Major game publisher Square Enix continues to invest in blockchain games despite bear market

Prominent Japanese video game developer and publisher Square Enix has revealed that it will continue to invest in blockchain games despite the recent turbulence in the crypto market.

In a Sunday letter, Yosuke Matsuda, the president of the company, said the game publisher will double down on Web3 games in the coming year. He described that Square Enix is ​​”mostly focused” on blockchain-powered gaming amid its new business development.

Matsuda said Square Enix is ​​developing “more blockchain games” based on original IP, rather than its existing franchises, with plans to launch even more such games in 2023. The firm is also still considering investment opportunities around blockchain “in Japan or abroad,” he wrote .

“Blockchain has been a subject of excitement and a source of unease, but with that in the rearview mirror, we hope that blockchain gaming will move into a new stage of growth in 2023.”

Matsuda noted that despite the extreme volatility in the crypto and NFT space and a dismal series of blockchain-related news stories, including the scandalous bankruptcy filing of FTX in November, there was still widespread adoption of blockchain technology. He said:

“Looking externally, I think it’s fair to say that blockchain gained significant recognition as a field in 2022, as evidenced by ‘Web 3.0’ becoming a well-established buzzword among business people.”

He specifically mentioned the Japanese government’s focus on encouraging Web3 development as part of a plan called the “Priority Policy Program for Realizing a Digital Society.” The country even awarded some authorities NFTs.

Matsuda also tried to portray the recent decline in the crypto market as natural. He said new technologies often cause “confusion” before they gain widespread use. So if there is turmoil in the crypto market, this should not necessarily make investors doubt its potential.

Square Enix is ​​a video game publisher and developer headquartered in Shinjuku, Tokyo, Japan. The company is known for its science fantasy anthology media franchise Final Fantasy which has become a global phenomenon due to its groundbreaking graphics.

Last November, the company announced its first blockchain game. Called Symbiogenesis, the game was built around Ethereum NFTs and described as a “digital collectible art experience.” According to a recent tweet“The game is about choosing whether to monopolize or [share]information with other players.

As reported, Square Enix also partnered with NFT platform Enjin to launch its digital collection of cards celebrating the 25th anniversary of Final Fantasy VIIa role-playing video game from 1997. The NFTs are based on the popular game Final Fantasy VII, and are tied to physical trading cards and toys that will be released this year.