One of the most exciting applications of blockchain in the modern world can be seen in the gaming sector. Sure, blockchain can help us send money, transfer assets, and records data, but it can also make gaming much more exciting.
Because of this, we have seen an influx of many more blockchain-based gaming offerings. Among these are NFT games, metaverse games, and so on. But amidst these discussions, the term play2earn pops up a lot and seems to be on its way to more importance.
Play2Earn has been touted as the next step in the evolution of gaming and a concept that has a lot of benefits for players especially. But what is Play2E? How does it work? And why is it even important?
What is Play2Earn?
Play2earn is a gaming setup that rewards players financially for participating in a game. Now, the idea of some sort of reward for playing games is not a new one. Usually, when a player chooses to enter a game (even when they pay for it), the expectation is that they will be rewarded by the sheer victory of defeating an opponent or the game itself.
If a person is playing professionally or has wagered money on a game, there might be some financial compensation. Otherwise, most people who play games don’t expect to make money from their efforts. This is is play2earn does differently.
In Play2Earn games, users get a financial reward typically in the form of in-game assets that can be exchanged for real-life currency. These can be their characters, digital tokens, or assets. How this typically works is that the better a player does in a game, the more digital rewards they are given.
After they are done with the game, they can then trade these for fiat currency. The wave of play2earn games has been spurred on by cryptocurrency, NFTs, and blockchain. This is because these have already created an ecosystem for digital assets being converted to fiat currency.
As such, many play2earn games offer in-game assets in the form of native cryptocurrencies or NFTs. After these have been acquired by the players, they can be sold on marketplaces for fiat currency.
Why Are They Important
Besides the excitement of winning money for playing a game, play2earn games are also challenging the status quo of what games should be offering their players. Most of us are aware of just how profitable the gaming industry is and yet the dedicated players who make it profitable rarely receive anything in return.
Should play2earn games become more popular in the industry, it could lead to consumers demanding some sort of reward from the games that they play/ This, in turn, could lead to a massive shift in the gaming sector where play2earn setups are the norm.
Ultimately, play2earn games are not just a fun way to make money from gaming but are a vehicle for blockchain innovation and a usurping of the industry’s status quo.