How Does Blockchain Gaming Work?

How does Blockchain gaming work

Blockchain technology is a relatively new concept. It has been used mostly in FinTech and cryptocurrencies in the past few years, though that is changing rapidly.

It’s easy to get lost when trying to understand blockchain gaming because it consists of many different aspects.

But in this article, we’ll break down blockchain games and answer the question, “how does blockchain gaming work?”

When you first start looking into Blockchain, the most famous application is cryptocurrencies. People all over are trading and investing in cryptocurrency, which has grown by leaps and bounds year after year.

Then you start seeing it applied to finance. That’s not a surprise, considering how the traditional system has failed many times. However, you might be surprised when you see it applied to gaming.

And that’s what we’re going to go over today: how does blockchain gaming works and why it is becoming more popular day by day.

There are many exciting areas in which blockchain technology can be applied. This is the number one reason why blockchain games have become so popular in the last 12 months.

There has been much more interest in how blockchain gaming works, allowing users to own true assets, control their sales and distribution, pay for in-game assets, and real-time playability.

What Is Blockchain Gaming?

Blockchain gaming is a new type of gaming that uses blockchain technology. At its core, it’s a new way to play games and have fun.

However, there are many additional applications for this technology. It’s also about collecting new digital assets, creating your games, and making money from them.

Blockchain gaming is an exciting new way to approach the world of gaming. There are many different types of blockchain games that you can play today, including arcade-style games, strategy games, and even simple trading games, but the question remains how does blockchain gaming work?

The most popular blockchain game is called CryptoKitties. This game allows players to breed virtual cats using blockchain technology.

Players can breed these cats (or kitties) by buying them cryptocurrencies like Bitcoin or Ethereum. Players then race their kitties on the Blockchain or trade them with other players.

Some other examples of blockchain games are:

  • CryptoCountries – a war game where players try to take over virtual countries
  • Gods Unchained – a fantasy card game where players collect cards and trade them with other players
  • Blockchain Cuties – a cute pet game where players collect cute pets and battle each other with them

Blockchain gaming is a nascent category of video games built on software platforms, like Ethereum, that use blockchain technology to deliver unique gameplay and allow players to own in-game assets, trade them for other goods or real-world currency.

In other words, blockchain gaming is a new and exciting development for video gamers who want to have more control over their gaming experience and the value they derive from it.

When most people think about Blockchain, they think about bitcoin. But what started as a way to transact has become a way to store value in the form of cryptocurrencies like bitcoin and Ethereum.

And now, it’s becoming a way to play games. You have to learn and understand Blockchain so that you can answer the question of how does blockchain gaming works?

Blockchain gaming is a new genre that combines the power of Blockchain with traditional gaming. It’s a way for players to own and trade virtual assets without going through a centralized authority like Facebook or Steam.

Blockchain gaming can take many forms. The simplest form is an iteration of classic arcade or console games that lets players earn cryptocurrency by playing them.

For example, CryptoKitties lets players buy and sell digital cats — each “cat” is an NFT (nonfungible token) on the Ethereum blockchain, which means it’s unique and can’t be copied.

The other major type of blockchain game is decentralized play-to-earn games that exist entirely on the Blockchain, like Axie Infinity. In these games, players can earn cryptocurrency by winning battles and completing quests, just as they would in a traditional online RPG (role-playing game).

Players can also use their earnings to buy equipment for future battles or trade with other players.

How Does Blockchain Gaming Work?

Blockchain is decentralization, so it makes sense that developers would try to create decentralized games built on the technology.

But what does that mean for players?

In short, it means more freedom to play on your terms and greater opportunities for investment and growth.

The world of gaming is changing. With the advent of blockchain technology, gamers can now have full ownership of their digital assets and in-game currencies without the need for a central authority to oversee every transaction.

Going through this article, you should be able to answer the question of how does blockchain gaming works?

Blockchain tech has also allowed for creating more diverse and unique digital items that can’t be duplicated or destroyed, ensuring a better gaming experience for users.

To understand how blockchain gaming works, let’s first look at it.

Traditional games already have a lot of features found in other crypto modes, and players can use fiat money to buy in-game money, collect items, and upgrade their characters. So, what attracts investors and players to crypto games?

Identity is part of the reason why crypto games started. Unlike traditional games, Crypto partners give players power over what they collect through blockchain technology.

Players can own their in-game items, trade them or sell them. Whether a Splinterlands creation card or an Axie purple with green thorns, a dynamic market attracts players.

Earning money by playing also attracts players. Some games have been criticized for having a paid model to play, in which players have to invest in getting the best out of the game.

Before playing crypto, investing can only improve your knowledge, such as being able to climb faster. Crypto games do the opposite: a gambling model for money now allows people to make a profit by investing their money in crypto games.

For some Filipino players, this has enabled them even to lead. This explains the question: how does blockchain gaming work?

How Is Blockchain Gaming Different From Traditional Gaming?

