Why Web3 Gaming Needs Its Own Steam

Team Exponential
Exponential Era
Published in
6 min readAug 30, 2024

Web3 gaming is rapidly emerging as the next frontier in the gaming industry, but its growth is, ironically enough, hindered by a lack of centralized platforms. Unlike traditional gaming, which has thrived thanks to distribution giants like Steam, Web3 games remain fragmented and hard to access. This article explores why the industry needs its own dedicated platform to unlock the full potential of blockchain-based gaming.

The Evolution of Game Distribution Platforms

The landscape of game distribution has undergone a significant transformation over the past two decades. In the early days of gaming, physical copies were the primary way to access video games, leading to challenges like limited availability, high costs, and the inconvenience of physical storage. The arrival of digital game distribution platforms revolutionized the industry, with Steam at the forefront of this evolution.

Source: Backlinko

Launched in 2003 by Valve Corporation, Steam quickly became a game-changer for both developers and players. It offered a centralized marketplace where gamers could purchase, download, and update their games seamlessly. This convenience eliminated the need for physical copies, allowing instant access to a vast library of titles. For developers, Steam has now over a hundred million concurrent users, democratizing the game publishing process and lowering the barriers to entry for indie game creators.

Steam’s success is largely attributed to its robust features, such as automatic updates, community forums, user reviews, and a recommendation engine that personalized the gaming experience. These features created a thriving ecosystem that fostered player engagement and built a strong sense of community among gamers. Additionally, Steam’s regular sales events and discounts made games more accessible to a broader audience, further cementing its dominance in the market.

The impact of Steam on traditional gaming cannot be overstated. It set the standard for game distribution platforms by prioritizing user experience, ease of access, and a supportive developer environment. This model has been so successful that it has become the blueprint for other platforms. However, as the gaming industry evolves with the advent of Web3 and blockchain technology, there’s a growing recognition that these decentralized games may require a platform tailored to their unique needs, akin to what Steam did for traditional gaming.

Source: CoinGecko

Unique Challenges Facing Web3 Games

Web3 games, built on blockchain technology, face several unique challenges that differ from those in traditional gaming. One of the most significant issues that has led to the majority of these games' failure is the lack of a centralized marketplace. Unlike traditional games, which benefit from platforms like Steam, Web3 games are scattered across various decentralized networks. This fragmentation makes it difficult for players to discover new titles and for developers to reach a broad audience.

Another challenge is the complex onboarding process. Players often need to navigate cryptocurrency wallets, understand blockchain mechanics, and deal with fluctuating gas fees, which can be intimidating for those unfamiliar with the technology. This steep learning curve acts as a barrier to entry, slowing the adoption of blockchain-based games.

Moreover, decentralized gaming lacks the established infrastructure that traditional platforms like Steam provide. Features such as seamless updates, community support, and user-friendly interfaces are still in their infancy in the Web3 space, making it harder for these games to gain traction.

These challenges highlight the need for a dedicated Web3 game distribution platform that can address these issues, much like how Steam revolutionized traditional gaming.

The Case for a Dedicated Web3 Game Distribution Platform

The challenges facing Web3 games underscore the pressing need for a dedicated distribution platform, one that can cater specifically to the unique requirements of blockchain-based gaming. Much like how Steam transformed traditional gaming by offering a centralized, user-friendly marketplace, a similar platform tailored for Web3 games could be the key to unlocking their full potential.

A dedicated Web3 game distribution platform would centralize the fragmented landscape, making it easier for players to discover and access a wide range of blockchain-based games. This would streamline the user experience, removing the need to navigate multiple decentralized networks. By providing a one-stop shop for Web3 games, this platform could significantly boost user engagement and adoption.

Moreover, such a platform could simplify the onboarding process. Integrating seamless wallet creation, user-friendly interfaces, and clear tutorials could lower the entry barrier for new players. This would be particularly valuable for those unfamiliar with cryptocurrency and blockchain technology, making Web3 games more accessible to a broader audience.

In addition to improving accessibility, a dedicated platform could also offer robust features that are currently lacking in decentralized gaming. These could include automatic updates, a centralized marketplace for in-game assets, and community-driven content creation tools. These features would enhance the overall gaming experience, fostering a vibrant ecosystem where players and developers can interact, share content, and contribute to the growth of the platform.

Furthermore, a dedicated Web3 game distribution platform could facilitate better monetization opportunities for developers. By offering tools for managing in-game economies and tokenized assets, developers could create more sustainable business models, ensuring the long-term viability of their games.

Examples of Emerging Web3 Gaming Platforms

While the Web3 gaming ecosystem is still in its early stages, several platforms are already making strides in addressing the unique challenges of decentralized gaming. These emerging Web3 gaming platforms are attempting to create unified spaces where players can access blockchain-based games, trade assets, and engage with communities.

Source: Zookram

Gala Games

Gala Games is one of the leading Web3 gaming platforms, offering a range of blockchain-based games that emphasize player ownership of in-game assets. The platform provides a marketplace where players can buy, sell, and trade items, creating a vibrant economy within each game. Gala Games aims to empower players by giving them true ownership of their digital assets, which can be used across multiple games within the ecosystem. It’s estimated that about 1.3 million players are active on the platform.

Source: Ultra

Ultra

Ultra is another promising Web3 gaming platform that seeks to combine the benefits of traditional game distribution with blockchain technology. It offers a user-friendly interface and aims to be a one-stop shop for gamers, providing access to games, tournaments, and in-game assets. Ultra also includes features like NFT trading, which allows players to buy and sell unique digital items securely.

Source: Binance Academy

Immutable X

Immutable X is a platform focused on scaling blockchain games by offering a gas-free NFT marketplace. It provides a seamless experience for players, enabling instant trading of in-game assets without the burden of gas fees. This platform has attracted several popular games, making it a growing hub for Web3 gaming.

These platforms are paving the way for the future of decentralized gaming by offering solutions that address the industry’s current challenges. While they have made significant progress, the need for a more centralized and widely recognized platform, akin to Steam, remains. Such a platform could unify these efforts and further propel the growth of blockchain-based games into the mainstream.

A dedicated Web3 game distribution platform could be the catalyst that drives blockchain gaming into the mainstream. By unifying fragmented ecosystems, simplifying user access, and providing robust developer tools, it would solve many of the challenges currently holding back Web3 games. Just as Steam revolutionized traditional gaming, a “Web3 Steam” could unlock the true potential of decentralized gaming. The future of Web3 gaming might just depend on it.

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Team Exponential
Exponential Era

Web3. Crypto. AI. Decoded. Exponential Era cuts through the noise, bringing you insights on the future of these transformative technologies.