NFT Game Development Company

NFTs are unique tokens hosted on the blockchain verifying digital assets’ ownership. It acts as a digital certificate that ascertains a specific person is the owner of a particular digital asset. The details regarding this ownership are publicly available in the blockchain and can be verified and authenticated by anyone worldwide.

NFTs help remove the limitations of ownership in digital assets such as artworks because people who own digital assets have difficulty proving their legitimacy. Also, it does not adhere to scarcity principles, which is an essential factor in determining the value of items.

Both these factors come into play in terms of NFTs in games. 

There are numerous reasons why game developers have switched to the usage of NFTs in their games:

Ownership of Digital Goods

The verification and authentication aspects become a massive relief for people who buy items inside the game. Because in the current ecosystem, the player cannot derive additional value from items beyond their usage within the game.

With NFTs, players can buy and sell virtual items with each other. The assets players purchase in the game can be sold to other players with the promise of monetary rewards.

Play-to-Earn

NFTs would help players turn their time and attention into currency. As many have dreamed in the past, it would enable players to earn money by playing.

This P2E system is directly related to selling and purchasing NFT digital assets. For example, suppose players have bought certain assets for a low sum or created in-game assets themselves (using breeding mechanics or integrated asset builders.) Players can then sell the items to other players and make a profit.

By doing this long enough and with expertise and care, players can start to earn money from the game in tokens and then convert them to crypto and eventually to fiat.

Interoperability

Today’s games limit what players can transfer from one game to another. In most situations, any asset player owns in one game, they cannot move to another.

NFTs, help change that. NFTs will make the assets interoperable, meaning they can function within multiple virtual worlds without compatibility issues.

Imagine a player buys a particular asset within one game. Once the player stops playing that game, they can transfer that asset into another game and re-use it there. Interoperable standards would thus help players to retain the value they have invested in in-game purchases.

Tamper-Proof

Blockchain is an immutable ledger of data. Once someone enters a piece of data, it is a permanent record. Therefore, no one can tamper with it.

Since NFTs are hosted on the blockchain, they, too, have the same benefits. So, the risk of data being lost due to hacks and other vulnerabilities is severely less.

If a particular player has owned an NFT, the proof of their ownership of that asset will always be in the blockchain.

Collectibles

Digital collectibles do not have the exclusive benefits as their real-world counterparts do at the moment. Because the whole point of collectibles is their exclusivity. Digital collectibles do not have the same claim to being exclusive.

With NFTs, this would change. Since people can track the proof of ownership throughout the asset’s lifetime, it would be easier to fit it in as a legitimate collectible. It would also be a huge gain, thus, to games that have cards and other items as collectibles that have value outside the game world.

Gatekeeper Access to Benefits

Game developers can restrict access to certain features with the use of NFTs. This is a beneficial strategy in games that requires a certain sense of exclusivity; imagine a private lobby with some attractive features. People who bought the NFT during a limited release can access these features, while those who have not cannot.

NFT game development requires developers to utilize an arsenal of development technologies, frameworks, and tools.

Below are some of them:

Game Engines

Game engines are IDEs that game developers use to create games. A game engine has many features, including a graphics engine, physics engine, rendering pipeline, etc., that make the development process easier and faster.

Some top game companies use game engines developed in-house. This affords them better control over the development.

However, most game companies rely on commercially available game engines. Below are a few of the top ones:

• Unity

Unity is a game engine that supports development for numerous platforms at the same time. 

The engine’s IDE supports coding in C# and has many advanced features such as the UI Toolkit, multiple render pipelines and real-time global illumination. It also supports development in both 2D and 3D art styles.

Unity is the most used game engine on the planet. Many of today’s games, particularly those on mobile, have been created using the Unity3D game engine.

• Unreal

Unreal is a top game engine created by Epic Games, the company behind Fortnite and Unreal Tournament. This game engine is renowned in the industry for helping developers create games with high-fidelity graphics.

