What Is Web3 Gaming?
The world of gaming has constantly been evolving and developing while giving players different ways to spend their time and have fun. However, players have become more demanding, and it is not enough to have fun while playing different games. And that is why there is a new generation of games based on Web3 technology, giving more possibilities even for the most demanding players.
In our article, we are going to touch on the topic of Web3 gaming while understanding the essential idea of Web3 and deepen your knowledge about this kind of gaming. But, let us first find an answer to the question - what is Web3?
What is Web3?
It is all about ownership. Web3 is the concept of a new, third-generation Internet, decentralized and powered by blockchain and the token economy. It is opposed to the Web2 World Wide Web, which is based on centralized platforms for user social interaction.
Simply put, Web3 is an Internet where user’s data is not stored on the side of large corporations like Google, Amazon, Facebook, and Apple, but in decentralized databases.
Web3 creates platforms that no one controls, but everyone can trust them because of the underlying algorithms and protocols. This is proposed to be achieved through advanced technologies such as blockchain, machine learning, big data, and artificial intelligence. Tokens and cryptocurrencies, independent of traditional financial systems, should fuel the third-generation Internet economy.
Presently, this concept is still under development, so there is no well-established definition and understanding of all the principles of Web3. But, how is this innovative concept related to gaming?
Web3 gaming explained
Before starting to answer the question mentioned above, it is worth getting to know the definition of Web3 gaming. This term can be described as a process of playing games, which relies on blockchain technology as an underlying component of a game’s economy.
As mentioned earlier, Web3 is all about “ownership,” and Web3 gaming includes this word in its concept as well. While traditional gaming involves centralized authorities in the first place, Web3 gaming, including Metaverse, is delegated away from them, focusing more on the concept of decentralization. Therefore, every player is capable of having full control of their in-game digital assets, like Non Fungible Tokens (NFT) as well as Fungible Tokens, and freely trade them with other players without worries of interference from the side of game development studios or other centralized institutions. It meant that nobody has access to your digital assets obtained in Web3 games besides the player.
What are Web3 games?
Web3 games, sometimes this term refers to GameFi and play-to-earn games, are related to every digital game (Web3 dApps) that is based on blockchain technology. Every Web3 game should have the provision of digital assets in the form of NFT or crypto to the players so they can own these assets and trade them much like physical goods. And what is more important, all these assets can be traded not only within the frames of one platform or ecosystem (as it is realized in traditional gaming) but in multiple chains and platforms.
Different types of Web3 games
To make players experience different gameplay, all Web3 games can be divided into two major categories, namely play-to-earn and walk-to-earn games. And it is the perfect time to deepen your knowledge about this type of gaming and its diversification.
Play-to-earn
It is evident from the name of this type that the essential concept of play-to-earn games is to play and earn. Your reward can be NFTs as well as cryptocurrencies, and the only thing required is to play in this Web3 dApps. The truth is simple - the more you play, the more digital assets you will get. In general, you play in a game, completing different tasks or challenging in a variety of competitions, as digital assets play a role in your reward for your progress and accomplishments. Consequently, this reward can be used to unlock further rewards (as an investment for further gameplay) or sold on digital marketplaces.
Unlike traditional gaming, the central part of play-to-earn games is decentralized, meaning that there is no total control from the side of the game’s developer. And players who participate in the in-game economy create value for both players and developers.
The most prominent representatives of play-to-earn games are:
If you want to try one of these games and earn digital assets, make your first step and buy some crypto tokens to start playing.
Walk-to-earn
One more type of GameFi is walk-to-earn games. The primary concept of these games is based on the obvious principle - instead of playing the games, you move (walk) while earning digital assets. It is one more innovative approach to reward players for just a simple action - walking.
So many companies provide their players with games based on that principle, but it is worth indicating two companies that stand out from the crowd - Walken and STEPN.
STEPN is the world’s first lifestyle application that is designed with the simple purpose of rewarding players for working out. As a reward, users receive GST tokens for different kinds of activities: running, jugging, and walking. These tokens can be used for in-app purchases and traded on various exchange services.
