The role of NFTs in competitive strategy games

By Kameshwaran Elangovan

Gaming, very much like other sports, has also demanded its fair share of agility, responsiveness, attention to detail, and above everything, a strategic approach. This has been one of the reasons why a lot of game tournaments have been organized throughout the world, and the winners of these games, who are, more often than not, strategic thinkers, have made thousands if not millions of dollars.

Parallel to this, it should also be agreed that the strategy also depends on the effective utilization of game accessories and add-ons. In addition, some game assets, by default, are pre-programmed to perform better than others, which again, is a result of a person spending a considerable stretch of time in the game.

For instance, a car with a better engine and better streamlining/aerodynamics is bound to perform better in a car racing game. A car with a nitrous oxide booster is bound to pick up speed on the straighter parts of the track… But the booster would, in most cases, be an add-on. That being said, even the utilization of these accessories depends on a variety of factors like the kind of competition, the particular segment of the game, and a lot more.

Which so much at stake, it is important to ensure that the gaming assets are not duplicated or counterfeited… Which could very much be possible in the digital world. It also needs to be ensured that a person who struggles their way through the game, grinding towards the top, should not be locked out of their achievements with simple issues like losing access. Given the fact that there are possibilities of gaming multiverses, it would also be a great idea to ensure that the given asset/accessory lives beyond the game itself.

It is for all these reasons that NFTs could be one of the most effective and efficient inductions into the world of competitive strategy gaming.

As most of you may have known… (At least because everyone talks about it!), NFTs or non-fungible tokens are digital tokens that reside on the distributed digital ledger called the blockchain. Unlike coins, they are unique and their every attribute ensures that the legacy of authenticity is carried forward without any compromise on integrity. While this could be a lovely case for digital collectibles, it also works well when it comes to gaming assets.

When gaming assets are made into NFTs, they acquire the superpower of impenetrable authenticity. This also gives a certain elevated authority to the sense of ownership for gamers.

Since the asset, as an NFT, is embedded in the blockchain, it becomes almost impossible to create a digital counterfeit of the gaming asset, ensuring that the competitive advantage acquired by the game or through their efforts and spendings is not rendered ineffective, especially in gaming arenas of high rewards.

Sometimes, a gamer might feel a sense of saturation after they have played enough. If the gaming asset were not an NFT, they do not have a chance to do anything else but close their gaming account and just leave everything as it was. However, with NFTs, it becomes possible for them to put their assets for sale on NFT marketplaces. This way, passively yet effectively, they can monetize the time, effort, and their skin in the game.

The monetization possibilities do not stop in the passive territory… And that is the best part! With NFTs, it becomes possible for games to open up a new opportunity called play-to-earn, commonly abbreviated P2E. At the end of games or tournaments, the winners or the table toppers are rewarded with cash prizes… And it becomes an incentive for people to participate in the game. While this might not be a direct contributor to an advantage when it comes to competitive strategy, the fact that NFTs open this new window induces a greater sense of passion and belongingness towards the game, which fosters the competitive spirit.

More than anything, bringing NFTs into the game is a great catalyst for inculcating community spirit into the game… Which is one of the core virtues of NFTs or any other Web3 element for that matter. People start to engage with each other, communicate ideas, start discussing traits of their gaming assets, come up with collective strategies, and a lot more! For all you know, the game development company can even take cues from these discussions and make their game more competitive… And it should not be forgotten that the community engagement came into being only because of the existence of NFTs. Possibly, NFTs did help in making the game more competitive and strategic!

We have seen a lot of traditional games step into NFTs… And we have also seen a lot of NFT games carve a niche for themselves, displacing some of the old players when it comes to the intensity of engagement. It is quite clear that NFT gaming is here to stay, especially with a market value of over $3 billion in 2022 and a predicted CAGR of over 32% over the next five years.

The author is COO, co-founder, Guardianlink

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