Those who are paying attention to what’s going on within the EOSIO ecosystem may have noticed a bullish trend in the blockchain gaming industry. Ever since gaming dApps overtook gambling dApps for the highest number of daily users; gaming in EOSIO has continued to set precedence for this ecosystem and it doesn’t seem like its slowing down anytime soon. In fact, gaming seems to be picking up pace this year, leading the charge for blockchain adoption.
Having recently written an article covering the prominence of EOSIO gaming, I’d like to extend that and reflect on what it means for mainstream adoption of EOSIO. Thus, this article will take a look at the impact gaming can have in moving blockchain adoption forward.
How it all began. (2018)
When EOS first launched in June 2018, there weren’t many applications running on it. Most of the applications deployed at the time where those developed by Block Producers and were meant to provide convenience for users of the EOS blockchain. So things like decentralized exchanges, block explorers, and market data tools, where the first applications to be deployed on EOS. Then we saw a rise in token airdrops for projects that were planning to launch their applications on the chain.
It didn’t take long for applications to migrate to the EOS blockchain. The first applications to leverage EOS’ capabilities were gambling dApps. On the EOS blockchain gambling platforms were able to provide instant and feeless transactions. These platforms quickly took off and became the leading dApps on EOS with the highest number of users across all blockchains.
Back then the narrative pushed by those who disliked EOS, for reasons known only to them, would say that’s all EOS was good for – gambling. They would criticize and try to downplay the volume of transactions that these gambling applications were able to carry out on a daily basis on top the EOS blockchain. We knew what those numbers represented – each of those transactions represented an action carried out by users of these platforms and the numbers where telling a story of increased adoption.
Not quite there yet. (2019)
By 2019, a year after the launch of the EOS mainnet, new types of dApps were emerging and the migration of dApps from other blockchains was in full force. Gambling, social, gaming, finance, you name it they all came for EOS’ unmatched technical aspects. Each project that migrated to EOS brought with them they’re loyal band of users, and projects that were developed on EOS helped attract new users to the blockchain.
By mid-2019 it was becoming clear which dApps were succeeding in retaining users. Gaming dApps were steadily surpassing gambling dApps in the number of daily active users, and the reason for their success was hiding in plain sight, still is. We’ll take a look at what makes gaming more successful than all the other dApp types later on. For now, there’s one other thing worth mentioning about the EOS dApp landscape during the year 2019 and it is something I’ve mentioned before in previous articles.
In 2019, towards the end of the year, EOS was faced with an event that has left a bit of a blemish on the network. It’s hard to not know what I’m referring to here as this event is constantly being referred to by people using it as an excuse for why EOS isn’t a better technology. Late in 2019, EOS became a victim of its own success, now depending on who you ask this was either a good or bad outcome for the blockchain. A certain project by the name EIDOS exposed limitations of EOS’ resource model as it quickly filled CPU resources with transactions that the network couldn’t handle.
Since 2019 was the year EOS experienced a surge in user activity due to the increase of new dApps entering the ecosystem, the added stress of EIDOS transactions led to the EOS network entering a congested state as it reached its limits. Anyway, EOS is moving past that now and the network has found ways to deal with that in a decentralized manner. In present time, people are now being afforded free transactions without the need to stake CPU as before, which tends to favor the narrative that EIDOS was indeed good for the network. That’s a topic I’ve touched on many times before and will just end it there this time around.
Fortunately, 2019 captured a diverse EOSIO ecosystem with recent launches of chains like Telos, Worbli, BOS, and WAX. These chains provide unique attributes while still offering the great performance features of EOSIO, and they helped keep dApps and users within the EOSIO ecosystem while EOS was in “shambles”. An ecosystem that creates a great network effect because once users and developers experience the fast feeless transactions of an EOSIO chain – there’s no going back to anything else.
