GameFi, a decentralized finance (DeFi) protocol with gamified elements, enables gamers to play and earn cryptocurrency through various in-game activities such as battles, crafting, and quests. However, recent industry reports indicate a gradual decline in the growth and adoption of the GameFi industry, with some experts and stakeholders questioning its potential to drive mass adoption of cryptocurrency. A significant challenge to GameFi’s adoption is the need for more emphasis on gameplay, while a lack of accessibility for mainstream users due to the complexities associated with cryptocurrencies is another significant barrier.
One potential solution to the complexity of wallet addresses and private keys is to implement a universal digital identifier such as a digital identity that can serve as both a wallet address and a username. The introduction of a universal identifier in GameFi could enable the creation of monetized reputation systems within gaming ecosystems, incentivize positive contributions, and enable cross-game interoperability, leading to increased engagement and adoption of GameFi. The implementation of a universal digital identifier has the potential to bridge the gap between Web2 and Web3 gaming projects and propel GameFi to increasing prominence and success.
