Square Enix doubles blockchain gaming for the foreseeable future

2021 marked the dominant penetration of cryptocurrencies, leading to massive growth in NFTs. No matter where you look, a celebrity or a business has advertised or endorsed a DTV. Video game developers such as Ubisoft have even introduced their own crypto currency to use in their games. Unfortunately, the extremely negative backlash hasn’t stopped Square Enix from investing resources in blockchain games.

Square Enix President Yosuke Matsuda wrote an article on the New Year to discuss the company’s thoughts on concepts like NFTs and blockchain games. Matsuda called 2021 the “first year” for the Metaverse and NFTs, saying he expects them to grow exponentially in the years to come. This growth will inform Square Enix’s own business practices. They don’t want to be left behind because Matsuda believes they will one day become “as familiar as transactions in physical goods.”

The already established Square Enix AI & Arts Alchemy Company continues its research and development efforts on blockchain games in addition to cloud and artificial intelligence. This R&D push will help Square Enix in its application of blockchain in the gaming space, potentially leveraging 5G data and the cloud to augment its distribution infrastructure.

With the infrastructure in place to reach as many customers as possible on a variety of devices, games played on those devices will use blockchain in one way or another. According to the article, blockchain games “have the potential to enable autonomous gaming growth.” In essence, Square Enix wants more people to keep coming back to their games, putting an end to the traditional idea of ​​a game’s lifecycle. Matsuda sees the concept of “playing to win” as an encapsulation of that vision.

While he acknowledges that people will be put off by this foray into blockchain, those caveats don’t outweigh the potential profits. Matsuda seems to think that the concept of playing for personal reasons limited the potential of user-generated content, in turn shortening the lifecycle of games that would otherwise have lasted longer. Matsuda hopes the company’s games provide “explicit incentives” to get people to return via token savings, which he refers to as part of a “decentralized gaming” ecosystem.

The post says Square Enix is ​​closely monitoring changes in the space, monitoring its adoption rate and user perceptions. Depending on how things go, the company might even consider issuing their own cryptocurrencies.

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