The recent data released by DappRadar and BGA Games suggests that blockchain-based gaming has increased by 2000% since Q1 of last year, accounting for nearly 52% of all blockchain-related activities. This tremendous growth in the gaming industry is all possible due to the decentralized nature of blockchain technology.
Earlier this March, the blockchain-based games attracted approximately 1.22 million unique active wallets (UAW). UAW refers to the smart addresses provided to the users that can interact with the given smart wallets on the blockchain gaming platforms. The Axie Infinity was responsible for 22,000 UAW against the $615 million Ronin Bridge Hack.
The rise of play-to-earn NFT games on the Ethereum sidechain has proved to be one of the major factors for its growth. Pegaxy, Crazy Defense Heroes, Arc8, and Aavegotchi have contributed to almost 219% of Polygon’s gaming activities since early 2022.
Across the blockchain gaming sector, $2.5 billion of total funding was secured in Q1 by 2022, up 150% from the same quarter of the previous year. Animoca Brands was among the investors, raising $360 million at a valuation of over $5 billion as it established itself as one of Web3’s leading players.
The new era of gaming: Blockchain-based games
We can use blockchain technology to monitor in-game purchases made by either virtual or real money. Since the technology is decentralized, user data won’t be shared with any central entity, making it more secure.
Many virtual games and cryptocurrencies benefit from blockchain technology. As these two industries suffered from the issues of scams and data thefts, with the introduction of blockchain technology, everything is safe and reliable. The hackers will find it almost impossible to steal your data as blockchain ensures encryption.
Both gamers and game developers can use blockchain technology to build games that are not controlled by any central entity, thus permitting safer transactions. There were several instances of scams happening at multiple gaming websites due to the presence of hackers. But now, the gamers can safely put their money in the games as blockchain will encrypt their data.
Moreover, smart contracts or UAW do not rely on any central entity for their function. Nobody can modify the public-name address of the in-game resources or update the status of private ownership without the permission of the actual owner.
So, blockchain gaming has proven to be a blessing in disguise amid increased cybersecurity concerns.