Blockchain and the Gaming Industry: Smart Money is entering in 2021 before the first big titles are released.

By CryptoBible00789 | Understanding global trends | 19 Jan 2021

Introduction.

Blockchain isn't only used for cryptocurrencies, it is perfectly suited to revolutionize the gaming industry, a rapidly growing multi billion USD industry. Through the implementation of blockchain technology, game developers will create an environment where the gamers control the games, but also their data. Big names are already involved: Ubisoft, Microsoft, Atari,Sony, Epic Games and Unity (more information below).

According to two leading gaming professors, Dr Jethro Shell (Senior Lecturer in Games and Information Systems at De Montfort University), and Dr Edward Powley (associate professor at Falmouth University Games Academy), the future of the gaming industry evolves toward mixed reality, combining virtual and augmented reality, as well as giving players more freedom with regards to in-game free-form crafting options (gamers will have more freedom to create their robots, vehicles, weapons systems, ...).

In an already mature gaming industry that can rival with cinema other improvements will come from graphic upgrades, AI, mobile technology and intern infrastructure enhancements.

Yet, it is blockchain that has the biggest impact and will fundamentally change the traditional gaming methods, especially regarding game asset management. Future gaming assets will be transferable or list-able on exchanges where they can be bought to use, even in other games. This opens and democratizes the rapidly growing gaming industry and will create true value for gamers, with a growing group of them making gaming their full-time job.

Next-gen blockchain games 2020.

After a slow start, with blockchain mostly serving in simple dice games, developers are now creating more sophisticated blockchain games, integrating fair play, transparency, value exchange-ability and the ability to tokenize in-game assets with Non Fungible Tokens. According to a top 50, made by Jon Jordan on blockchaingamer, these were the top 10 games and exchanges/platforms of 2020:

Smart money enters top blockchain platforms and game developers in anticipation of the first big games that use blockchain technology.

In my previous article, "2021 the year of the nfts.", you can read how the big money is entering the blockchain space and will eventually also discover the blockchain gaming world. The growth forecasts for the gaming industry are enormous, needless to say that the opportunities in the blockchain gaming space are huge as well, with millions invested in upcoming blockchain developers, games and trading platforms. What are the big companies doing?

Ubisoft is investigating the Ethereum blockchain to handle the purchase of in-game items;
Microsoft has integrated the Quorum blockchain to provide real-time royalty information to XBOX game publishers, and is further building on that process with Azure Blockchain Services, streamlining the royalty process;
Atari partnered with Infinity Networks and introduced Atari Token;
Sony's Playstation 5 release is announced to integrate its patented digital rights management (DRM) system in its (PlayStation 5) next-gen game console;
Epic Games partnered with blockchain-based game distribution company The Abyss, introducing Abyss token crypto payments to the Unreal Engine platform;
Unity partnered with Enjin and Kin Foundation, who both created SDK's for Unity, making them both official partners on the Unity Asset Store.

Besides these major game developers there are other ways that smart money will invest, typically when they want a pure crypto platform. The list of these companies is long and contains many by now well-known innovators such as:

Enjin - ENJ;
Decentraland - MANA;
Ultra - UOS.

Although the list is much longer, we look at the top 3 performers by market capitalization, knowing that one of these 3 will become the asset class leader and profit from the network effect. At the time of writing ENjin is outperforming with a $226,518,372 Mkt Cap, followed by Decentraland with a $157,424,521 Mkt Cap. and Ultra with a $71,080,820 Mkt Cap.