‘Blockchain gaming’ startup gets $16 million in Series A funding

Gaming startup Mythical Games is making waves with the news that they have raised $16 million in Series A funding to work on their concept of blockchain gaming. The aim is for the startup to develop games for the PC, console, and mobile markets and to capitalize on the success of games like Fortnite which has been taking over the gaming world. With huge numbers of users logging on to play the multiplayer survival game, the market is ripe for new gaming technologies — or so Mythical Games hopes.

The advantage of blockchain for gaming is primarily in the tracking of trades of in-game items. Currently, many online games have official or unofficial markets for rare items where players swap items, buy items with in-game currency, or even buy items using real money. The problem is that many games have rules against trading in-game items for real money, even if the behavior is common, and the money involved can lead to serious real-world consequences.

Through the use of the blockchain, it is possible to track exactly which items have been made available to which players and how they have been traded or passed around since then. If you spend money on an in-game item, you want to be sure that it was come by legitimately and that you won’t be suspended or booted from the game for having it. With its ability to supply proof of acquisition and proof of ownership, blockchain could make the trading of items safer and less illicit.

Another issue is the buying and selling of entire accounts, which has been a particular problem in Fortnite. Although this behavior is against the rules of the game, people still engage in it. And according to the developers Epic Games, the practice of selling accounts has lead to more accounts being hacked and a variety of fraudulent charges against players. With the use of blockchain, players can easily prove that an account is theirs and that they earned their items and levels, and stolen accounts will be easier to spot and to return to their rightful owners.

Mythical Games plans to release details of its upcoming blockchain games soon.