Let’s explore the growth of cryptocurrency gaming in 2024, focusing on play-to-earn models (P2E), blockchain technology, NFTs (non-fungible tokens), and important initiatives like Decentraland and Pixels.
The world of cryptocurrency gaming has exploded in 2023, attracting millions of new players and completely changing the perception of what a video game is capable of. The crypto gaming industry is a vital component of Web3, with a market valuation of over $31 billion.
In this piece, we will discuss the current developments in cryptocurrency gaming, including technologies, business strategies, and initiatives, and evaluate its future prospects.
2024 Will See New Heights in Crypto Gaming
In 2024, the cryptocurrency gaming sector is booming, with some projects breaking records. The massive Web3 gaming platform Pixels (PXL), fueled by the Ronin Network, attracted an incredible 1.6 million monthly active users in March, demonstrating the unquenchable need for cryptocurrency gaming.
However, it goes beyond merely the users. Additionally, the industry is seeing a surge in innovation, investment, and gambling.
Cryptocurrency gaming firms made over $160 million in revenue in just March. Developers are pushing the envelope of what’s possible because of this venture capital funding.
Considering how many companies and developers are vying for NFTs, it’s understandable that top sportsbooks and casinos want to radically transform the market and give players even better experiences. Most players at the top online platforms for gambling have recently shifted to using NFT and cryptocurrency as payment methods. The plus side is that there aren’t many differences between NFT betting platforms and conventional betting platforms. The procedure is the same: register with an operator who stands out among crypto sportsbooks, such as betting sites that accept Litecoin, and play for a chance to win. The distinction is that you use an NFT to place a wager rather than fiat money. It’s noteworthy that NFTs can occasionally be won through betting.
Does a key factor for all this exist? Indeed, it does! It’s the P2E model’s ongoing interest. Although the concept was initially difficult, the developers have improved it by adding exciting gaming elements to produce far more captivating experiences. This change has proven successful; in 2023, the P2E market was estimated to be worth an astounding $3.2 billion.
Another revolutionary development is the evolution of NFTs. They are giving gamers access to a true sense of digital ownership through features like cross-game compatibility, character customization, and land acquisition.
And if that weren’t enough, the impending halving of the value of Bitcoin would spur even more growth in the cryptocurrency industry. We are currently seeing the first indications of cryptocurrency gaming’s mainstream breakthrough due to the convergence of all these variables.
Cryptocurrency Gaming Coins’ Power
Building on the previously discussed existing environment, let’s look at the factors accelerating the growth of cryptocurrency gaming in 2024.
Three leading technologies—blockchain, cryptocurrencies, and NFTs—are the foundation of cryptocurrency gaming. These components change how video games are made, enjoyed, and make money.
Blockchain, which introduces decentralization and transparency, forms the basis, as one might anticipate. By developing games straight to the blockchain, developers can eliminate unnecessary complications such as server outages or corporate interference. This strategy fits with the player-autonomy essence of gaming.
Then there are cryptocurrencies, which act as the lifeblood of games on the blockchain. They’re making it possible for transactions, in-game economies, and lucrative reward schemes. Digital currency is an essential component of the DNA of cryptocurrency gaming, whether it’s obtaining Axie Infinity’s SLP tokens through questing or spending ETH to purchase in-game attire.
However, NFTs are the true stars of the show. NFTs can stand in for fierce playable characters, extremely rare weaponry, and opulent virtual real estate on cryptocurrency video game platforms. Take Decentraland, for example, where virtual land tracts fetch exorbitant prices.
However, NFTs unlock far more than bragging rights related to ownership. The Gala Network’s infrastructure, which enables users to possess and transfer their items between compatible games, is a prominent example.
P2E and in-game auction sites are two revolutionary economic concepts that have thrived since this tech stack was implemented. As was mentioned in the preceding paragraph, P2E gaming allows users to earn money through deft gameplay, ownership of assets, or side gigs like resource lending.
Next, peer-to-peer NFT trading platforms are available within games. These dispersed centers give virtual worlds a genuine feeling of a real-world economy. Are they observing that Gods Unchained’s NFT weapons skyrocket in price as a result of meta changes? This gives players a distinct experience by directly influencing their strategies.
In the end, this multi-billion-dollar industry is poised for significant growth. Video games based on blockchain will get even more bizarre as long as venture capital funding keeps pushing the boundaries of creativity.
Examining the Web3 Crypto Gaming Environment
Now that the principles and financial frameworks for cryptocurrency gaming have been established, let us highlight some of the significant players who are executing this idea. These games are expanding the boundaries of digital entertainment, exploring everything from virtual galaxies to fantastical realms.
Specialized “crypto gaming coins” that power in-game economies, asset trade, and player incentives are at the heart of each. So, buckle up and be prepared to investigate five disruptive trends in cryptocurrency gaming that will be big in 2024:
1. Pixels
First up is Pixels, the de facto blockchain gaming giant that established absolute digital ownership and user-created worlds. With the Pixels environment, this open-world farming simulation encourages players to let their imaginations run wild as they create and construct games from the ground up.
