Navigating the future of Gaming: The Opportunities for Mainstream Games in the Web3 Space

Navigating the future of Gaming: The Opportunities for Mainstream Games in the Web3 Space

Contributor: tOfu (Erik Engel), Dota 2 Pro Player at Gaimin Gladiator

Blockchain technology is transforming the gaming industry, acting as a gateway into web3 and playing a pivotal role in accelerating mass adoption. This new era of gaming is introducing unlimited earning potential for players, giving them the opportunity to own their in-game assets, digital items and identities. The GameFi industry has a projected annual growth rate of 20.4% reaching US$2.8 billion by 2028, so it’s no surprise that web2 developers are looking at transitioning into web3. As the global mainstream gaming industry is forecast to be worth US$321 billion by 2026, it’s important that web3 game developers have the right tools to reach players in this market segment. 

From improved user acquisition and retention to increased engagement, it’s hard to ignore that blockchain gaming offers a wealth of opportunities. It’s also important to shine a light on the new revenue streams that web3 opens up for developers. ​​Although it’s still growing, several categories – each using blockchain in a different way – have been strongly established in the web3 gaming industry. Play-to-earn integrates cryptocurrency and NFTs into gameplay to reward users, creating an arsenal of collectibles for them to buy and sell, with developers getting a portion of the funds. The metaverse is another category that game developers can explore. It mostly leverages user-generated content to gamify gatherings and collaborative events such as concerts, work and conferences. This lets players purchase land and build their own games within the platform, providing developers with another form of a continuous stream of revenue. 

As mainstream gaming continues to grow, more user privacy problems arise. As more people play games, more data is collected, increasing the risk of breaches. This isn’t just a threat for gamers but to the entire gaming industry, as hackers could disrupt the games’ operations, exploit the developers’ source code and overload the servers, taking the game offline, which can be a costly disruption to developers. With web3 gaming, instead of being hosted on a server, the game is integrated into a blockchain. As there is no single point of failure, it reduces the threat of data breaches commonly seen in web2 games.

A primary driver of web3 gaming is decentralization, with the community being a driving force in the direction of the game development. Even though this can add extra pressure on developers as it requires them to be more transparent and have faster turnaround times, it creates an open feedback loop, giving them greater confidence in their product. White papers are also published ahead of game releases to outline key information on the project, for example, the utilities, tokenomics and roadmap. This invites the community to critique and respond to the ideas presented, offering developers the chance to implement changes, to create a better final product. Giving players this sense of ownership is a powerful tool to organically recruit evangelists who will likely go on to promote the game authentically. It also puts developers in a lucrative position to lead the charge for a new area of the gig economy. We see this happen every year, with new jobs being created that didn’t exist five or ten years ago.

There can however be various hurdles to transitioning from traditional web2 games to web3, for both players and developers. Some of the biggest issues with web3 gaming revolve around poor user experience, onboarding challenges, and accessibility. As little as two years ago most web3 games were click-based and weren’t particularly engaging. Now, major studios are pivoting into web3, signaling a trend of more web3 games that can stand against AAA budget games moving into the space.

Put simply, for mass web3 gaming adoption, developers need to build good games that are fun to play and are easily accessible. Casual players that want to enjoy their gaming experience first and foremost have no interest in setups that add hassle. Therefore, it’s important that web3 games are familiar and easy for mainstream gamers to enter. Building games in a familiar way that doesn't require prior web3 knowledge, and an emphasis on being a genuinely good game that’s fun is paramount. 

Web3 is an entirely new world for a lot of gamers and it is great to see new concepts being created that have a positive impact on how they can play and perform at a high level. Platforms such as GAIMIN is a good example of gamers being brought into Web3 without feeling overwhelmed with features they can’t understand. 

Looking to the future of web3 gaming, we will continue to see more traditional game producers coming into the space which will help shift gamers' view on web3 games from being a monetary venture, to being for enjoyment. It will only be a matter of time before more mainstream gaming companies enter the space and fully embrace web3 gaming.

Partnering with reputable solution providers can be helpful for developers to navigate web3, for example BNB Chain provides a wide range of growth support for projects and developer communities through BNB Chain Kickstart. The program connects developers of BNB Chain to reputable partners that provide high value and optimized solutions and services to aid in the journey of building web3 games.

As we continue to build and innovate in the blockchain space, we will start to see a massive shift in blockchain gaming. As more users and developers get a feel of the true value that web3 brings to the gaming industry, such as ownership of in-game assets in MMORPGs (Massive Multiplayer Online Role Playing Games) & TCG (Trading Card Games). When this happens, true mass adoption will happen. It is not a revolution, but really an industry expansion!

In conclusion the move to web3 technology in the gaming industry presents a wealth of opportunities for innovation and player-driven experiences. As the infrastructure and support for web3 games continues to grow, it’s not a question of “if” but “when” can we expect to see more traditional game developers making the transition we can see a bright future ahead in the world of Web3.