The Rise of Web 3.0 What Does it Mean for the Gaming Industry?

More and more people are now getting increasingly attracted by new gaming models such as play-to-earn, and hence the multibillion-dollar gaming industry is seen rising at an astounding rate. The gaming industry is undergoing a paradigm shift as web 3.0 evolves and takes on.

No doubt the prospect of web 3.0 and blockchain is opening up a plethora of possibilities in the gaming industry transforming it.

What is Web3?

The Internet we are using now is known as Web 2.0 and it mainly focuses on communication between different users and the availability of datasets (to both users and businesses).

Web 3.0 is the next version of the Internet, which incorporates concepts such as decentralization, blockchain technologies, and token-based economics.

It is anticipated that Web 3.0 will be:

• Open: Open-source software will be used to build content platforms.

• Trustless: Switch to Zero Trust and maximum network protection.

• Distributed: Interaction between devices, users, and services is possible without any centralized authority's approval.

Basically, there will be no intermediary element to facilitate communication between the user and the Internet.

A good example to understand web 3.0 is financial transactions. In traditional web2, when a user makes a payment for any product online, they get redirected to a third-party website that is a payment gateway controlled by the bank. The bank acts as the intermediary platform between the user and the e-commerce business.

In web 3.0, payments are made directly to the business entity without the involvement of a third party’s page.

Why are gamers turning to the Web 3.0 space?

Web 3.0 is making the internet simple, open, and decentralized, while the upgraded web is having a direct impact on the overall gaming market. Gamers are attracted by contemporary developments in the sector, including tokens, blockchain, NFTs, and AI, as well as the option of earning money as they are playing.

There are more benefits, such as:

• Interoperability while switching digital assets
• Freedom of modification and web3’s open-source nature
• Democratic gaming world
• Opportunities for developing countries’ citizens

Furthermore, blockchain games are centered around ownership. This protects investments and card information, ensures fair play in gaming environments, and transparent transactions within blockchain-based systems.

How Web 3.0 can influence the gaming industry

Web3 is already changing the concept of the gaming industry allowing developers to create innovative and futuristic games using web3 technologies such as the Metaverse, NFTs, virtual and augmented reality, artificial intelligence, and digital currency.

But how do these two different entities communicate with each other? What is Web 3.0 bringing to the gaming industry?

There are at least 6 main points:

1. Ownership

In Web 3.0 it is possible to implement NFTs or non-fungible tokens to establish sole ownership. It means that any purchases made by the user belong only to him and even if they leave the game, they do not lose them automatically.

One of the best ways in which web 3.0 introduces ownership is through virtual lands. Since the Internet will encompass the Metaverse, gamers, for example, will be able to freely buy lands or plots using NFT and do any other activity related to the game.

2. Virtual avatars

By virtual avatars we mean 3D avatars that represent the users in the Metaverse world, giving them sole control over everything. Any action made inside the game is made by the virtual representation of a real person (his avatar).

3. User-centric nature

On web3, all the features or components of the game will be added based exclusively on what the customers want. Customized blockchain elements, smart contracts, safe communication, and live interaction between gamers will enhance the overall gaming experience.

4. Democracy

As it was explained earlier, web 3.0 is based on decentralization and eliminating any single entity holding the supreme power in the market. The control will be given to multiple gaming industry users based on their market contribution.

5. Diversity and inclusion

In certain countries, many games are banned due to their internal legal compliances and regulations. But this is possible only in Web 2.0, where centralization plays a key role. In decentralized Web 3.0, no legal entity can establish rules and regulations or restrain the players from accessing the gaming platform.

6. Earning opportunity

Players can have in-game tokens that they can trade and sell outside the game, on the blockchain. Furthermore, such a playing model may offer a new source of income for those players living in countries that have financial difficulties.

What are Web3 games?

Web3 is not only about play-to-earn (such as Axie Infinity, Splinterlands, Alien Worlds and Silks) but is closely related to all digital games based on blockchain technology that provide digital assets and allow to trade them as physical goods, also across multiple platforms and chains.

Walk-to-earn games are another good example. They are based on a simple principle: you walk and earn digital assets, initially investing in NFT inside the game (STEPN).

Expanding the use cases of Web3 in gaming

Game tech companies are redefining the gaming industry with the latest innovations of web 3.0, while creating highly scalable projects in Gamefi without the help of centralized publishing platforms. Eventually, the value of the games will be concentrated much within the gamer’s hands as they will be directly responsible for their success.

In-game purchases, running in-game marketplaces, and unprecedented freedom in terms of trading…in short, web3 in gaming has brought about a complete overhaul of monetization, drawing always more interest among users.

For free consultation about Web 3.0 in gaming click here.

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