The worlds of blockchain-based esports and gaming are booming at present, with their core activities transforming from a vibrant entertainment niche to a central form of investment around the world.
The impact of the rising popularity of non-fungible tokens, aka NFTs, is also massive for both the esports and gaming industries. These are a form of blockchain-based assets with a unique identification code that no one can copy.
This growing trend involves professional athletes and sports franchises earning millions of dollars through releasing their own NFTs, while players/gamers are all paying attention.
That shift has been powered by endorsements from mainstream celebrities and an increasing amount of coverage from mainstream finance outlets.
The blockchain adoption could help the esports space to grow into a decentralized marketplace, putting a real-world value on digital in-game assets. For instance, NFTs give them a unique identity and a tangible value making them portable and tradeable, just like physical collectibles.
According to recent research, total esports viewership is expected to grow to 650 million in less than two years, which puts their audience on pace to nearly double over short notice. Further, the esports market is expected to reach a value of $3 billion million by 2026 compared to less than $1 billion in 2018, growing at a 15% compound annual growth rate (CAGR).
Besides the huge sums of money to be made, innovating in this regard is the chance to make a positive impact on these industries’ core activities.
From curiosity to mainstream
What could we get when elements of eSports, gaming, NFT, and DeFi are combined? In theory, this creates an ecosystem that is cohesive yet deep enough to leverage the many different popular applications into one platform.
Blockchain-based esports and games involve quite a few stakeholders such as investors, yield farmers, game developers, NFTs creators, and DeFi applications to name but a few.
The technology that underpins cryptocurrencies can help here, bringing those stakeholders together under one roof and helping them to connect. It simplifies the staking process, distribution of yields, legal rights, asset transfers, and a host of other associated transactions.
There are several ways new blockchain ventures like Spores (a full stack NFT-DeFi platform) are bringing blockchain and esports together. Other companies like Animoca Brands, Razer, Tencent, Netease, and EPIC also take on the concept of gamification, developing it by building a whole blockchain-based economy around it.
These platforms provide decentralized and scalable resources to augment developers’ infrastructure and mechanisms to mitigate costly operations that stakeholders often face when using traditional platforms.
Spores Network, for example, believes that content is king and expects to launch a venture fund dedicated to NFT + DeFi projects, including blockchain game publishing, that can expand the reach of its ecosystem.
Spores is also equipped with features to facilitate and benefit all participants, including artwork and content creators, game developers, entertainment producers, clubs, collectors, celebrities and fans, etc.
To do so, Spores envisions a platform that is cross-chain interoperable — allowing users to issue NFTs, auction and exchange the assets and utilize other DeFi products without barriers.
In this sense, Spores takes the advantages of blockchain and smart contract technology to authenticate NFTs, track their ownership record and buy/sell history, and decentralize their trading procedure. These operations are all done while complying with intellectual property and copyright licenses to protect the benefits of the ecosystem participants.
The bottom line, the esports, and gaming industries are in growth mode, presenting a big opportunity for investors. Meanwhile, this fusion of blockchain and esports creates the huge potential to usher in a new level of applications, investment opportunities, and a higher degree of transparency.
What makes all of this even more exciting is that blockchain and wider cryptocurrency allow the decentralization of the esports world, which makes everything trustworthy and openly visible for anyone. From content creation, secure transactions to participation we see many solutions emerging.
The world of esports is fast-paced, cutting edge and definitely, there is much potential in adopting the endless benefits of blockchain technology. Knowing this, inclusive solutions such as Spores can be credited for part of the traction driving the industry forward.