Unreal’s host of features includes Lumen (a dynamic global illumination system), Nanite, World Partition System, and Blueprints. It uses the C++ language for development.

Blockchain

Blockchains are decentralized networks. Unlike centralized storage, the data is not stored in a single or a group of servers under the same company or administration. Instead, the blockchain shares the entire data across multiple nodes worldwide. This decentralization makes the data tamper-proof and hence, secure.

Blockchain is vital to NFT game development, as NFTs are hosted on the blockchain.

Below are some of these top blockchains that support NFTs

• Ethereum

Ethereum is the second largest blockchain network in the world (after Bitcoin.) It is a peer-to-peer network with a cryptocurrency called Ether. 

What makes Ethereum a popular blockchain is the smart contracts feature and robust support for creating dApps and blockchain-based games.

• Tezos

Tezos is an open-source blockchain network. It uses the Proof Of Stack data validation method and has significantly less carbon footprint than many other blockchains. The Tezos blockchain also supports smart contracts.

• Binance

Binance is another blockchain that uses the Proof of Stake method. It is renowned for having one of the highest transaction speeds among blockchains. It is also a cross-chain compatible blockchain.

• Solana

Solana is a blockchain built on RUST, a top programming language. 

Unlike most other blockchains, it uses both Proof of Stake and Proof of History methods for data validation. Besides, the blockchain can accommodate thousands of transactions per second.

Wallet

Crypto wallets are wallets that hold the private keys to an individual’s crypto holdings. The wallet does not contain the cryptocurrencies themselves, but only the keys users can use to access the cryptos holding on the respective blockchains.

Below are some of the top crypto wallets:

• Coinbase

Coinbase is a crypto wallet that supports 150+ cryptocurrencies. The wallet is known in the NFT game development community for its high standard of security and ease of use.

• Metamask

Metamask supports cryptocurrencies from multiple platforms. It also has support for the creation of various wallets. The wallet is used by developers who use Ethereum. In addition, it has support for NFTs.

Storage

Decentralized storage is a method that stores data in multiple nodes. It does not store the data in a single centralized server but splits it across users worldwide. 

• IPFS

IPFS, or Interplanetary Storage Protocol, is a decentralized storage protocol. Under this protocol, the data is spread across multiple nodes, which details within each node to find out where the data of other nodes are. In addition, the protocol is resistant to tampering.

• Filecoin

Filecoin is an open-source, decentralized storage system. It supports the storage of NFTs. It is a reliable method of decentralized storage and is also resistant to censorship.

The standard method NFT game developers use in games is turning NFTs into IAPs.

There will be an in-game store where players can buy NFTs of different types. The NFTs available in the store depend on the kind of game, theme, audience preferences, etc.

All in all, different types of NFTs are used in games. Below are some of them:

• Characters

Characters are an integral part of numerous games, particularly in games that have RPG elements, such as MMORPGs and mid-core games.

In such games, the characters would have unique powers of their own. Hence, players have an incentive to buy them, and developers have the opportunity to tokenize them as NFTs. Developers can even release limited edition NFTs of characters that have special powers.

Just like characters, in sports games and other similar games, developers can tokenize entire teams as NFTs. Players can buy the teams in these games and play as the players in the team and use their skillsets and powers.

• Weapons

Weapons are integral to the gameplay of certain games. In such games, there are usually multiple types of weapons, each with its powers and damage capabilities. In many games, these weapons are made into IAPs. 

In NFT games, developers can turn these weapons into NFTs instead. Like in the case of characters, players would be incentivized to buy them as the NFTs of weapons would allow them to make advances within the game.

• Skins

Skins are cosmetic items that do not help the gameplay in any way. They are mainly for the decoration factor and to make one’s character stand out from the rest of the gang.

Skins change the appearance of the player. In addition, some top game developers partner up with other media franchises that have recognizable fictional characters and bring these characters into the game and tokenize them as NFTs. 

• Items

Items in this context mean objects that do not have any impact during combat but provide benefits that are crucial to game advancement.

