The Next Big Trends in the Web3 Gaming Industry
1.9 million, That’s the average daily active unique wallets (dUAW) of gamers as of February 2024.
According to Dappradar’s report, gaming holds the top spot as the most active product category amongst other web3 categories, with adoption rising increasingly. This means that out of 6.7 million daily unique active wallets (dUAW) using blockchain applications, 28% of all active wallets interact with gaming dApps.
However, despite the scaling adoption rate, there’s still a sense of animosity among some gamers, saying
Web3 Gaming is Dead … Or is it Inevitable?
With the contrast between the adoption of rate gamers now playing web3 games, the rising volume of and the polarising sentiments, Jeffrey Zirlin, the Co-founder of Axie Infinity and Ronin, comments about the Wall of Worry of gamers winding on for miles is expected, because the Tripple A games are still MIA captured the essence of this sentiment.
However, according to him, this is where he prefers to build from. It’s not just Jeffery, who’s spoken up about this, Jeremy Horn, Founder of Xterio and Overworld, comments on the result of several TGEs not meeting the community’s expectations, which has been the catalyst leading to a period of low sentiment.
And in his words; This space — the web3 gaming industry — will take multiple years to mature as it needs the combination of game development, regulation clarity, and large distribution platform guidelines, but it will happen.
The reality of this question on Web3 gaming being dead is, that games are meant to be fun, but when there’s no reward it’s not. While more time is needed to build top games, the sometimes lack of reward or incentive creates FUD.
One might see this as a major pitfall of the Play-To-Earn model of gaming. Some might see this as a random day in the web3 space. Others might see this as an opportunity to create new solutions. But the question remains:
What direction is Web3 gaming evolving towards?
That would see game elements responding to player actions, leading to unique experiences that evolve with the player’s journey. Where games could allow players to shape the game world and storyline developments – extending ownership experience.
Where the development of interoperability standards ensures a seamless asset transfer between games and platforms, affecting the virality of web3 games
Like Jeffery and Jeremy, Co-founder and founder of Axie Infinity and Xterio labs mentioned, the space is evolving, however, it has also evolved from what it was a few years ago. Henry Chang, the CEO of Wemade, believes that:
As developers gain experience and confidence, we should also see greater experimentation and sophisticated use of blockchain elements in-game mechanics and gameplay, and a wider variety of Web3 games of different genres.
However, regardless of your views on it, new trends are happening within web3 gaming that sparks some form of excitement and it begs the question:
What are the next Big Trends in Web3 Gaming?
The Web3 industry is an incredibly innovative technology space; the idea behind the industry is innovative and the products that have been developed over the years have proved to be true as well.
And for web3 games, this has been the case, from the heralding introduction days of Play-to-Earn games when many folks didn’t expect it, to the continuous work to simplify user experience.
The next big trends are even more exciting than this and the web3 gaming industry is being turned on its head. Because in the last few months, and cycle, creators have become an important aspect of the industry, they are now and a trend is beginning to grow with them:
Play-to-own and user-generated content
Play-to-Own is transforming the gaming landscape by giving players true ownership over in-game assets and even game worlds. Unlike traditional games where items are confined to the game’s ecosystem and controlled by the developers.
Play-to-own models allow players to own, trade, and sell their assets on decentralized platforms. This shift empowers players to not only invest time into games but also earn tangible rewards that hold value outside the game.
In tandem with this is User-Generated Content (UGC), players not only own, but can create, modify, and monetize game content, extending the lifespan of games and fostering vibrant communities.
This could involve designing skins, building levels, or even scripting new game modes. This combination means players aren’t just passive participants—they’re co-creators in the game world, with the potential to earn from their creativity.
As a result, games become more dynamic and diverse, reflecting the collective creativity of their communities. This alone is beyond impressive, however, more trends are growing.
Social Gaming and Metaverse Integration
Social Gaming now extends beyond playing with friends; it’s about creating shared experiences within expansive digital worlds.
These worlds, or Metaverses, are virtual spaces where players can socialize, attend events, create content, and engage in various activities that go beyond traditional gaming.
This integration is leading to the development of persistent online spaces where players can maintain a digital presence, much like they do on social media, but within a gamified context.
This evolution is turning games into holistic experiences, where the gameplay is just one aspect of a broader social and economic ecosystem.
Interesting right? But how can you maintain privacy and still maintain a persistent online presence?
Zero-Knowledge Proofs for Privacy
Zero-knowledge proofs (ZKPs) are emerging as a key technology in gaming that allows one party to prove to another that a statement is true without revealing any information beyond the validity of the statement itself.
For example, when you upload identity documents online, there’s a risk of hacking. With ZK, you can prove your identity without exposing your documents. Instead of sharing a scan of your passport, you share proof that your claims are valid.
In gaming, this means players can engage in transactions, prove ownership of assets, or participate in activities without exposing their data. This is especially important during Cross-Chain transactions.
Cross-Chain Compatibility
Cross-chain compatibility allows assets, tokens, and even player profiles to be transferred between different blockchain networks. This interoperability enhances the gaming experience by creating a more seamless and inclusive ecosystem.
For players, this means that in-game assets can be used across multiple games and platforms, broadening their utility and value. One instance is seen in XOCIETY, where there’s integration of in-game outfits from various web3 projects.
The beauty of these new trends lies in the personalization to adapt to individual players’ choices, which is even enhanced by artificial intelligence.
AI-Generated Content and Dynamic Game Worlds
AI-generated content can include everything from procedurally generated levels to dynamic narratives that adapt to player choices, enabling players to unconsciously participate in the decision-making process in the game.
This technology allows for the creation of Dynamic Game Worlds that evolve in real-time, offering a unique experience to each player. For instance, an AI-driven game world might change based on the collective actions of its player base, leading to a living, breathing environment that reflects the community’s influence.
This not only enhances replayability but also fosters a deeper connection between players and the game world, as they see their actions have a tangible impact on the environment and story.
The game is changing—literally—and as Bartosz Skwarczek, the founder and CEO of G2A Capital Group said:
“With improved accessibility and user-friendly interfaces, we can also expect more elaborate game designs and more engaging gameplay mechanics, attracting a broader audience.”
Web3 Gaming Is Entering An Eventful Era
Web3 gaming stands at a crossroads. Emerging trends like play-to-own models, AI-driven content, and cross-chain compatibility point to a future where games offer more than entertainment.
They’re evolving into dynamic ecosystems that empower players as creators and stakeholders.
While challenges remain, the industry’s trajectory suggests Web3 gaming isn’t just surviving—it’s poised to redefine digital interaction and value creation in ways we’re only beginning to imagine.