Every little boy’s (and many grown men’s) dream of making a living by playing video gaming is edging closer to reality. The recent release of HunterCoin and the in-development VoidSpace, games which reward players in digital currency instead of virtual princesses or gold stars point towards another where one’s ranking on a scoreboard could possibly be rewarded in dollars, and sterling, euros and yen.
The story of the millionaire (virtual) real estate agent…
Digital currencies have been slowly gaining in maturity both in terms of their functionality and the financial infrastructure that allows them to be used as a credible option to non-virtual fiat currency. Though Bitcoin, the very first and most popular of the crypto-currencies was made in 2009 2009 2009 there were forms of virtual currencies found in video games for a lot more than 15 years. 1997’s Ultima Online was the initial notable attempt to add a large scale virtual economy in a casino game. Players could collect gold coins by undertaking quests, battling monsters and finding treasure and spend these on armour, weapons or real estate. This was an early incarnation of a virtual currency in that it existed purely within the game though it did mirror real world economics to the extent that the Ultima currency experienced inflation due to the overall game mechanics which ensured that there was a never ending supply of monsters to kill and thus gold coins to collect.
Released in 1999, EverQuest took virtual currency gaming a step further, allowing players to trade virtual goods amongst themselves in-game and though it had been prohibited by the game’s designer to also sell virtual items to each other on eBay. In a genuine world phenomenon that was entertainingly explored in Neal Stephenson’s 2011 novel Reamde, Chinese gamers Bitcoin Evolution or ‘gold farmers’ were employed to play EverQuest along with other such games full-time with the purpose of gaining experience points to be able to level-up their characters thereby making them more powerful and sought after. These characters would then be sold on eBay to Western gamers who were unwilling or unable to put in the hours to level-up their own characters. Based on the calculated exchange rate of EverQuest’s currency because of real life trading that occurred Edward Castronova, Professor of Telecommunications at Indiana University and a specialist in virtual currencies estimated that in 2002 EverQuest was the 77th richest country on earth, somewhere within Russia and Bulgaria and its own GDP per capita was greater than the People’s Republic of China and India.
Launched in 2003 and having reached 1 million regular users by 2014, Second Life could very well be the most complete exemplory case of a virtual economy up to now whereby it’s virtual currency, the Linden Dollar which may be used to get or sell in-game goods and services can be exchanged for real life currencies via market-based exchanges. There were Bitcoin Evolution Scam a recorded $3.2 billion in-game transactions of virtual goods in the 10 years between 2002-13, Second Life having turn into a marketplace where players and businesses alike were able to design, promote and sell content that they created. Real estate was an especially lucrative commodity to trade, in 2006 Ailin Graef became the 1st Second Life millionaire when she turned an initial investment of $9.95 into over $1 million over 2.5 years through buying, selling and trading virtual real estate to other players. Examples such as for example Ailin will be the exception to the rule however, just a recorded 233 users making more than $5000 in 2009 2009 from Second Lifestyle.
How to be paid in dollars for mining asteroids…
To date, the ability to generate non-virtual cash in video gaming has been of secondary design, the ball player having to proceed through non-authorised channels to switch their virtual booty or they needing to possess a degree of real world creative skill or business acumen that could be traded for cash. This may be set to change with the advent of video gaming being built from the ground up round the ‘plumbing’ of recognised digital currency platforms. The approach that HunterCoin has had is to ‘gamify’ what is usually the rather technical and automated procedure for creating digital currency. Unlike real life currencies that come into existence when they are printed by way of a Central bank, digital currencies are created by being ‘mined’ by users. The underlying source code of a specific digital currency that allows it to function is called the blockchain, an online decentralised public ledger which records all transactions and currency exchanges between individuals. Since digital currency is only intangible data it is more susceptible to fraud than physical currency for the reason that it is possible to duplicate a unit of currency thereby causing inflation or altering the worthiness of a transaction after it’s been made for personal gain. To make sure this will not happen the blockchain is ‘policed’ by volunteers or ‘miners’ who test the validity of each transaction that is made whereby using specialist hardware and software they make sure that data has not been tampered with. This is a computerized process for miner’s software albeit an extremely time consuming one which involves a great deal of processing power from their computer. To reward Bitcoin Evolution Review for verifying a transaction the blockchain releases a fresh unit of digital currency and rewards them with it being an incentive to keep maintaining the network, thus is digital currency created. Because it may take anything from several days to years for a person to successfully mine a coin groups of users combine their resources into a mining ‘pool’, utilizing the joint processing power of their computers to mine coins more quickly.
