In the ever-evolving landscape of game development, web3 technology is emerging as a significant catalyst. In this article, we summarize a recent conversation with Michael Sanders (Co-Founder of Horizon Blockchain Games) where he shares his thoughts on the impact of web3 in the gaming industry. 

Horizon Blockchain Games (Horizon) says it is building a "New Dimension" where Internet economies are fun, accessible, and for the benefit of all participants. Horizon also created Skyweaver, the popular free-to-play cross-platform card game where you can own, trade and gift your NFT cards. 

Horizon are also the creators of Sequence, a seamless user and developer experience for Ethereum. Sequence lets developers integrate blockchain with their product in minutes and includes a friendly web3 wallet that anyone can use, an end-to-end SDK to integrate Ethereum with web applications, as well as powerful APIs.

Web3: A Catalyst for Innovation

Michael discusses how web3 is a technology that unlocks creativity and monetization benefits for game developers and builders while enabling flexibility and new experiences for players. He points out that this technology's impact is already evident in games like Hunters On-Chain, which boasts higher retention rates, average revenue per user (ARPU), and spending from players compared to their web2 counterparts.

Michael highlights that the web3 gaming industry is gaining momentum, with web3 games emerging from various developers, including industry giants like Ubisoft, Zynga, Nexon, Square Enix, Atari, and more. Additionally, tech giants like Google, AWS, and Microsoft are exploring ways to integrate web3 into their offerings, emphasizing its significance.

Michael emphasizes that web3's accessibility has simplified integration, allowing developers to concentrate on crafting exceptional player experiences. He predicts a future where games will seamlessly leverage web3 without explicitly marketing themselves as such. Moreover, web3 games have the potential to increase player lifetime value (LTV), thanks in part to in-game marketplaces. Skyweaver, Horizon's trading card game, stands as a prime example. Its in-game marketplace not only boosts player engagement but also fosters a sense of ownership.

Michael discusses how web3 enables the creation of secure in-game economies, providing opportunities for players to become creators, contributors, and web3 enthusiasts, thus deepening their gaming experience.

Web3 games maintain the appeal of existing titles or free-to-play mechanics while delivering increased LTV, consumer spending, and conversion rates.

Overcoming Challenges and Final Thoughts

Horizon faced challenges when building Sequence six years ago, but solutions like the Sequence platform simplify onboarding, transactions, and access to blockchain data. Developers can now focus on creating outstanding games without navigating complex technicalities. Sanders emphasizes that content will be the driving force behind web3 adoption in gaming. As players increasingly enjoy enhanced gaming experiences, and studios improve monetization, web3 titles will become the industry standard.

Web3 technology is reshaping the gaming industry, offering opportunities for developers and players alike. As the industry embraces web3, players can expect enhanced gaming experiences and an exciting future ahead.