Why Play to Earn Games Changing the Gaming Industry

Video game sales have gone up a lot since COVID hit, and they're on track to make $180 billion in revenue by 2021. At the same time, there are problems, and the industry is also open to change. Blockchain games with play-to-win features and NFTs are going to change the world.

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Current Challenges facing the Gaming Industry

Many popular and profitable business models in video games are mainly based on traditional models like pay-to-play and free-to-play and new ones like season passes and downloadable content (DLCs). However, all of them have their drawbacks, so it's hard to say which is better.

The traditional model - "Pay-to-Play" and DLCs

The pay-to-play model gives you a more immersive gaming experience, but there's a barrier to getting started. You need to spend money to buy the game, and in some cases, you might need to buy a high-end gaming console or PC to run the game smoothly, which costs money.

You get more missions, characters, and other things if you buy a season pass or DLC after the game is out. People have used this to make bad products and then try to fix them over time with different patches. If you want to play the full game, you might have to buy extra DLCs or a season pass, which means you'll have to pay more money.

The "Free-to-Play" model and micro-transactions

Games like League of Legends and Fortnite have become more popular recently because they are free to play. This is especially true for mobile games, where gamers get to play the whole game for free. However, there are also ads and "microtransactions" that help game studios make money. An ad comes up every 10 seconds, which is a lot to deal with!

To get gamers to spend money, some game studios make the balance of gameplay shift toward features that can be bought with small sums of money, like better items with better stats. You can't just play a game and get better at it without spending money. It is called "pay-to-win," and it's annoying for gamers who don't want to spend money to get better faster. If you're good at games like Starcraft or League of Legends, you'll win because they're all about skill.

Building a Career in Gaming

It's hard for the average gamer to make a living in gaming. As a good gamer, you can become a professional and be part of an e-sports team. People who are good enough to be a professional aren't very many, and the career of a professional is usually short.

Gamers can also think about making their content on platforms like YouTube, Bilibili, or Twitch, where they can earn money from subscriptions or get sponsorship deals. You'll have to start putting yourself out there and "whale" on games to cover all the content. It also takes time to build up a following before making money.

When you don't use these business models to play games, you have to be at the mercy of game publishers. The game publisher owns these in-game skins, characters, and items. They can take them away or even ban or close your account. Game publishers also have very strict rules about trading in-game characters and items because they want as many people as possible to buy their games or buy items from them.

What is Play to earn NFT games?

Play to earn is just like it sounds: you play a game to get money, in this case, crypto. Changing the focus of video games from pay-to-play or win money to play and earn money is a new twist on the genre.

NFTs (Non-fungible tokens) are digital tokens that can't be bought or sold. They show who owns things on the Internet, like art, music, and memes. NFTs can be characters, skins, weapons, and other things in games.

So, Play to earn NFT games let people make money while owning their characters and in-game items. It means that people can make money while playing and still own their characters and items.

How do Play to earn NFT games solve the current problems in the gaming industry?

Some of the problems with traditional gaming get solved by using the P2E model. The game itself is usually "free," You have to be good at the game to earn and spend money, so this model solves some of them. The more crypto you earn, the more money you can spend to improve your character in the game. Whales will always be around, but now you can fight them with the crypto you earned by playing the game.

A new type of game called P2E games gives gamers another way to make extra money if they aren't interested in playing games or streaming them. You might have to spend money in the beginning, but if you play a lot, the money will come back and more. This is especially important in countries where P2E games make more money than the minimum wage so that it can help. There is no need to believe me! A 22-year-old used the money he earned playing Axie Infinity to buy two homes. In and of itself, this is a game-changer.

NFTs can help with ownership problems. No one can shut down your account in most P2E games. When you play a P2E game, you can sell your character to other players, trade it, or even let them borrow your character for crypto. Because it's used for everything in the game, the in-game currency is very valuable because it's so important. In a P2E game, players can sell in-game crypto for cash, another way to make money. This is the best part.

What needs to happen for Play to earn games to become mainstream?

Still, P2E games need time to grow. There are some restrictions right now.

The first thing that comes to mind is how difficult it is to set it up. You can make a play-to-win game's profile very quickly. But setting up your crypto wallet is the most difficult part of the whole process. You might need to buy some ETH or a character in the game to start playing, which comes with many gas costs. This makes the games a little hard for the average gamer who hasn't used crypto before.

There's also the fact that most games are built on the Ethereum blockchain, which has become very busy. The game can slow down as a result. As a good thing, developers are working on scaling solutions so that gamers can enjoy their games more smoothly.

Because P2E games still have simple gameplay and graphics, this is another thing to keep in mind. We haven't seen a big game like GTA V in crypto that is smooth to play and has great graphics. This shows that we're already up. But the start looks good. Many people play games all over the world, but only a very small number of them play games on the blockchain. It means that there is a lot of room to grow.

Some game studios, like Steam, have banned crypto and NFT games. Other game studios don't. Somebody who works for the game company EA says that NFTs are the game industry's future. It shows that game studios are paying attention to the space. The next step would be for big studios like EA to make their own play-to-earn NFT games or add that functionality to their current games.

Another thing that will help more people play play-to-earn NFT games is to make it easier to get started. Axie Infinity is the most popular game right now, but other games are also popular. It's possible to play, but before you can do that, you'll need to buy three Axies, which costs at least a few hundred dollars. Most gamers can't afford that much money for a game. P2E games have a very high start-up cost, which has led to a new market called scholarships. For example, a popular P2E gaming guild called Yield Guild Games (YGG) gives scholarships to people who want to play the game but can't afford to buy a ticket.

Here's how it works:

Early gamers can still benefit from the game expansion even if they don't play it. Newer gamers don't have to spend a lot of money to get into the game, which is good for both groups. They may one day have enough money to buy their characters.

Conclusion

There may be a lot of play-to-win NFT games in the future. This is just the beginning. Games like Axie Infinity have already shown that you can make money just by playing games, and this is just the start.

As of right now, there are about 3 billion gamers in the world, but only a small percentage of them have heard of crypto, let alone play-to-win NFT games, so the future looks bright. If you do not want to play, you can also become an entrepreneur by developing a Play To Earn NFT Game by any reputable P2E platform development company.