Sandbox Co-Founder Foresees AAA Game Studios Embracing Web3

Sebastien Borget, co-founder and COO of The Sandbox, has shared his optimistic view on the future of Web3 gaming, predicting that AAA game studios will eventually embrace blockchain technology. Speaking to crypto.news, Borget discussed the hurdles and potential that Web3 gaming faces on its path to mainstream adoption.

Current Landscape of Web3 Gaming

Web3 gaming is revolutionizing the traditional gaming industry by providing players with more control and ownership over their in-game assets. These assets, such as items, characters, and currencies, can be traded, sold, or even created by players. This decentralized approach is a significant shift from traditional gaming platforms, which typically retain control over in-game content.

Challenges in Adoption

Despite the innovative potential of Web3 gaming, the sector has faced challenges in gaining mainstream acceptance. According to a Blockchain Game Alliance report, 51% of users believe that player onboarding is the biggest challenge, while 37.2% consider poor gameplay a significant issue. Major gaming companies like Ubisoft and Sega have slowed their Web3 initiatives, searching for strategies to crack the mass adoption code. Additionally, more than 75% of Web3 games launched in the last five years have failed, according to a CoinGecko report.

Industry Growth and Potential

Despite these challenges, the Web3 gaming sector is expected to grow significantly, potentially becoming a $30 billion industry by 2030. Borget, who also serves as president of the Blockchain Game Alliance, believes that smaller, more flexible studios will drive innovation in this space. These studios are culturally and operationally better equipped to experiment with new technologies and business models.

AAA Game Studios’ Role

Borget notes that AAA game studios are likely to wait for smaller studios to innovate and prove the viability of Web3 gaming before making their move. Larger companies face numerous process overheads that hinder their agility. However, some big names like Nexon, Ubisoft, Atari, and G2A have already started exploring Web3 and blockchain gaming, often by setting up separate teams to overcome these constraints.

Technological and User Experience Hurdles

One of the major hurdles for Web3 games is the user experience (UX), especially in onboarding new players. Setting up wallets and navigating blockchain-based processes can be time-consuming and complicated. However, Borget believes that as the technology matures, these processes will become more user-friendly, similar to how early smartphones evolved to offer seamless user experiences.

Integration with Major Gaming Engines

The integration of blockchain technologies with major gaming engines like Unity and Unreal Engine is another critical factor. These engines now offer tools that facilitate interaction with Web3 elements, such as wallets and blockchain transactions. However, distribution and access to players remain challenges that need to be addressed to compete with traditional Web2 games.

Strategies for Attracting Traditional Gamers

To attract traditional gamers, Borget suggests focusing on fun and engaging gameplay that offers new experiences. Educating players about the benefits of blockchain technology and simplifying the onboarding process are crucial steps. Platforms like Google Play and the Epic Store moving towards supporting Web3 games also play a significant role in this transition.

Role of NFTs and Token Economics

NFTs and token economics can significantly enhance gameplay and player engagement in Web3 games. By allowing players to own, trade, and create in-game assets, these technologies foster a sense of ownership and participation. Players become active stakeholders in the game’s ecosystem, contributing to its success and growth.

Innovative Applications and Future Trends

The Web3 gaming space is still in its early days, with a lot of experimentation and innovation underway. Decentralized finance mechanics, staking tokens for access to content, and airdropping tokens are some of the emerging trends. These innovations aim to engage users by offering unique experiences and incentives for participation.

Conclusion

Sebastien Borget’s insights highlight the transformative potential of Web3 gaming and the expected shift of AAA game studios towards blockchain technology. While the journey to mainstream adoption presents challenges, the ongoing innovations and increasing interest from major players indicate a promising future for the integration of Web3 in the gaming industry. As the technology and user experiences improve, Web3 games are set to redefine the gaming landscape, empowering both players and developers in unprecedented ways.