Huobi Cloud and blockchain-based gaming platform BlockGames have teamed up to release a joint venture that will transform online gaming called BG.Top.
According to an official press release published on Monday, September 17, the new project is called BG.top and will be one of the most versatile projects in the blockchain industry.
The primary goal of the project is to bring the value of blockchain technology to the gaming industry.
Huobi has stated that the project is currently designed as a “fully-functional cryptocurrency exchange.” However, going forward, the platform will expand to become a borderless and fully decentralized ecosystem that loops in game developers, investors, and video game enthusiasts.
With this growth, users on the platform benefit from a gaming point of view, leveraging the platform’s functionalities to be able to tangibly own digital assets.
One of the main goals is to allow the broader community freedom to leverage blockchain technology when buying and selling video games.
Users will also be able to participate in the funding, development and eventual launch of new blockchain-based video games.
Huobi’s aggressive expansion
Huobi hopes the new venture will highlight its suitability as a leading platform in the crypto exchange space. The firm also expects to secure partners that complement its efforts to grow within the industry.
At the moment, the platform has partnerships with Chi Fu Group – a financial investment group based in Taiwan; Vnesheconomback (VEB), a highly respected investment bank in Russia; and Yatai International Holding Group from Hong Kong.
It is not just partnerships that are driving Huobi’s expansion agenda. It is turning out to be an outstanding year for the company with regard to acquisitions as well.
As we reported earlier, the exchange’s subsidiary in Japan recently acquired a majority stake in crypto exchange BitTrade, days after it also acquired Hong Kong-based Pantronics Holding.
Even though the platform developed and has its token, it still sees itself as the ideal service for companies seeking to plunge into the crypto exchange business.
The gaming industry and blockchain adoption
Huobi Research is yet another arm of the expansive company and recently published a special report detailing why the gaming industry could be the next big thing in blockchain adoption.
According to the report, global giants like Tencent and Blizzard Entertainment grew into what they are mainly due to the power of the video gaming industry. However, that power has disappeared, and the industry is affected by the negative influence of centralization.
In the Medium post, Huobi Research said that:
“We believe that the traditional game industry is a perfect target for blockchain integration, which could potentially result in mass adoption and popularization of blockchain technology.”
In its opinion, the team believes there are so many weaknesses in the traditional model of the gaming industry that the only blockchain can help solve.
The games market structure hands too much power to the distributor, says Huobi. Furthermore, developers are constantly under increasing pressure as budgets and development times grow to unsustainable levels.
Through its efforts within the industry, Huobi hopes to bring solutions to the problems affecting the gaming industry. One solution, the company says, addresses the current structure which does not allow players that have purchased in-game digital assets the opportunity to actually own them.
The report also quotes NewZoo, which released statistics showing that the gaming industry has grown to record levels.
The company’s data indicated that the number of gamers around the world was 2.2 billion in 2017, accounting for roughly one-third of the world’s population.
Of that number, 47% had some experience related to in-game purchases – a feature of games blockchain technology promises to revolutionize
Another important consideration is the fact that most of today’s gamers are young people. This demographic group is very receptive to developments within the crypto industry and could be the key to the rapid growth of the gaming industry via blockchain integration.
Huobi Cloud and BlockGames may have just launched their BG.top project, but given the right environment, it could be the first significant step within making gaming and blockchain mainstream.