Getting there. (2020)
Which brings us to 2020; a year that marks the beginning of a new decade and hopefully the start of a new era focused on blockchain technology. Gaming on EOSIO has come a long way in a short period of time to currently being ranked first in the world across all blockchains, led by EOS Dynasty which runs on the EOS blockchain. Taking into account that EOS is only two years old, the network has gone through the necessary tests to know where its strengths and weaknesses lie. Thus it will allow EOS, and all its stakeholders, to plan accordingly on which direction the network will take.
We’re seeing a trend of gaming growth this year and not the kind of growth we witnessed in 2019, this time the EOSIO ecosystem has matured and is setting itself up for long term success as there are a lot of partnerships being undertaken. These partnerships are laying the foundations for the future of gaming by creating an environment that’s easy for other gaming dApps to join and a much more user-friendly onboarding experience.
For instance, Telos recently partnered with a gaming company to create a platform that will deliver blockchain to the mainstream world of gaming. WAX is enjoying a successful TOPPS partnership that has seen their blockchain-based digital assets sellout in under 48 hours and reach mainstream markets such as eBay. The EOS VC Fund has also been ramping up investments in gaming companies this year which might signal some interesting developments toward the end of 2020.
What gives gaming dApps an advantage over other types of dApps?
Earlier on I said we’d take a look at what gives gaming an advantage over all the other dApp types. The answer is simple. Gaming is already an industry that’s seeing a massive growth in popularity even outside of blockchain. More people are finding it easier to play games online amongst a global user base, which enables them to also fulfill their social needs. Social gaming is basically any game where its players have the ability to socialize (communicate) over the internet. At first, communication was done via text but as technology continued to evolve people can now communicate by voice or video depending on the gaming platform their on.
But that’s still not the reason why gaming dApps are more popular than other dApp types.
Most people partake in gaming for pure entertainment and socializing, and there’s one thing that’s been preventing them from gaming full-time. Blockchain has the answer for that. No, blockchain is the answer for that. See, on the blockchain, gaming platforms are able to create entire ecosystems that reward its players with value and this value usually comes in the form of tokens. Blockchain facilitates environments of transparency, environments that connect the game developers and the players by evenly distributing control and ownership of assets. The game developer creates the rules of this environment and issues them on a blockchain. Once issued these rules cannot be changed and they’re there for everyone to see and abide abide by.
If the developer can’t change these rules and it is verified, then players also can’t manipulate them to gain an unfair advantage. When a gaming environment has a transparent system with integrity built into it, that’s when players start treating it a bit more seriously. Now they can verify with 100% certainty the value of the in-game assets and the availability/scarcity of some of these assets. By introducing a digital token that complements this environment, players go from taking the game “a bit more seriously” to playing it full-time or even professionally.
Adults don’t stop playing games because they outgrow them, they stop playing because of responsibilities they’re now faced with. The workplace becomes an adult’s playground and work becomes the new game. All that though can be reversed by introducing a game the adult loves. Add to that the introduction of a tokenized ecosystem that rewards them for playing, as well as the addition of a couple of other players for them to communicate with and you get a self-driven full-time gamer capable of meeting their financial responsibilities. That’s what makes gaming dApps more popular than other dApp types.
This is where the world is headed and although this won’t apply to just gaming, it is the industry that’s most capable of showcasing the capabilities of blockchain technology. Most gaming platforms employ a play-to-earn model, meaning a player doesn’t have to make any monetary investments in order to start earning. A major shift from traditional models where players have to make an investment before they can earn or they don’t earn at all. Soon the world will start working remotely and models like the one I’ve just mentioned will start taking over social media, sports, and other recreational activities.
Many people whose jobs cannot be conducted remotely will be out of work in the near future as digitization and automation take over. Soon they’ll start looking for alternative ways to earn an income and blockchain is where most will inevitably end up; just like you and I have – to a certain extent. Blockchain, as it is today, is already in a state where a tokenized ecosystem exists to cater to people’s different interests. Gaming is just one industry that happens to be in the leading position and it doesn’t look to be letting up anytime soon, instead it’s setting up for a booming future. At least that’s what the future looks like for EOSIO gaming!
Thanks for reading!
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