By Kameshwaran Elangovan
NFTs have presented themselves to be one of the most practical manifestations of the decentralized distributed digital ledger called the blockchain. With NFTs, it was now possible to converge the authenticity of the traditional world and the versatility of the digital world… Something that the entire world has been looking forward to ever since the advent of the Internet.
It is not a thing of surprise that NFTs are the epicenters of the latest version of the web endearingly called Web3.
NFTs have made an unmissable impact in the world of digital collectibles and games. It is quite known that digital arts as NFTs were purchased for close to $70 million in auctions, and some images of primates and pixelated aliens have skyrocketed in their monetary value. While all these might have served as booster rockets for the elevation of NFTs, the real utility of NFTs has been unleashed in two major avenues, both of which have established themselves as the top of the totem pole in the digital space: metaverses and games!
Games have always presented themselves as engaging and entertaining spaces for a lot of people. It would not be an exaggeration to say that games have evolved drastically and significantly over the past couple of decades, thanks to the rapid improvements in hardware and connectivity.
The world of games, however, was plagued by one minor-yet-noticeable shortcoming. While people could purchase assets within the games, the validity and longevity of such assets were limited and confined. It also meant that if the game creator decided to pull the plug on the game, the assets would not be of any value.
Making gaming assets into NFTs gives these games the much-needed silver bullet that would catalyze their growth. It is not surprising to see that a lot of traditional games have explored the idea of making their endgame assets into NFTs.
Since NFTs, through their inherent immutability, have made it possible for digital entities to establish that identity without any compromise, it was now possible to create completely digital universes where one can exist in their unmistakable digital individuality. This possibility has opened up the floodgates to create multiple such digital worlds calls metaverses.
Metaverses have opened up a plethora of opportunities for games, celebrities, governing bodies, brands, and even governments to come up with digital worlds that enable personalized interaction, exclusivity, and experiences.
Even renowned brands that have always stuck to traditional means of marketing and branding have, without hesitation, ventured into the metaverse… Simply because they understand that metaverses do not, in any way, compromise on the exclusivity and the premium feel that the brand has always been known for.
Combining games and metaverses
Let us all admit this simple fact that we have always taken for granted. We have always loved sporting tournaments and leagues more than isolated games between two teams. The adrenaline rush, the story, the competition, and the thrill of watching the game becomes a lot more intense when there is a story or drama involved around the game.
Come to think of it, games have also progressed in a congruent direction. Games that had just a single competition mode or at the max, a connected competition with another player, have now evolved to accommodate multiple players, different gaming arenas, levels to unlock with every game, possibilities to purchase game upgrades and visual elements, and a lot more.
Combining the growth of games with the possibilities in the metaverse, it is quite obvious that the metaverse will be one of the greatest catalysts for the growth of Web3 games.
How would this symbiosis work?
• Metaverses will give games a more holistic arena for people to participate in. This will diversify the extent and intensity of engagement that people have with the game. This also means that the gaming ecosystem will not only consist of gamers but different categories of people… Something that was unheard of until now.
• Both metaverses and games have the capacity to attract a lot of audiences because of the immersive experiences they offer. Since you can expect an engaged crowd, gaming metaverses will also become advertising spaces. Expanding this, you can even consider selling out digital spaces as tradable entities (in essence, NFTs), making your gaming world more monetizable than just the gaming assets and accessories.
• A lot of brands, especially the ones that look forward to connecting and engaging with the Gen-Z crowd, will have a perfect space to promote their brand. This opens up the chances of the gaming ecosystem becoming almost equivalent to how real-world games work… Something that all digital endeavors have been attempting to achieve.
• We can expect brands to create their own games as much as we can expect games that will attract brands, giving rise to robust and well-engaged space for engagement, advertising, and a lot more.
• Needless to say, metaverse games that have Gaming assets as NFTs and run on the blockchain have possibilities to open up P2E avenues. We have seen Web3 games uplift the standards of living of people in Vietnam, Thailand, and Cambodia. Web3 games built around holistic metaverses will create new economies and earning opportunities.
The convergence of metaverses and games could be the combination that NFTs needed to exponentially grow. With gaming expected to have more than 3 billion users by 2027 and the metaverse market to be valued at over $27 billion in the same year, there is no question about the fact that metaverses will surely contribute to the growth of Web3 games. The advantages of the metaverse and Web3 simply, and by a considerable magnitude, outweigh the benefits that the current gaming system has. While there could be impedance and inertia, technology across the ages past has only thought that people will slowly but surely adapt to the good!
The author is co-founder and COO, GuardianLink