We all know that nowadays, it is possible to make money through video games. Professional gamers and even influencers generate thousands of dollars from their Twitch or YouTube streams.
However, did you know that this is not the only way? Thanks to the advent of NFTs, it is possible. Here is how NFT and video games work and why it is such a controversial topic for some gaming platforms.
What are NFT video games?
The first thing to mention is that NFTs are digital representations of goods. It is the equivalent of a digital “work of art,” which can be sold to those interested in owning it. If, for many people, video games are the seventh art, how do the two concepts go together?
Well, NFT games are based on blockchain technology. That is a system that allows validating each transaction in a decentralized way. In these cases, all players who participate have a share of profits. In other words, each video game creates its financial ecosystem.
This concept means that elements of every video game can be converted into real money. This is something that was historically forbidden for players but not for companies. Let’s take a clear example: FIFA, the most popular football video game of all time and has its transaction system.
How did traditional video game transactions work?
If you wanted to buy virtual coins to have better players, you had to buy them on the company’s official website. However, you cannot make that transaction directly with another person. In other words, EA Sports prohibits the trading of items in a decentralized way. Therefore, it can be said that this method is centralized since you can buy items with real money but always pay the company.
This is not the case with NFT video games. Here, a “Play to earn” system is incorporated, which involves spending hours in the game to earn income. It can even be an equivalent of a “video game job.” For example, a lot of money can be made by obtaining “tokenized” digital items. This is nothing more than an in-game NFT.
For this reason, some video game companies, such as Steam, have decided to ban these NFT video games. The explanation is that they focus more on profit than enjoyment, to the point of being a disguised employment relationship. However, some believe that they also do so because they challenge the traditional profit system.
Examples of NFT video games
If you want to try some NFT games, here are the most popular ones:
- Axie Infinity. Inspired by Pokémon, this is a management and strategy game with creatures called Axies. They fight each other and can be bought and sold as NFTs.
- CryptoBlades. This is a game where characters fight each other. You can also get item upgrades with NFTs.
- Wanaka Farm. A farm simulator. You must cultivate your land and raise your pets. You can upgrade your farm with NFTs from the game.
Undoubtedly, NFT video games are revolutionizing the industry. If you want to know more articles about this topic, we invite you to read more articles on our blog.