Blockchain gaming is a new term for an old idea: that you can use the Blockchain, a trustless and distributed ledger technology, to create games with unique properties.

Blockchain games do this in many different ways: Some use assets stored on the Blockchain and owned by players as nonfungible tokens or NFTs; others allow users to purchase in-game assets using cryptocurrencies like ETH.

But both types of games have one thing in common: Their assets are either fungible or nonfungible tokens, which means they can be traded outside the game.

This is how blockchain gaming differs from traditional gaming. Games like Candy Crush Saga are incredibly popular, but if a player wants to sell their account, they’re out of luck because their hard-earned digital assets are locked up inside the game’s code.

If you play Grand Theft Auto V, you can buy in-game items with real money — but you can’t sell them to other players, and you’re at the mercy of whatever Rockstar Games decides to charge you.

The difference between these games and blockchain games is that blockchain games’ assets are verifiably scarce and unique on the Blockchain, which means they can be owned by players and traded with anyone else on

The main difference between blockchain gaming and traditional gaming is the ability to own game assets. As a gamer, you can own the assets in your wallet.

The item you bought in the “A” game can be used in “B” games. The most important thing is that any central party does not own the assets.

Once you pay for it, it becomes yours forever, and no one can take it away from you. This will make it possible for gamers to trade their assets outside of the game.

They can also sell them on the secondary market, which makes the asset more valuable and makes some money out of them.

This will increase the retention rate in games because if I buy a rare item, I might want to keep playing to see if there are other things to buy or try my luck with my rare items.

Traditional games have been around for decades, and they are still successful today, but a new approach is needed to keep up with ever-changing technology.

Blockchain gaming has already started growing this year and will continue to expand in 2019.

Benefits Of Blockchain Gaming

The benefits of Blockchain gaming are numerous, and it’s easy to see why the technology is revolutionizing the industry.

Blockchain is a new way of playing and interacting with games that offers an alternative to centralized servers, where gamers can now compete on a decentralized platform.

  • Secure: The decentralized nature of the Blockchain makes it one of the most secure systems ever existed. Decentralization means no central server or database for hackers to target. This makes hacking into a Blockchain network almost impossible as all the data is distributed across millions of computers worldwide.
  • Ownership: Blockchain gaming eliminates the notion of owning an in-game currency or item by allowing every player to have complete ownership over their digital assets. They can also trade these items as they wish, rather than being restricted by the game developers.
  • Immutability: Transactions made on the Blockchain are irreversible and therefore cannot be altered, enabling gamers to have complete trust in their digital assets without worrying about security breaches or hacks.
  • Lower fees: The decentralized nature of Blockchains will eliminate third-party intermediaries when it comes to gaming transactions, which will lower transaction costs and fees significantly. Additionally, according to some experts, Blockchains could reduce costs associated with fraud.

Blockchain technology is still in its early stages, but the potential benefits of blockchain gaming are already clear:

The first and most obvious benefit is that it will be easy to transfer items between games. Blockchain games can use a common token for items, and it will be possible to have an item in one game that has value in another.

The second is blockchain games will be immune from developers shutting them down or changing the rules, and the Blockchain is immutable.

That doesn’t mean it’s impossible to change, but you have a permanent record of what happened.

The third benefit is instant payments and micro-payments. Another benefit is security. Players will own their digital assets and won’t have to rely on game companies to keep them safe.

A fifth benefit is transparency. Once again, the Blockchain will give players a way to track what’s happening in the game, making it more trustworthy and predictable.

Axie Infinity

Axie Infinity is a game about collecting fantasy creatures called Axies and raising them to become powerful little fighters.

Axies are NFTs (nonfungible tokens) which means they are unique digital assets stored on the Blockchain.

They have special characteristics which make them desirable and valuable, but these characteristics can only be used within the game.

The potential for blockchain gaming goes far beyond digital cats. While most of the attention around blockchain games is focused on CryptoKitties, a game that involves breeding and digital trading cats, some industry watchers believe there’s much more to this emerging ecosystem than just cute critters.

There are many blockchain-based games in development, including Dragon King and Axie Infinity, an RPG that features a virtual collectible pet system.

Axie Infinity is run by Sky Mavis, a Vietnam-based game studio founded by Trung Nguyen and Viet Hoang. The studio’s first product was the decentralized app (DApp) CryptoDozer, downloaded more than 100,000 times since it launched in November 2017.

With Axie Infinity, the company is taking things to the next level with a mobile game that revolves around collecting monsters called Axies and using them to battle other players.

Blankos Block Party

Blankos Block Party is a free-to-play, massively multiplayer, open-world game where you and your friends can build worlds, collect characters and play together in a vibrant community.

Blankos are vinyl toys brought to life. They are mischievous, fun-loving troublemakers that come from an alternate dimension called Block Party.

Blankos Block Party is being developed by Mythical Games, a company that uses blockchain technology to give players true ownership over their digital assets.

