How Gaming Can Help Unravel the Complexity of Blockchain and Web3

OThirteen years after the experiment began, blockchain remains a complex and daunting topic for most people. It’s not just about the underlying technology, but also about the underlying philosophy of Web3 and what it means for our society. There are so many terms and concepts to understand that it can seem like an impossible puzzle.

Because it’s still in its infancy, it’s hard to understand how Web3 and the underlying technology works without putting a lot of time and effort into it, which is a detrimental reality when it comes to is about mass adoption. Moreover, most decentralized applications and protocols (Dapps) lack intuitive and attractive user interfaces. They’re not built with the user experience in mind, which compounds the problem.

The existing range of blockchain-powered products and services, whether decentralized finance (DeFi), chains, bridges, oracles or non-fungible tokens (NFTs), makes it even more difficult for the average person. From a user perspective, the learning curve required to manage digital wallets, trade tokens, switch channels, and navigate the ever-growing ecosystem of decentralized products and services is unnecessarily complicated and overwhelming. Without an easy on-ramp for users amid these high entry barriers, many potential users are still sitting on the sidelines.

As a result, the general perception of blockchain is that it is a “new technology that promises disruptive wonders”. While this is an applicable statement to some extent, the general public has yet to experience technology first-hand in their daily lives.

Games allow users to “upgrade” blockchain knowledge

So how can users experience the potential of blockchain without dealing with the complexities and technical details? Some believe the answer lies in games.

“With a gaming market valued at nearly $200 billion in 2021, there is significant potential to bring a critical mass of users to Web3 via blockchain games,” said David Shin, Head of Klaytn Global Group. “Blockchain-based gaming apps could serve as good starting points to drive global mass adoption of crypto and web3 in general, but it’s important to design games – whether blockchain-based or not – that give priority to users rather than designing games as another platform for commerce.The next factor to consider is strong infrastructure tools and middleware services, which are necessary to ensure that game projects and companies are able to provide first-class and high-quality chain games.

A growing number of blockchain thought leaders and supporters believe that blockchain gaming is the potential answer to this awareness and engagement dilemma. The emergence of play-to-earn (P2E) games has not only accelerated user adoption, but also played a key role in educating people about blockchain-powered concepts like GameFi (gaming + finance decentralized), NFT, the Metaverse, and much more.

“It’s very likely that mass blockchain adoption will come first from games, especially with the metaverse gaining more relevance,” according to Pedro Herrera, principal blockchain analyst at DappRadar. “Blockchain’s ability to enable new economies is set to disrupt the traditional gaming model, where creators and players are disempowered.”

Video games have become both a hobby and an industry over the past decade. There are already over 3.24 billion gamers worldwide, which is nearly half of the world’s population and a leading market that has always embraced cutting-edge technology with open arms.

Moreover, players already understand the fundamental concepts of blockchain. For example, they know how the characters in the game work, how they can improve their characters and abilities, add more characters, etc. It’s the same with blockchain-based P2E games.

Most of these elements are represented as NFTs in these games. As players continue to learn about the mechanics of the game, they gradually discover the purpose of these NFTs and other game assets, how to use them, and other functions – which ultimately add to their working knowledge of blockchain technology.

LongHash Ventures COO and General Partner Shi Khai Wei explains, “Game assets have always been digital in nature, from CS:GO skins to Second Life real estate to party hats and face masks. of Halloween in RuneScape. NFTs are the new form of digital assets and digital property, and so this is the next logical step in the evolution of gaming assets.”

The crucial part of blockchain games is that they don’t force the technology on the users. Players generally do not need to have extensive experience or knowledge of the underlying technology, even when performing on-chain transactions (such as trading an in-game NFT on a secondary market or trading their in-game currency against another crypto or fiat currency).

Many P2E games follow a more DIY approach, where the user gains first-hand experience and a dashboard to interact with the features and underlying technology that drives it. For example, a player who is playing blockchain for the first time probably isn’t interested in learning more about “non-fungibility” regarding tokens as long as the “non-fungible token” they own is truly theirs. and has intrinsic value. Once users appreciate the value, they are inclined to learn more, reflecting an easy way to spread knowledge about this ever-changing technology.

“The ‘Metaverse Generation’ (Gen Alpha & Gen Z) are high on video games and short-form videos – think Roblox and TikTok,” notes Zach Hungate, Head of Games at Everyrealm. “They will naturally grow into adults and seek out video game environments for entertainment. They consume game content, learn, watch and hang out with their friends on these platforms. »

Hungate adds, “Crypto games are all about user-generated content and community input. Crypto is the native currency that powers blockchain games, powering everything from skins to weapon upgrades. As this practice becomes more normalized, it is inevitable that we will see more and more gamers using crypto as part of their daily gaming experience.

With blockchain technology and P2E infrastructure advancing towards the high bar set by the existing AAA gaming ecosystem, it’s no exaggeration to claim that the learning curve for new users will continue to narrow. Between game mechanics, gamification, and tokenomics rolled into one accessible and elegant package, gaming can serve as a continued catalyst for waves of blockchain adoption in the years to come.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Sharon D. Cole