HunterCoin the game sits within this type of blockchain for an electronic currency also known as HunterCoin. The act of playing the game replaces the automated procedure for mining digital currency and for the 1st time helps it be a manual one and without the need for expensive hardware. Using strategy, time and teamwork, players venture out onto a map searching for coins and on finding some and returning safely with their base (other teams are on the market trying to stop them and steal their coins) they can cash out their coins by depositing them to their own digital wallet, typically an app designed to make and receive digital payments. 10% of the worthiness of any coins deposited by players visit the miners maintaining HunterCoin’s blockchain and also a small percent of any coins lost whenever a player is killed and their coins dropped. While the game graphics are basic and significant rewards take time to accumulate HunterCoin is an experiment that might be viewed as the first gaming with monetary reward built-in as a primary function.
Though still in development VoidSpace is really a more polished approach towards gaming in a functioning economy. A Massively Multiplayer Online Roleplaying Game (MMORPG), VoidSpace is defined in space where players explore an ever-growing universe, mining natural resources such as asteroids and trading them for goods with other players with the purpose of building their own galactic empire. Players will be rewarded for mining in DogeCoin, a more established form of digital currency that is currently used widely for micro-payments on various social media sites. DogeCoin may also be currency of in-game trade between players and the methods to make in-game purchases. Like HunterCoin, DogeCoin is a legitimate and fully functioning digital currency and like HunterCoin it is usually traded for both digital and real fiat currencies on exchanges like Poloniex.
The future of video gaming?
Though it is early days when it comes to quality the release of HunterCoin and VoidSpace is an interesting indication of what could be the next evolution for games. MMORPG’s are currently being considered as ways to model the outbreak of epidemics as a result of how player’s reactions to an unintended plague mirrored recorded hard-to-model aspects of human behaviour to real life outbreaks. It could be surmised that eventually in-game virtual economies could be used as models to test economic theories and develop responses to massive failures predicated on observations of how players use digital currency with real value. Additionally it is an excellent test for the functionality and potential applications of digital currencies that have the promise of moving beyond mere vehicles of exchange and into exciting regions of personal digitial ownership for instance. In the mean time, players will have the means to translate hours in front of a screen into digital currency and then dollars, sterling, euros or yen.
But before you quit your entire day job…
… it’s worth mentioning current exchange rates. It’s estimated that a player could comfortably recoup their initial registration fee of just one 1.005 HunterCoin (HUC) for joining HunterCoin the overall game in 1 day’s play. Currently HUC can’t be exchanged directly to USD, one must convert it into a competent digital currency like Bitcoin. At the time of writing the exchange rate of HUC to Bitcoin (BC) is 0.00001900 while the exchange rate of BC to USD is $384.24. 1 HUC traded to BC and then to USD, before any transaction fees were taken into consideration would equate to… $0.01 USD. This is not to say that as a new player becomes more adept they could not grow their team of virtual CoinHunters and maybe employ a few ‘bot’ programmes that would automatically play the game beneath the guise of another player and earn coins for them as well but I believe it’s safe to say that at the moment even efforts such as this might only realistically bring about enough change for a daily McDonalds. Unless players are willing to submit to intrusive in-game advertising, share personal data or join a casino game such as CoinHunter that is built on the Bitcoin blockchain it really is improbable that rewards are ever apt to be more than micro-payments for the casual gamer. And perhaps this is a good thing, because surely if you get paid for something it stops being truly a game any more?