This means that when you own a Blanko or any other item in the game, it’s yours forever. You can trade it with other players in the marketplace, sell it to another player for real money on a secondary market like eBay or keep it as part of your collection in the real world.

Blankos Block Party was first revealed at The Game Awards 2018 as a concept art teaser. The game is currently in development and will be released in 2019 on PC, with additional platforms coming soon after launch. To stay up to date on all things Blankos Block Party, join our mailing list below!

The studio is also working with Enjin (ENJ), a cryptocurrency project building a blockchain development platform for gaming.

Mythical Games has licensed Enjin’s SDK to integrate the latter’s ERC-1155 token standard, which it believes will add value to Blankos Block Party.

Enjin’s token standard is designed to support various use cases, including in-game economies and digital collectibles. “We want [Blankos Block Party] to be open source so that players and artists can create their collectible items on top of our game,” said Malcolm CasSelle, co-founder and CEO of Mythical Games. “And we want them all to be fungible so that you can trade them with each other.”


Based on the EOS blockchain, Upland is a digital world where you can buy, sell and trade virtual real estate. Every in-game action runs on smart contracts without transaction fees.

Each unique property on Upland comes with its card, featuring its full history of ownership and features. Ownership cards are NFTs (nonfungible tokens) that you can sell or trade.

Upland has a number of different use cases, including:

  • Real estate: Buy, sell, and trade properties in prime real estate locations in San Francisco, New York, and Los Angeles.
  • Collectibles: Find valuable collectibles such as golden tickets to special events and limited edition properties.

Digital art

Invest in virtual art that can be displayed on your virtual property or sold to other gamers.

Earning UPX (Upland’s native token): Complete quests, earn achievements, and use them to upgrade your properties with unique cosmetic items.

Upland is a virtual city-building game on the Blockchain. It’s a game about players owning digital property and trading it with each other (and hopefully making a profit).

Upland was created by San Francisco design studio Uplandme, Inc., working on the project for nearly two years.

The company recently raised $6 million in its seed round from some of technology’s biggest names, including Tim Draper, Michael Arrington, and Naval Ravikant.


The Mobox platform will enhance the gaming experience for gamers and developers alike through our Blockchain and Smart Contract Technology.

The Mobox Gaming Platform is a fully transparent, safe, and secure environment for all users. For gamers, it allows them to store their game items and trade, sell and buy in-game items on a decentralized state-of-the-art marketplace.

We aim to create a dedicated gaming community where gamers can interact and share information while enjoying their favorite games.

We want to bridge the gap between the two worlds of gaming – online and offline. As part of our roadmap, we plan to introduce moboxes which are physical storage devices with BlueTooth capability that can interact with Mobox Games through Augmented Reality technology.

Mobox, a mobile gaming platform, adopts blockchain technology for its rewards system.

The company will provide gamers with tokens in exchange for viewing ads and making in-app purchases. Those tokens can then be used to purchase additional items within the games.

“There are millions of people playing mobile games who should be rewarded with crypto,” Mobox co-founder and COO Marcelo Garcia Casil said. “We’re making it easy for them to get into crypto without having to mine or buy it from an exchange.”


Lightnite is a Battle Royale video game where players can earn Bitcoin. It’s the world’s first-ever cryptocurrency-enabled game with Lightning Network payments.

Satoshis Games created Lightnite, an indie game studio working since 2017 to create games with Bitcoin. The team launched its first product — The Satoshi’s Games Store — in 2018 and has just released Lightnite in August 2020.

As the bitcoin industry grows, developers are looking for ways to engage with the community and help onboard new users. Lightnite is one of these projects that aims to introduce new users to Bitcoin by blending it with a popular form of entertainment: video games.

Lightnite is a PvP Battle Royale game with a Bitcoin twist: players compete against each other for Satoshis that are scattered throughout the map and stored in a Lightning wallet.

In Lightnite, players need to search for weapons and resources, build bases, and use boats or cars to travel around the map. They can also mine bitcoin by shooting at Satoshis that have fallen from the sky or picking up items dropped by other players when they are killed.

The developers of the game claim to be on a mission to use the game as an educational tool for blockchain and cryptocurrency adoption. Players can earn real-world money by winning battles or mining Satoshis.


The main benefits of Blockchain gaming on the Ethereum platform include transparency, decentralization, and speed.

Developing blockchain games allows developers to create new business models that they could not previously implement with traditional game development models.

Their games have no restrictions and can be played around the globe without any latency or lag time.

For those interested in learning more about Blockchain gaming, the two most talked-about projects involving the technology that we can recommend are Gaming On Chain (GOC) and Enjin Coin (ENJ).

As for which solution you should choose to invest your money in, this largely depends on whether you want to use their ERC20 tokens or if you want to use their game development tools.

Though Blockchain gaming is currently still emerging and finding its place in the industry, it’s something to watch as it develops further.

Whether or not the technology will one day evolve into mainstream status remains to be seen, but who knows what additional developments might occur in the meantime?

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