How DeFi is Levelling up The Playing Field For Gaming and Betting
Disclaimer: The Industry Talk section features insights by crypto industry players and is not a part of the editorial content of Cryptonews.com.
The DeFi industry is growing at warp speed. According to DeFi Pulse, the arena now enjoys over $111.51B in TVL total value locked in. This number is growing exponentially, up from $93 billion just a month earlier, which represents a staggering 25% growth. The top three protocols leading this growth include Maker, Curve, and Aave, accounting for over 19%, 17%, and 14% of all locked-in value respectively, and who all specialize in DeFi for investing. DeFi classically is used for investing, borrowing, lending, and banking, with the potential for generous passive yield that is often unparalleled in centralized money markets.
DeFi For Gaming
However, lately, we have seen some other significant DeFi use cases come to light, which includes gaming. In fact in the first half of 2021 alone, according to the BGA blockchain game report, “Demand for blockchain-powered games has increased, with The blockchain gaming sector showing a more visible footprint in the industry as the space grew 121% in terms of unique active wallets reaching more than 804,000 unique users.”
This success can be particularly seen through the new ‘Play to Earn’ gaming model which is literally shaking up the arena. Play to Earn takes the gaming model away from rewarding users for just winning and incentivizes them for playing more. The more they play, the more they win.
DappRadar believes that “The success stories of play-to-earn games are a positive sign for the entire blockchain industry. The industry is represented by different blockchains in contrast to DeFi or NFTs where the focus is on the few. The involvement of NFTs in gaming dapps is positively affecting the space and the rise of the Non-Fungible Tokens is not expected to scale down anytime”
Mafia Syndicates, Trading Cards, and Denomination
Crypto’s Mafia Wars is one gaming arena that is fully on board the Play to Earn model. This new mafia metaverse, which is launching its own community in a matter of days, will not require upfront fees. According to them, “It’s not fair to ask people to pay $1000 hard-earned money before they can play or earn from the game. This is the crypto era and we want everyone to have an equal right to be able to play and earn. If Call Of Duty can become F2P, why can’t crypto games.” SYN CITY, is introducing a brand new model for governance known as Mafia-as-a-DAO or MaaD. It allows users to build their own mafia syndicates, where gamers can play and earn together, by working their way through events, investing in businesses, and simply by participating in the governance.
Meanwhile, according to DappRadar, the most played blockchain game is Splinterlands, with over 306k users daily taking advantage of its Play to Earn model. The trading card game allows users to collect cards and build a collection of playable Monsters and Summoners. So successful in fact is this exciting game that the team behind it is constantly announcing new updates and upgrades. The latest of which, is the Chaos Legion card pack expansion, giving users more choice and variety in play. Splinterlands is releasing the Chaos Legion card pack using its new anti-bot & scalper mechanism — VOUCHER, which ensures that cards go to the community that actually is involved with the game.
Another big name in the sphere is Bluzelle, a decentralized storage protocol, which is due to launch its Denomination game in the coming week alongside big-name studios. This exciting game includes components of battling, collecting tokens, completing quests, and the ability to earn and invest in NFTs, card packs, and more.
All of these games and others on the blockchain are creating microeconomics where users can not only play but engagement is especially high due to the rewards they can collect on the way, hence the sudden popularity of the Play to Earn model.
The Distinct Benefits of Betting on the Blockchain
One thing is clear and that is that leveraging the blockchain for the gaming industry comes with many benefits. It can solve problems for gaming platforms and bettors alike. For bettors, it solves the issues of unclear or incorrect odds and bet settlement, late or declined payouts, account limitation for successful bettors, and for bookmakers, it can address issues of liquidity limitations, high payment (10%) costs, and low conversions due to internal KYC.
Azuro, for example, one decentralized betting protocol governed by a DAO, seeks to resolve all of these issues by using the blockchain, as well as improving the UX for both bettors and bookmakers, increasing markets, navigation jurisdictional and regulatory limitations, and stabilizing the experience for both parties using decentralization. Products like Azuros are seriously raising the bar for bettors and proving to be a solid investment for investors. The idea of Azuro was founded on the two directors' own personal issues and frustrations within the gaming arena. It is solutions like these that solve real-world problems for people, that make protocols like these the future of the blockchain at large.
Players Jumping on Board
Apparently, the players understand the benefits of the new blockchain-based gaming style and are jumping ship from internet-based gaming. In addition to all of the positive security and trust implications inherent with blockchain gaming, the new Play to Earn model is giving players the opportunity to gain income just by playing a game. It seems like DeFi gaming has a long way to run and is drawing closer to a state of mass adoption.
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