For instance, it might be a key that unlocks doors or a cloak that hides players that wear it. Such items, if made rare, can fetch the owners of these NFTs high value in the NFT market.

• Collectibles

Collectibles are items that the player can collect within the game. Although all in-game purchases fall into this category, collectibles are genuinely rare and hence are of a much higher value,

NFTs in games would help create scarcity, and developers would be able to tokenize the collectibles as NFTs. Then collectibles would be scarce and limited to a minimal number. Hence, their value will also be higher.

• Virtual Land

Virtual Land (or virtual real estate) is the land within the virtual world of an NFT game. 

NFT game developers can segment the overall area into different plots, each of which can be an NFT. They can then sell these plots to the players.

The plots under this system would have their unique properties. The value of each plot would depend on these properties.

• Vehicles

Game developers can turn in-game vehicles into NFTs. All vehicles would have their own properties, such as unique looks, maximum speed, etc. 

There are several factors one must consider when developing an NFT game. 

Resources At Disposal

More resources usually mean better development experience. Because the more people one has at their disposal for executing the game project, the better it will be.

Imagine an NFT game that has multiple features. If one person has to do it, they have to take care of the programming of the game, the artwork needed, the integration of blockchain, testing the different modules and gameplay, etc. No matter how experienced the NFT game developer is, it would be too much for them to finish in a short time.

On the other hand, if there is a team of NFT game developers, each with their own domain expertise, the development would happen much quicker. This is because the team can divide all the work among different resources and create the final output much more quickly.

Domain Knowledge

Expert NFT game developers would be able to execute any project quicker than people new to the domain.

Think about it, a person who has experience working in a top NFT game development company and has executed several projects would have in-depth know-how of how they should implement the features and create the game. As a result, their learning curve would be non-existent, and the mistakes they make would be minimal.

Contrast this with a novice who is new to NFT game development. The person would have to learn everything from scratch before the implementation. All game development aspects of the NFT domain must be learned, from blockchain integration to creating tokens. Moreover, the chances of mistakes between development and the time required for rescinding them would also be high.

The Complexity of the NFT Game

The more features the game has and the bigger the scope of a game is, the more time the game needs for development. Along the same lines, a game with a limited scope would require far less time.

Consider the case of having a game with multiple features. Each additional feature requires the development team to implement it and then do the testing to validate and verify it. Moreover, each feature will have to go through multiple development phases and testing cycles, depending on the feature’s complexity.

Likewise, if the game has a virtual world that is expansive and filled with numerous characters, the timeframe required for development shoots up. It requires NFT game developers to create innumerable assets based on the game’s requirements.

Tools Used for Development

The tools, technologies, and development frameworks used can prolong or affect the game development timeframe needed. The selection of a good set of tools can make the development process quicker. Similarly, the choice of the wrong tools would prolong the time required.

For example, take the case of the selection of a game engine. If the developers choose the right game engine, they can use all of its advanced features and finish off the different aspects of the game in minimal time. But on the other hand, the wrong game engine can not only rob the developers of these benefits but also even hamper development.

There are numerous factors that an NFT game development company should consider when assessing the budget for their game. Further, it is impossible to mention one round figure or a rough estimate without evaluating the game’s requirements, as the budget needed would vary widely based on the game’s concept.

So, below we list a few factors that you can consider when you assess the budget requirements of the game for an NFT game project:

• Cost of Game Engines

The game engine is a vital element in NFT game development. It helps create the game faster and quicker without coding the game engine from scratch.

This ease, however, comes at a cost. Commercial game engines are not always free. Most of them are paid tools for NFT game development companies. The payment scheme, however, varies from one to another.

First, some game engines have upfront payments. Developers pay for these game engines once, then use them for the entire software lifetime. Moreover, once someone makes the payment, they do not have to pay for the game engine again unless it is for add-on features or an entirely different version.

