Impacts of NFT Games

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• Players

        NFT games allow players to truly own their virtual assets, for they are backed by blockchain technology. Players have more control over their virtual experiences and the ability to trade their in-game items and assets and earn real-world money. Take Axie Infinity as an example, some of the players earned a decent amount of income through playing. In the documentary, a Pilipino player stated that he moved from a hub to a house because of playing the game. NFT games also have the potential to increase player engagement, as players have a stake in the game and are incentivized to play and participate. 

        However, there is part of people who speculated the whole thing could be a giant bubble. And they worried that if NFT becomes unprofitable, are those assets and values in the game still valuable? The uncertainty about whether NFT will be an economic bubble that may collapse at some point comes precisely from the continued madness of acquiring NFTs and a potential over-speculation and herding in NFT investing. 

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        Also, the low accessibility and high complexity of NFT games prevent part of the potential players. The cost of entry for an NFT game can be high. Almost every NFT games require a wallet for in-gaming purchases and transactions. And some games require players to purchase NFTs before the game to participate. For those who cannot afford to purchase these in-gaming items, NFT games create a sense of unfairness and exclusion. Additionally, transactions on the blockchain can incur high fees, which will make it expensive for players to participate in NFT games. As a relatively new and unregulated market, NFT games create opportunities for scams and fraud, where players may fall victim to fraudulent sellers, fake NFTs, or phishing scams.

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• Producers       

        NFT games can create a new revenue stream for game producers, as players can buy, sell, and trade unique in-game assets. This can also incentivize players to spend more money on the game in order to obtain these assets. The use of blockchain technology can also improve the security and transparency of the game, making it more difficult for players to hack or cheat. Additionally, NFT games may attract attention from investors and blockchain enthusiasts, and potentially leading to more funding and partnerships.

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        Developing an NFT game can be costly and time-consuming, requiring expertise in blockchain technology and smart contracts. It can also be difficult to predict the success of an NFT game, as it depends on various factors, such as the quality of the game, the popularity of the assets, and the overall market for NFTs. Additionally, some players may be put off by the perceived pay-to-win nature of NFT games, which may affect the game's popularity and revenue potential.

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• Artists       

        NFT games can provide a new platform for artists to showcase their work and potentially earn revenue from the sale of their in-game creations. This can be especially valuable for emerging artists who may not have as many opportunities to showcase their work. Additionally, the use of blockchain technology can help prevent unauthorized use of their work, which can be important for protecting their intellectual property rights.

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        Some artists may not be comfortable with the technical and legal aspects of creating and selling NFTs, which can be complex and require knowledge of blockchain technology and smart contracts. Additionally, the NFT market can be volatile and speculative, making it difficult to predict the value of an artist's NFTs over time. This can create uncertainty and financial risk for artists who invest time and resources into creating NFTs.

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• Gaming Market

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        NFT games are driving innovation in the gaming industry, as developers are exploring new business models, gameplay mechanics, and economic systems. This can lead to increased competition and a higher quality of games. They can also attract new players who are interested in the unique features of NFT games, potentially expanding the gaming market. 

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        The rise of NFT games could potentially have a negative impact on the traditional gaming market, as players may shift their attention and spending toward NFT games, leaving traditional games behind. This could lead to a decline in the quality and diversity of traditional games. “90 percent of people will not play a video game unless they are being properly valued within the next five years”, said Alexis Ohanian, the founder of Reddit, “In five years, you will actually value your time properly, and instead of being harvested for advertisements or being fleeced for dollars to buy stupid hammers you don’t actually own, you will be playing some on-chain equivalent game that will be just as fun, but you’ll actually earn value, and you will be the harvester.”