Video game companies are integrating cryptocurrencies with their games to reap the benefits of digital money as well as the blockchain technology on which it runs. The following are some of the benefits that cryptocurrency and blockchain bring to the video gaming industry.
- In-game transactions:
Earlier, the gamers paid a fixed fee to buy a video game. Games now incorporate in-game cryptocurrency transactions where gamers pay in cryptocurrency for skins, weapons, etc., the gamers can also earn in-game cryptocurrency by either completing a level or some other objective. These are microtransactions. In traditional banking systems, the gaming companies would have to pay transaction fees, but as blockchain is a Peer to Peer system, no such fees are required to be paid. It also reduces the cost of transactions. Credit cards would not even allow such small transactions. Thus, in-game monetary transactions owe their rise to cryptocurrencies.
Fortnite, Dungeon Fighter, and Pokémon GO are some of the major free-to-play games.
- Verifying accounts:
Blockchain is a distributed ledger with multiple points of validation for each transaction. It is considered a very secure technology. Thus, it can hold the digital wallets of players securely. Blockchain is very difficult to hack; hence, information relating to a player cannot be accessed by other people. It also securely stores the record of players’ in-game purchases. Blockchain is a peer to peer platform which allows players in multi-user games to buy things from each other.
- Ease of transactions:
More and more users are buying games digitally. The conversion between fiat currencies is time-consuming and may make the game too costly for the user. Also, the cost of the transaction is more. As cryptocurrencies have the same value across the world, a user who has, say 10 BTC can buy a game for 10 BTC from another country without having to shell out extra currency either fiat or digital. Thus, a player in Africa can play Bitcoin games in an online casino based in Europe.
Thus, the coming days will witness even greater integration of Cryptocurrency and blockchain technology with video gaming industries.