Blockchain Gaming Generates Millions of Dollars With In-Game Asset Sales: Report
- Research shows that Blockchain gaming was pretty lucrative with companies generating millions of dollars after the sale of the in-game assets.
- Unlike in the legacy gaming models, the players will actually own the virtual assets and stand to make commissions after they have been sold.
Blockchain Intelligence analysis firm, Flipside Crypto has posted a report giving insight into the lucrative Blockchain gaming trend. They have compared revenue data for three of the most popular games: CryptoKitties, Gods Unchained, and My Crypto Heroes.
CryptoKitties makes over $27 million in revenue
CryptoKitties has accounted for the majority of the earnings generated by the Blockchain games. Launched in Nov 2017, the game involves acquiring, breeding at a cost, and later selling the virtual kittens for a commission initially supported on the Ethereum Blockchain. The game got a massive response from the market effectively crippling the network due to heavy traffic generated by players of CryptoKitties. It gave an opportunity to cat lovers to breed their dream cat.
With unique traits being inherited by the parents, the cat’s value would fluctuate depending on the scarcity of the traits. One such digital cat was acquired in 600 ether deal, equivalent to $172,625. They made a whopping $27,922,526 in just the first year, disbursing over $20 million in rewards for players on the platform.
Other gaming companies included in the sample space were competitive card game Gods Unchained and My Crypto Heroes. Gods Unchained recorded revenues of $4.2M their first year with their players receiving a meager $237k. Released on Sept 2018, My Crypto Heroes is an anime role-playing war game that generated an approximated $1.5M however disbursing just 118K to players after sales of the virtual products.
This has revealed a huge discrepancy in the pay ratio among the companies. With over 75% of CryptoKitties earnings going back to the user whilst My Crypto Heroes and Gods Unchained companies pocketing almost all the funds.
CryptoKitties to Move from Ethereum
Notably, Dapper Labs the developers of CryptoKitties has now announced that the game would be moving to their new custom, Flow Blockchain from the current Ethereum Blockchain citing scalability concerns. The game will still however retain Ethereum support although the majority of the new features will only be available on their Flow Blockchain.