFT market could lead to issues with ownership and transfer of assets. Therefore, game developers need to consider these potential downsides and work to mitigate them while implementing NFTs in their games.
