Key takeaways:
- The FTX cryptocurrency exchange is launching FTX Gaming, aiming to entice more game publishers to use blockchain solutions
- FTX has previously signed a $210 million, multi-year deal with TSM, one of the more popular gaming organizations in the world
- The gaming community is pushing back against companies incorporating NFTs
FTX sees games “as an exciting use case for crypto”
FTX, one of the leading cryptocurrency trading platforms, is launching a dedicated gaming unit with the intention of convincing more game publishers to incorporate blockchain-powered products and services into their digital creations.
The new businesses unit, called FTX Gaming, is entering the increasingly crowded blockchain gaming space, with play-to-earn (P2E) mechanics and non-fungible tokens (NFTs) becoming an ever-larger part of the gaming ecosystem.
Talking to Bloomberg, an FTX spokesperson explained the exchange’s latest move:
“We are launching FTX Gaming because we see games as an exciting use case for crypto. There are 2 billion+ gamers in the world who have played with and collected digital items, and can now also own them.”
While the new gaming unit represents FTX’s first direct foray into the gaming industry, the exchange has previously inked a $210 million rights deal with TSM, a premier global esports organization.
The gaming community is not particularly fond of NFTs
Despite the growing prevalence of blockchain in the gaming sector, gamers are seemingly not particularly fond of the new trend. Ubisoft, for instance, faced a lot of scrutiny for releasing the new installment of the iconic Tom Clancy’s Ghost Recon franchise with in-game NFTs. Team17, the creators and developers of the legendary Worms series, decided to give up on their NFT plans, after the gaming community rallied against the “MetaWorms” project.
When speaking on the topic on Decrypt’s gm podcast last week, Amy Wu, head of FTX’s $2 billion VC unit, said she was surprised at the level of animosity the gaming community fosters towards NFTs. “I wouldn’t have been able to predict kind of how fierce the animosity has been with some gamers against NFTs and it’s unfortunate, but it’s interesting,” Wu remarked.
