Are blockchain video games a fad, or the future?

As with all game development, there are always problems, especially for us since we are working with technologies that are very new and we are doing things that no one in the world has done before.

We are still in the early stages of the internet, people don’t quite know how to use the technology yet. They only post pictures of the newspaper online.

Immutable VP Derek Lau

Many blockchain games market themselves as “games to earn”. Is that a fair description? The idea is that players collect crypto-assets while playing and then those assets appreciate, right?

Yes, and there is also an assumption by players that they can make more money than they deposit. Whether that actually ends up happening, you know, that may or may not be the case.

It’s kind of a term that appeals to people who are out to make money, rather than people who are just trying to play the game for fun, I think.

I guess you don’t use that term to describe Guild of Guilds?

We don’t use it. We do not want to give our players the expectation that they should play to make money. The point of what we’re trying to build is a really meaningful game that’s fun, and where blockchain is used to make the overall experience even better.

How can the blockchain do that? How does it enable experiences that are not possible in traditional or existing games?

There are a few elements. The most basic one is around the idea of ​​ownership. So players play a game they would play anyway, let’s say Fortniteand they also happen to trade the skins they buy.

The next level is where the elements of ownership and traceability, or the way they are designed into the game, actually make the game more enjoyable. So in a mobile RPG, players really love to collect heroes and summon heroes. So being able to collect, and display, and build a collection through these digital collectibles actually enhances the play experience.

And there is also the strategic aspect. Players like to think about the strategic depth of how to play the game, you know here are synergies, abilities, how to equip the heroes and so on. And we think that having an extra level of economic strategy in the game makes it even more interesting.

Personally, the last thing I want to worry about mid-game is my own finances or what things cost, although it’s clear from the popularity of in-app purchases and loot boxes that I may be in the minority there. Do you think there is a place for blockchain in the kind of games I like? Or is it only for games with lots of collectibles?

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All kinds are sure to come. We are still in the early stages of the internet, people don’t quite know how to use the technology yet. They just post pictures of the newspaper online, copy what they know.

We will see many more different types of games coming out. Perhaps even those that are entirely created by the community, and are fully owned by the community. They are the ones who want to create it and run it and profit from it.

Or maybe we’ll see some games become salt mines where players work to create value, as opposed to playing for fun? That’s where my mind immediately goes when I think of blockchain in the hands of the kind of publishers currently pushing gambling and manipulation.

I do not think so. Gamers don’t want to play games that aren’t fun, so engaging and fun games are still going to be the focus. Frankly, blockchain is a threat to publishers’ current business model. They are making a lot of money the way they work right now. Lots of microtransactions. This is a threat and they enter the room to answer it.

So the big guys are getting into NFTs because they don’t want to be left behind? You don’t think it’s a grab for more money and power?

Part of the nature of digital assets is that they are not controlled by the publisher. So I think there is a level of control that will be removed because of the technology. Once they’ve sold you something, you can pass it on to someone else and they can’t stop you, so the business model changes. Publishers are forced to think more about commerce as a business model, because if it’s just them selling you stuff, they’ll always compete with the existing NFTs in the market.

With the lack of crypto regulation, do you think investing in NFT games is risky?

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Given the current regulatory discussions surrounding NFTs and tokens, and the space in general, most bets are fine. It would be a problem if regulators came out and said “NFTs are illegal now”, but that seems unlikely at this point given that they’ve been looking at crypto for at least eight years. More likely, they’re looking at taxes, trying to get rid of fraud and bad actors, and really protecting users, rather than banning the technology.

And that seems like a net positive for people who are seriously trying to make good games, right? Because you want to distance yourself from the huge amount of pyramid schemes that exist?

Exact. They help our community, our player base, which we also care about.

In the long term, what do you think blockchain will mean for gaming?

I think we will see blockchain play a significant role in gaming in the future. That won’t be all; not everything needs to have blockchain in it. Single player games may not be, for example.

And I think blockchain will become invisible to many users as well. They will not realize that they are interacting with the blockchain, it is not advertised as a blockchain or play to earn game, it is just a normal game and they will know that items can be exchanged or what the mechanic is.

Like how in 2006 we specifically called out games with online features, but now pretty much every game has some kind of online functionality?

Yes, they are all just games.

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