The gaming sector has immense potential for growth and is flourishing at a rapid momentum. Currently, China, South Korea, and Japan have the biggest online gaming reach among the population. By 2023, the gaming audience is projected to surpass 3 billion. The extension of technology into the gaming arena has changed the industry to a greater extent over time. The industry is already at the cusp of a paradigm shift with the web 3.0 evolution.
This is not it. The games market will continue to grow in the following years, exceeding $200 billion at the end of 2023. By then, we forecast the games market to grow with a +8.3% CAGR to $200.8 billion.
With gaming shifting from ‘free-to-play’ to ‘play-to-earn’, it is already changing the dynamics of the whole gaming industry. No wonder, the prospect of Web 3.0 is opening up a potpourri of possibilities in the gaming industry and that has motivated many experts to remain fully invested in the progress of Web 3.0 games.
Game-changing trends of the Web3 gaming industry
Web 3.0 is making the internet simple, open and decentralized, hence reshaping the gaming landscape and market. These variations are the end-product of contemporary developments in the sectors, including tokens, blockchain and AI.
Keeping the numbers and the buzz in mind, it is surely going to be an era of Web 3.0, where the players will have the means to pay for a premium asset they own and also sell this item to other gamers within the game or outside the Web3 game. In simpler terms, Web3 games are here to stay. Wondering why? Well, we’ll say, read on!
1- Ownership Centricity
With the majority of the Web3 games based on blockchain technology, you are bound to get the ownership of your assets even after the sale because it links them to players, not games.
For instance: In the game Axie Infinity, $AXS serves as legal tender in the Axie marketplace, where in-game assets may be purchased. Finally, $AXS acts as a work token in that it is spent, along with $SLP in order to breed new Axies. Breeding fees are currently 4 $AXS and are directed towards the treasury, which at some point will be governed by the community of $AXS holders.
This particular facet of the Web3 gaming industry protects investments and ensures fair play in gaming environments where developers can’t easily take advantage or exploit users’ card information since all transactions are transparent with blockchain-based systems.
The games of the Web3 arena enable ownership of in-game products, digital scarcity, and the digital marketplace, wherein each asset has a specific supply, and asset ownership will be completed through players after the sale.
2- Opportunity to earn income
A recent study has revealed that India has gained the top position in terms of adoption of Web3 gaming, with 34 percent having played P2E games, and 11 per cent willing to play them in future.
Another interesting fact has come into being with 38.1 percent of men being involved in P2E games in contrast to 29.2 percent women.
In today’s new era of Web3 gaming, players can put up personal funds on the marketplace if they decide to buy a particular item in order to sell it to fellow players within the game or outside it. The in-app purchases of the video games through in-game IAPs make over half of the gaming revenues. Although in-game assets are infinite in number and sold through the IAPs only, but despite paying for these assets, players do not have any ownership of these in-game assets in online games.
But, Web3 games have changed the narrative and now when a player buys an asset, the technology ties the asset to the player instead of the video game, protecting not only the financial resources of the players, but also the limited assets that they have on their accounts.
While this is just one feather on the hat of the Web3 games, it allows gamers to sell the digital items to others and store them outside the game.
And this is one of the primary reasons that a total of 41.7 percent of P2E gamers fall in the age group of 18-34, thus allowing them to earn a good side income.
In a nutshell, Web3 games provides the creative framework for the next generation of “play-to-earn” (P2E)
3- Ease of modification
Modifying games on Web 2.0 was a Herculean task as their creators always seemed to be reluctant to do so. Furthermore, any modifications usually undermine the terms of service, which could be why members were prohibited from making changes to the game.
Enters Web 3.0 – it encourages an open space and freedom when it comes to modifying the game. It allows gamers to introduce changes in the game to fit their needs.
‘Bundling, Unbundling and Rebundling’ forms the cornerstone of the interoperability aspect of Web3 games.
I only know how to make money by either bundling or unbundling, said James Barksdale, the CEO of Netscape. If it seems all Greek, read on the following example.
iTunes unbundled individual songs from the album. Then, Spotify came and rebundled songs into playlists. Today, almost all video games are a highly bundled experience; but in the Web3 gaming landscape, we’re going to witness some of this unbundled and rebundled.
Digital identity — how we express ourselves online — is becoming more important than it already is. Shifting our avatars with us from games to games depends on an interoperable framework. The players do not want to be stranded on an island, whether physical or digital/virtual. They need mobility and connectivity, which means that interoperability is vital if Web3 gaming platforms and the metaverse wants to gain mass adoption and become mainstream.
And Web3 games have been working in the same direction, enabling gamers to switch their digital assets easily in the form of NFTs- non fungible tokens which allow interactive communication between numerous games and sometimes, even outside applications.
As an overview, Web3 games are going to cover all of this: not just farming a game for currencies — but performance, competition, guiding, dungeon-mastering, level-designing, live roleplaying, creativity etc. Sooner, we will start to see a blurry difference between who is a player and who is a designer and explore new forms of bundling and unbundling.
5- Opportunity to be an early influencer
Influencers have made their way into the hearts of the audience. If you didn’t know that a term called ‘Web3 gaming influencer’ existed, then you must add it to your dictionary now. Gamers who adopt web 3.0 early enjoy a wide gamut of advantages over their late counterparts. Gamers who are transitioning to Web 3.0 today will have a huge impact and leave their legacy for future players in the new space. In simpler terms, Web3 games are opening up opportunities to earn a good source of income and networking for everyone, be it as an influencer, creator, developer or a player, aka becoming a boiling pot for more jobs.
To dive deep into the Web3 gaming influencers, check out the below-mentioned:
- ‘On Chain Gaming’ aka Jake is an investor, crypto enthusiast, science fiction fan, and gamer. He is well-versed with the ins and outs of the P2E world and with his in-depth technical analysis skills, he is a great fit for new gaming brands who want to put up detailed content about their project on the internet.
- Markiplier is run by Mark Fischbach. His channel is well-known for doing live charity broadcasts in which he collects money while playing video games. He’s currently a member of Polaris, a Maker Studios subnetwork. With almost 32 million subscribers on YouTube, he has become a brand of online gaming in the entire world. Partnering with him might not be a cakewalk, but definitely game-changing for a P2E project.
Web3 games have reshaped the gaming industry for the better, ensuring that the players enjoy an immersive experience with the power of interoperability. And, we at Rising Capital have always been in the support of game changers who have an appetite for bringing a revolutionary change into the gaming industry with the right flavours of Web3. So, if you are on a hunting spree for the right support for your startup, count on us here.