Tokens and Blockchain in Gaming — Founder’s Insight
The well-known imbalance in the gaming industry translates real-life achievements into gaming benefits; however, in-game benefits are unrealizable in real life. Consequently, the desire to level the playing field inspired a secondary market where gamers compensate for their vanishing benefits by exchanging in-game items and currency for cash. However, despite the proper purpose, these secondary markets have quite a few issues need to be solved, including inflated prices and frequent scams.
Blockchain technology can change this situation in a simple manner. By turning in-game items and currency into unique crypto assets. These assets can be owned just like real-life items. The significance of tokens and blockchain in the game industry will have a huge impact on the game itself, game players, game developers, and the entire industry, total six main perspectives:
The Game Itself
Question: 1. What is the difference between traditional games and blockchain games? Is Token necessary to the game?
- In Traditional games:
- Game developing companies are the determinators for game rules set-up and modification. They are the “God” in the gaming world;
- Players’ game accounts are tied to the servers of certain game developing companies, therefore, they are not transferable;
- The game props. are tied to the game account and they are not transferable as well;
- Props. and virtual assets may be inflated and depreciated due to developing companies’ unlimited distribution.
- In Blockchain games:
- Game rules are open and fair, also written in smart contracts. Developers can’t change it either;
- The game accounts and virtual assets are owned and transferred by the players;
- Game virtual assets could be set up to a limited number by using smart contract. Therefore, to hold the value of the players’ virtual assets.
For games using blockchain technology, Token would guarantee that there are no counterfeit game assets. Virtual assets can be transferred and traded through Token as well. In a word, the value of game virtual assets will get even closer to real assets.
Question: 2. How will the blockchain technology be applied to the game?
Regardless of R&D, business planning, or the industrial chain, blockchain games are a novel development, still in their infancy stage. As many beginning and promising endeavors, blockchain games currently contain quite a few imperfections and uncertainties.
However, each new technology will undergo a lifecycle process that will propel their development from infancy to popularity. Just as we have seen in Flash web games and the HTML5, we have all experienced the process of developing simple mini-games to high-quality games.
In the development of blockchain games, we think there are four possible steps:
- Utilize Token as Payment Method;
- Trade and store in-game virtual items by using blockchain technology;
- Write the core game rules with smart contracts;
- Run the game logic on chain or even store the game resources on chain.
I think it needs to include the first 3 items to be called a “blockchain game”.
Question: 3. What is the difference between a blockchain game player and a traditional game player?
At present, blockchain game players are more like blockchain users or Token investors. They have a few common attributes:
- Comparing to the traditional players, blockchain players have more incentive to find token-involved games asides daily exchange trades;
- It will be much easier to attract blockchain users with the blockchain game format, even for unaccustomed gamers. At the same time we need notice that very complex games maybe not suitable for such newcomers;
- Many blockchain games have high Average Revenue Per Paying User (ARPPU);
- Blockchain users normally are highly involved in communities. Developers can create more social interactive games for these users to spread out the game. The “click-to-play” feature of HTML5 technology is very much in line with this group of users;
- Blockchain users come from all over the world. The games developed for them are natural products of globalization.
To turn traditional game players into blockchain game players, we still need to:
- Let them understand what blockchain and Token are;
- Optimize the operability of the digital wallet to make Token’s payment as convenient as the traditional way;
- Educate them to understand the advantages of blockchain-based games: game rules are fair, and the game virtual assets are value-preserving, even value-added, etc.
Question: 4. How to combine Token and Blockchain with games? How does a developer design a game which is suitable for blockchain?
- Customize the game play for blockchain players;
- Design the game’s numerical value and economic system according to the unique characteristics of the props and virtual assets in the blockchain game;
- Back to the basis of the game play. For example, soccer and basketball, just like blockchain games, are typical decentralized games. The rules are fixed, and the games are still so popular and have numerous loyal players generations after generations;
- The game profit model should not be merely a simple prop. sale. We should focus on the player community. Developers can make profits by organizing game activities, such as the soccer organizers in real life.
Game Developing Company
Question: 5. How to motivate developers to develop blockchain games actively?
We need more creative game developing companies, and to generate more game content. DApp is the ultimate format to showcase blockchain technology, gain users, create value, and promote the development of the entire industry.
- Educate developers to switch to blockchain games and let them understand the future value of blockchain games;
- Provide simple tools, an easy SDK, allowing developers to develop blockchain-based games under existing knowledge systems rapidly . This is also the goal and mission of Egretia. We would accomplish a combination of our integration of HTML5 which has been developed and improved for four years with blockchain technology together;
- We’ll provide developers with services and support beyond the game development tools. For example, supplying DApp store for blockchain games, so that operators would share less revenue, meanwhile developers can obtain more revenue.
Question: 6. How do we promote the development of Token Ecosystem in the game industry?
Again, blockchain games are in the early stages at present, and the corresponding industrial chain is not mature.
In addition to bringing the existing 200,000 developers into the blockchain, we will also commit to create related platforms and services to develop a procyclical token ecosystem.
- For players, Egretia will provide a decentralized virtual assets trading platform, which will encourage players to be more active and preserve the virtual assets;
- For developers, Egretia will provide a blockchain game distribution center, let developers’ products get more users, meanwhile, let players discover more high-quality games;
- Egretia will also provide a Token-based advertising system. Developers can get more players. Players can also get Token rewards by clicking on advertisements;
- The game crowdfunding platform and incubator Egretia builds on Token mechanism will allow players to participate in the game development and create truly fun games.
The shift from console to digital a decade ago, paved the road for gamers to access a world of free games. We view the blockchain shift heading in the same direction. Blockchain can empower gamers to truly own their digital property and facilitate actual transparency within the gaming industry; for example, esports and gambling. Accordingly, through these liberties, blockchain innovations possess the potential to transform gaming as we know it again.