Walken is a Web3-based walking application that ties three essential things: sports activity, online gaming, and crypto. To simplify, Walken intends to reward (gifting crypto) its users for walking. The reward is represented by WLKN (an in-app token) that can be consequently sold on exchange services. Compared to STEPN, Walken has achieved more. While applying the walk-to-earn principle, it has successfully added exciting gameplay where you need to level up your character and participate in different competitions against other players.
Bear in mind that some walk-to-earn games cannot be played without a crypto purchase beforehand, so it is the reliable way to get your crypto.
What are the key features of Web3 gaming?
Web3 gaming is an innovative approach to gaming and is more practical and beneficial for players in comparison with traditional gaming. Thus, you need to know the key features of this innovative approach that make this type of gaming so valuable and outstanding.
Ownership
All Web3 games offer their players complete control of their assets while allowing them to trade these assets in different ways. In traditional gaming, players can also own in-game collectibles and assets. However, these assets and collectibles will be useless when a player takes a decision to change the platform. In the case of Web3 gaming, it is still possible to deal with digital assets while changing game platforms. It means that a player can get the assets in one game or a Metaverse project and use them in another.
Transparency
With the evolution of the Internet, its third-generation version promises transparency in gaming. Putting these words into a more straightforward explanation, your data is stored on the blockchain, and everyone can easily track every single transaction. It creates a level playing field where everyone is equal.
Player-driven experience
The top players in the universe of Web3 gaming show how that new gaming ecosystem thrives on experiences tailored to the players’ preferences. And that is why the gaming ecosystem in Web3 gaming is customized based on player needs. For instance, every play-to-earn or walk-to-earn game indicates how players can make the most of games to earn monetary rewards. Moreover, the self-sovereignty aspect in this type of game emphasizes how they think of benefits for players.
Risks of Web3 gaming
After considering the most outstanding features of Web3 gaming, it is getting evident that this type of gaming obtains tremendous potential from a further perspective. However, besides all the benefits, there are some risks as well.
The first risk is an imbalanced economy. Players, as well as developers, can create value for the game’s economy. If the economy is going down or experiences a crisis, there is a high probability that the game will experience its dead end.
One more risk is related to security and regulation. As crypto is a Wild Wild West, it is not surprising that there are a lot of scammers and frauds there, even though there are smart contracts. The regulatory institutions, like FATF and SEC, are trying to change the situation and make Web3 gaming a better and safer place for players. But the question still remains whether Web3 gaming can survive in a regulated environment or not?
And the last risk is hype. You probably know that there are many cases when the price for this or that cryptocurrency or NFT project lifts insanely. And all Web3 games should be developed to insulate regular players from the crypto-rich speculators. These people can artificially increase the price and block access for regular players who want to play the game. A great example was the cost of entry to Axie Infinity, which was artificially lifted to $1,000 because of such a case.
Will the hype continue?
Web3 gaming is a big step forward to the development of the gaming industry in a better and more practical-for-users way, and there is a lot of hype around every single game released. But the remaining question is still about the duration of this hype - will it continue, or will everyone forget about it?
It is complicated to answer this question correctly because of the existing problems that Web3 gaming faces, and it is only up to the approaches that will be used to overcome these issues. If everything goes well and players/investors and regulators will see the progress positively, the hype will continue. However, if these approaches to figure out the issues will fail, the consequences are more or less obvious - the hype will be over.
Nevertheless, players appreciate Web3 gaming presently and like the approach of playing/walking/moving while meanwhile earning digital assets that can consequently be traded or sold.
On-ramp solution for Web3 gaming
Web3 gaming is impossible without cryptocurrency, and one of the reasonable and proven ways to provide players with the opportunity to buy crypto is via integrating Utorg’s crypto on-ramp solution. After quick and simple integration of the widget, players can buy crypto and play different play-to-earn or walk-to-earn games. On the other side, businesses will have clients and, consequently, a profit. Apply today and integrate the widget for free.