The rise of cryptocurrencies are not so different from the rise of your video gaming. You see, video games began as LAN-Parties among friends to expand later to world championships and huge rewards of money. It was first made fun of as the hobby of a nerd, but now it has become a huge phenomenon that has taken over the whole world. We can see many similarities between video games and cryptocurrencies. They both have no physical representations and are based online. They are both border-less.
If you are someone who regularly gets a dose of news, you may have heard so much about cryptocurrencies already; whether their value is soaring or dropping has been one of the top topics of the media. They have been featured heavily in the news recently. In fact, the cryptocurrency related searches dominated the Google’s searches in 2017.
Seeing the potential for innovation through the introduction of cryptocurrencies, now a lot of video gaming companies are showing their interest in it. Already, Ethereum gambling is quite popular which has taken the shape of playing the popular games of Blackjack, Roulette and Plinko etc.
If cryptocurrencies were to be used on a large scale, they could bring a lot of benefits with it. If all the games started using the same currency then the users would have the great benefit of using the same currency for all the games. A great deal of flexibility could be enjoyed by the users. If that happens, you would not need to use your credit cards, which is still the major source for all the micro transactions of the video games.
This will change how the in-game purchases are being made. They will be seamless and very fast then. It might surprise you that Microsoft is already offering its users the ability to buy its apps using bitcoins, while the e-sports industry has also started to use these cryptocurrencies for Prize money and betting etc.
The other advantage that cryptocurrencies have is security. If we talk about online transactions, then these currencies are the most secure. Compared to the credit cards which can be stolen or counterfeited, these cryptocurrencies actually require the particular physical device where your wallet is located in order to perform the transactions. Therefore, it will be far more secure for the players if they make any transactions.
For gamers, there is another benefit. They could get a real cash return for the investment of their time or resources etc. And many tiny games are already doing that; they are making rewards to their players in the form of cryptocurrencies. However, introducing this system into a bigger game would be far more risky, and therefore far more difficult to convince these big game developers.
However, the benefits for the gaming companies themselves are a bit unclear. The biggest problem is the uncertainty looming around the value of the cryptocurrencies, with the possibility of crashes the ever present threat for the companies. The recent plummeting in the value of Bitcoins points towards that problem. Instead of their own created eco-systems on which they have full control, it would be like taking that money to an ecosystem over which they do not have any control. That would mean that they could lose money even if they gained new players.
That is why, a company named Crytek has developed its own cryptocurrency that they will use to pay its gamers. It is named as Crycash. Explaining the reason for that, he said: “It’s because of the volatility of the market. It’s ridiculous. You don’t know what Bitcoin is going to look like tomorrow.”