Meanwhile, other game engines are subscription based. Under this model, NFT game developers pay a fixed fee every month per the subscription they have taken. Besides, the number of features available for the user would depend on the subscription plan the developers have decided to take on.

Finally, are game engines that have a profit-sharing model. Under this model, the cost of using the game engine would be a cut from the overall profit the game makes once it is released. This percentage is usually fixed between the developers and game engine makers before the commencement of development.

• Other Software Costs

For an NFT game to function, it requires a whole host of additional tools and technologies. These include the storage facilities, the integrated crypto wallets, the development frameworks used, the cost of maintaining a blockchain, etc.

• The Scope of the Game

The game’s scope is also a huge determinant of the cost of NFT game development. The bigger the scope, the more the cost would be—likewise, the lesser the scope, the lesser the cost.

This is because of two reasons: resources and time.

Resources requirements cut into the budget because the more extensive the game’s scope, the more resources are required to develop the game. For example, if the game is a simple 2D game with limited levels and characters, the number of resources needed would be less. However, if the game is an expansive 3D open world with numerous characters, environments, and quests, the time required would be higher than the former.

The same logic applies to time as well. The higher scope requires more time for development. Usually, more time means a higher cost because the developer has to pay for the software and hardware licenses and take care of numerous overhead costs, not to mention the team’s salaries.

• Alteration in Scope

The more constant the scope stays, the better it is for the budget. 

Because changes in the middle of the development would require the team to return to the drawing board, which wastes a lot of time, effort, and money, especially if a particular feature has already been developed and must be discarded.

However, some scope change is inevitable in some cases because games grow with features as they are being developed if the developers discover new features that they can implement. This approach, however, must be dealt with caution as a change in scope means an increase in NFT game development projects’ budget.

Before we explain the difference between fungible and non-fungible tokens, we must understand what tokens are.

Most of the time, Tokens represent something in the real world. Hence, these are of real value. In addition, tokens are hosted on the blockchain. Also, tokens can serve multiple purposes. For instance, there are tokens for governance in DAOs, access to certain perks, and exchange value.

Now let’s have a look at what fungible and non-fungible tokens are.

Fungible tokens are interchangeable tokens. In this context, it means that one token is equal to another. One analogy for this is money in the real world because one note of the same value is the same as another. Even though the notes are different, if the store of value is the same, one will do as well as the other.

In addition, fungible tokens are not unique in any way.

On the other hand, Non-Fungible Tokens (NFTs) are not interchangeable. Meaning one NFT is not equal or the same as the other. Each of them is unique.

Hence, NFTs are used to prove that somebody owns a particular asset. Because of this, NFTs have a lot of use cases. These include (but are not limited to) proof of ownership of digital artworks, in-app purchases inside games, and tickets to virtual events.

Nowadays, there are dedicated NFT marketplaces from where users can obtain NFTs of different types for different use cases.

The number one reason is this: quality.

Because gaming is competitive, only the best games get ahead and monetize. This statement is especially true for P2E games, as many aspiring individuals and companies are trying to explore this relatively new form of gaming.

So, the team that works on the game must have certain factors to ensure the final game is of good quality. Below are some of the qualities that are characteristics of top P2E NFT game development companies:

Experience

The experience of the company in NFT game development is a significant predictor. P2E NFT game might be a new phenomenon. But game development is not. So, an excellent P2E NFT gaming company must have prior experience in NFT game development.

Also, this is because beginners lack of experience to create quality NFT gaming. To improve gaming experience, one must learn a lot about the industry and what the target audience wants. Both of these are gained through experience.

So, an experienced NFT game development company can help you craft quality P2E gaming experiences that people engage with.

Design Expertise

Game design is also a crucial element in P2E game development. Because creating a core loop that is centered around the P2E element is tricky. It requires the designer to carefully manage between providing a gameplay experience and guaranteeing an opportunity to learn.

There is a lot involved here. The core loop, for instance, is determined a lot by the genre of the P2E game. A P2E game of the RPG genre might have a core loop entirely different from a game in the puzzle genre.

