The blockchain and NFTs are making investors out of video gamers
By Bob Garcia
The popularity of non-fungible tokens has reached the video game ecosystem
The blockchain and non-fungible token (NFT) craze really is reaching every corner of the world. Now it seems that the video game industry is also having a curious relationship with this trend. The growth of the video game industry has proven to have a booster that pushes the numbers higher and higher as the years go by. It currently has a value of $162 billion, and that figure is expected to reach close to $300 billion worldwide over the next five years.
These statistics, especially for mobile gaming, were once unimagined by many people who thought it was simply a matter of hardcore gamers with a passing fad. Hand in hand with this growth has also been Bitcoin, which despite having had quite a few ups and downs, still trades almost 150% above its January 2021 levels, and investments in blockchain are increasing exponentially year on year.
This has given way to various people having different interests with the technologies provided through blockchain, and NFTs have not been left behind. These unique and collectible digital assets that no one can copy have attracted the intention of a large number of people today, including gamers. The popularity of a game like CryptoKitties, the Ethereum-based game where users collect, sell, and breed digital cats, has reached such a point that game developers are now wanting to include the functionality in their products and tokenize the digital assets in the game.
“You have 2.6 billion people playing video games and thousands of studios that have digital assets and digital IP. Within video games, tokenization is a 40-year-old concept. The founders of Blockchain Capital had great success trading digital assets in Second Life. They then used that experience to identify the value in a new digital currency, Bitcoin, and invested heavily in it,” says Josh Chapman, managing partner of eSports and video game company Konvoy Ventures.