Will play-to-earn gaming take over Esports? The cases for – and against – NFTs in Esports

One important question has been dominating the gaming industry: Will play-to-earn gaming take over Esports? Of course, there’s a bigger question regarding whether P2E gaming will disrupt the entire gaming industry as we know it.

When we talk about play-to-earn gaming, remember that it’s about more than just gaming: it involves DeFi elements, NFT elements, and more. How will these elements affect the ESports industry? Given their unique incentives and advantages, will professional play-to-earn gamers begin moving more towards P2E games? 

Thanks to the rise of play-to-earn gaming, let’s examine what may happen to the Esports sector.

Why P2E gaming is so powerful

We know blockchain technology has the power to disrupt many different industries, and that includes the gaming industry. Thanks to play-to-earn gaming, there’s now the option for people to play entertaining games that can also make them money. These new incentives might not just end up changing the gaming industry, but the Esports industry as well.

The good news is this is something professional play-to-earn gamers seem to want already. In fact, 63% of gamers in general want more virtual goods with real-world value, and NFTs can address that need immediately. 

Some of the largest gaming companies are embracing both NFTs and the play-to-earn model. There are now Esports tournaments where the prize might be tokens or NFTs. For example, Axie Infinity teamed up with Beat Esports to throw Esports tournaments where AXS tokens were the reward.

NFTs in Esports: what will they look like?

There’s one obvious application for NFTs in Esports: in-game assets. We know athletes can often sell collectibles such as a football from a Superbowl game or golf clubs that won several Masters Tournaments. What if the same was possible with Esports, and NFTs represented those gaming assets?

The best Esports players could sell NFTs of assets (such as virtual weapons) that helped them win international championships, for example. Esports organizations can create NFTs of their awards or trophies, as well. In 2021, the European Esports organization OG Esports brought in almost $1 million based on three NFT drops. Esports teams can also release NFTs to commemorate titles or championships.

This can also create additional markets: viewers can now bet and trade NFTs in Esports tournaments, bringing new viewers and traders into the Esports ecosystem. In other words, Esports fans can become more active participants in the P2E ecosystem thanks to NFTs.

How does P2E gaming fit into the metaverse?

There’s also something else to consider: the metaverse. If millions of people begin entering the metaverse, gaming will likely be an access point to virtual worlds. P2E gaming could be one of the reasons the metaverse is eventually worth trillions of dollars, as some experts and analysts predict.

We already know some extremely popular games technically have metaverses, but P2E gaming is a different experience. Esports teams may turn to the metaverse if there are enough play-to-earn incentives and NFTs in Esports to keep them engaged. In turn, that could lure more viewers and participants into the metaverse.