6 Reasons Why 2021 Will Be the Ultimate Year for Blockchain in the Gaming Industry
The past few months have been exciting, with the bullish trend creating massive awareness about the blockchain industry, setting a new pace that has sent powerful signals worldwide. Many big brands are now creating avenues to use digital currency due to its ability to streamline complex processes such as the payment involving different currency markets that involve huge fees attached to it.
With Bitcoin growing exponentially in the past few months, experts believe that the trend will continue in the future, which has encouraged many sectors to utilize blockchain technology and its benefits. One such industry is the gaming niche, which has been trending with the recent upgrades and coming in of interactive gaming environment, powerful gaming consoles with 4k/120fps gameplay and support for 8k/60, HDR 10 compatibility, faster loading times, and much more.
The year 2020 gave rise to the acceleration of blockchain adoption in various sectors. The number of users of blockchain wallets has increased rapidly, indicating that growing acceptance will occur in 2021. Data shows the rise of wallets from 4 million to over 60 million wallets in the past few months.
Blockchain offers a unique value proposition, born out of the global financial crisis of 2009; a decade later, the value-added characteristics of the technology have been significantly growing and quietly been adopted by idealists. Below are six reasons why 2021 will be the ultimate year for blockchain in the gaming industry.
Cybercrime is growing each year, and it’s considered more profitable than drug trafficking. According to McAfee’s economic impact on cybercrime, February 2018, the scale of malicious activity across the internet is growing at a fast pace, with frightening figures on a daily and monthly scale. This affects the online gaming community due to the proliferation of in-game assets theft and private information access. However, the adoption of blockchain in the gaming industry will mitigate these thefts due to the decentralized network of blockchain and its immutability.
RELIABLE NETWORK SYSTEM
When one system fails, it takes down the rest; this is known as a single point of failure, a common scenario in the conventional gaming industry, significantly decreasing the gaming audience. Blockchain is decentralized and has no single point of failure due to its distributed ledger. The rapid application of blockchain to curtail this problem will grow remarkably in 2021.
Providing security in the gaming industry is an imperative, and developers are continuously seeking out ways to cut security maintenance costs. The use of blockchain to address this issue is more likely to occur sooner than expected since blockchain was designed to automate record-keeping and validity of security information. Therefore it has the potential to boost security and reduce human error.
Financial institutions are also coming into the picture to collaborate with startups, with some now offering financial services using cryptocurrencies. Recently, PayPal came into the picture, opening its doors to cryptocurrency, a huge step that will help promote online transactions to pay game assets using cryptocurrency. With financial institutions coming in to support startups, developers will have access to grants to develop blockchain games.
China is undoubtedly one of the biggest supporters of blockchain with a massive gaming industry; the largest, highest grossing, and most profitable in the world. It offers production, import, and export, with a vibrant community of gamers since 2015. Asia-pacific is known as the birthplace for many gaming projects, setting the pace in gaming in recent years. China’s interest in blockchain will encourage the mass adoption of its technology in the gaming industry.
The gaming industry is becoming increasingly competitive, with developers and gaming companies seeking out ways of sustenance. The recent exponential growth of blockchain and the increasing awareness have led developers to implement blockchain in developing games for mainstream adoption.
The gaming industry and blockchain have come a long way since the release of CryptoKitties in 2017, considered the first blockchain-based video game. Since then, several applications have been created for recreational purposes, promoting the advantages of using blockchain technology in the development of games.
There is an increasing demand for online games and the penetration of mobile applications across the globe. With the need to increase the value of these applications through blockchain, the revenue generated from the gaming industry is expected to grow significantly in 2021.
The gaming industry has metamorphosed over the years, from the early coin based arcade machines to the advent of PCs and other game consoles, downloadable games, and the emergence of the internet. The gaming industry has experienced considerable development in the shortest amount of time, similar to the blockchain industry. With bitcoin set for another bull run, there has never been any more significant opportunity to utilize and profit from the blockchain industry besides now. 2021 is the stepping stone for exceptional innovation to emanate from the fusion of blockchain and the gaming industry.