But what’s the true game-changer? Unique NFT assets that provide players actual ownership over their in-game inventions, possessions, and territory. This method distinguishes crypto games from their Web2 counterparts, as was previously mentioned.
Pixels’ native coin, PIXEL, powers this entire ecosystem. The site is powered by this utility token, which allows users to purchase NFT merchandise and participate in events and competitions. PIXEL token owners can even wager their tokens to win incentives.
2. Decentraland
Go to Decentraland to explore authentic user-owned virtual environments. Divided into LAND chunks represented by NFTs, this 3D digital environment allows users to unleash their imaginations and creative juices.
Kim Currier, the marketing lead for Decentraland, explained to us last year how the platform managed to withstand a natural drop in active users throughout the bear market. Positive aspects did exist, though, since more than half of the attendees at Metaverse Fashion Week were first-timers.
The native token of Decentraland, MANA, fuels the project’s potential. Among other things, it can be utilized to establish original names, customize avatars, and scoop up LAND.
Decentraland, which has a flourishing market and a decentralized administration structure, is a shining illustration of the community-driven principles of cryptocurrency gaming. This vast metaverse changes the conventional wisdom about what constitutes an opportunity to explore virtual worlds, from socializing to attending virtual events.
3. Sweat Economy
Sweat Economy extends the popular Sweatcoin program, which pays users for their steps with in-app purchases, to the blockchain. Users can now exchange their ordinary Sweatcoins for SWEAT, the native ERC-20 token of Sweat Economy, alongside earning regular Sweatcoins.
This coin opens many opportunities, including speculative trading, marketplace transactions, and staking rewards. In fact, in just the last day alone, trades in SWEAT totaling over $7.5 million were made on the spot markets.
The deflationary tokenomics mechanisms of SWEAT mean that it will become a more scarce asset as its ecosystem grows. In the end, gamification takes another form, even though this isn’t always the first thing that comes to mind when someone mentions cryptocurrency gaming.
4. Immutable X
Immutable is a Layer-2 system revolutionizing NFTs and blockchain gaming, even though it isn’t a cryptocurrency game.
By eliminating the bothersome gas expenses associated with minting NFTs, this Ethereum scaling approach greatly increases accessibility to digital ownership. Moreover, it offers thousands of transactions per second without sacrificing decentralization or security.
This ecosystem revolves around Immutable’s utility token, IMX. When trading NFTs, users utilize it to pay small protocol fees. Alternatively, they can stake it to get incentives to protect the network. Through community voting rights, token holders also get a say in how Immutable is shaped going forward.
With significant alliances in place, such as TikTok and GameStop, Immutable is fast becoming the preferred platform for smoothly incorporating NFTs into apps and games.
5. My Neighbor Alice
This year, My Neighbour Alice, a blockchain game that blends homey living simulation with actual digital ownership, is another Web3 gaming cryptocurrency that’s gained traction.
Players’ homes are indeed their own in the world of My Neighbour Alice; an NFT represents them that they can personalize, exchange, or flaunt. In the same way, virtual plants, animals, and trinkets gathered on each player’s island are all affected. It’s a warm, cryptocurrency-powered builder’s paradise.
The native ERC-20 token of the game, ALICE, is what makes everything possible. Players can use it in-game to purchase rare goods, purchase more land, or employ NFT lending to make passive money. Through a communal DAO, ALICE holders also control the entire ecosystem.
In 2024, My Neighbour Alice is a cryptocurrency video game doing well, with a market valuation of $120 million and more than 8,600 unique holders globally for the ALICE token.
What’s on Horizon for Crypto Gaming?
Examining the remarkable progress of cryptocurrency gaming in 2024, one can’t help but speculate what immersive experiences are yet to come. NFTs, which merge ownership of digital assets and blockchains to create economies impervious to corruption, have laid the groundwork. However, this is only the start.
Put on a virtual reality headset, and just like that, you’re off on an augmented reality scavenger hunt, looking for rare NFT treasures that mix in with your natural surroundings. Alternatively, an advanced bodysuit with haptic feedback could enable you to “feel” the effects of each hit and blast. The lines separating reality from virtual reality may completely vanish.
However, accessibility is a prerequisite for actual widespread adoption. User interfaces will likely become increasingly smooth, to the point where starting a cryptocurrency game is as easy as starting a conventional one. Blockchain technology may even function “under the hood” silently for large audiences that are more concerned with entertainment than money.
The financial opportunities also seem endless. In-game economies could be altered by organized “guilds” that deal in high-value NFT rentals and micro-rewards for interacting with others.
One thing is sure, though: as this multibillion-dollar sector develops further, cryptocurrency games will change how we engage with digital assets and entertainment. We will all venture into unknown land as specialists, dealers, or producers.