The designers must also create balanced game economies for the P2E game’s ecosystem. Economic principles like scarcity also greatly determine the value players can derive from these games.

Blockchain and NFT Expertise

Blockchain and NFTs are critical elements in P2E games. The tricky thing about this is, not all developers have experience in these two domains.

In P2E gaming, expertise in domains is reflected in different areas. For example, creating tokens that players can convert to crypto to monetize their gaming experience is one. Knowledge of the latest tokenization standards for creating NFTs and other tokens is another. The third is the creation of NFT marketplaces where players can buy, sell, and trade valuable digital assets, including NFTs.

A good P2E NFT game development company would have experience in these domains.

Structured Process

The process your team will follow is a significant predictor of how well your game will be. Because in P2E game development, people from numerous game development domains are involved. If the process of the team follows does not enable easier collaboration, the result will be a buggy game that no one wants to play.

In addition, the process also becomes important when you consider how much involvement you would have. If, as a client, your involvement is not a huge aspect of the overall product process, then the team would deviate from the original vision you had. As a result, you might end up with a game opposite of what you want.

A good P2E game development company would have a tried and tested process that their team uses to create engaging games. It would help the team and you work together and make the quality output you want.

NFT marketplaces allow users to buy, sell, and trade NFTs.

Different marketplaces have different features and requirements. Some of them, for instance, are marketplaces hosting numerous NFTs. Others, meanwhile, might stick to a particular type of NFT, like art or game assets (as in the case of in-game NFT marketplaces.) Likewise, some NFT marketplaces are open to everyone, while others make memberships exclusive.

The Crucial Elements in an NFT Marketplace

No matter what the type is, there are a few elements that are part of NFT marketplaces.

● Blockchain

NFTs can be hosted in different blockchains because many have added support due to the popularization of NFTs. However, each blockchain has its positives and drawbacks, and the blockchain of choice for NFT marketplace development is a crucial decision.

● Digital Wallets

Digital wallets hold the keys to the cryptocurrencies that one has. Therefore, NFT marketplaces must have support for the best wallets. Because to purchase NFTs that the users are interested in, they would need to spend cryptocurrency. Vice versa, if the seller needs to sell an NFT and make money in return.

● Storage

The storage of vast numbers of NFTs in a marketplace is also crucial. The most common method is IPFS (Interplanetary File System.) IPFS is a peer-to-peer network that splits files and spreads them among numerous users,

preventing them from being vulnerable to security breaches and privacy violations as other storage methods.

● NFT Metadata

NFT metadata is data about the NFTs. This can include the name of the NFTs, the details of the creators, the transaction history, and more.

● Smart Contracts

Smart contracts are automated programs that execute once a set of pre-determined conditions are met. In terms of NFT marketplaces, these are vital to transferring the ownership of NFTs once a sale is made, without the marketplace manually initiating the sale.

The Multi-Step Process of NFT Marketplace Development

There is a multi-step process behind the creation of NFT marketplaces.

● Prototyping

The creation of the initial ideas of the marketplace. During this stage, only the bare minimum features are integrated. This is because the intention of a prototype is not to release it to the public but to test the feasibility of the idea to determine if it is good enough to warrant further development.

● Development

During this stage, the different features of the marketplace are developed. In addition, the basic infrastructure of the marketplace is also determined.

To do this in the best way possible, one needs developers with the best development frameworks and in-depth knowledge of blockchain.

● Testing

During this stage, the quality engineers would test the marketplace exhaustively. This team would check all the features to ensure everything

works as per the intention, vision, and documentation. The team might also draw up test plans to do this most efficiently.

● Release

Once the testing is completed, and all the features are determined to be in workable condition, the marketplace is released. People authorized to access can then buy, trade, and sell NFTs.

● Maintenance

Post-release, the team conducts routine checks to ensure the marketplace runs as intended, without downtime or major bugs. At this stage, the team will also incorporate user feedback to improve the overall user experience for the better.