Theย pastย few Reddit AMA with Polygonโs co- founder Sandeep Nailwal explores the promising vistas for the crypto-gaming industry. Weaving together Nailwalโs responses with industry facts and figures, it comprehensively analyzes the burgeoning relationship betwixt gaming and the Webย 3.0 sector.
In the lively labyrinth of the Reddit AMA, Sandeep Nailwal, the co- founder of Polygon (MATIC), painted a grand vision of an opportunistic future for cryptocurrency in the gaming sector.ย
Polygon, an Ethereumย (ETH) (ETH)-based layer-2 network, has been making waves in the gaming sphere with its recent notice of scalable Webย 3.0 gaming infrastructures.
Althoughย while digitalย currencyโs mainstream applications are often confined to trading and payments, Nailwal suggested that gaming canย potentially be the real dark horse for blockchainย tech technology.ย
Gaming, as he aptly put it, โadopts new technology in hoards.โ His excitement is palpable as he announced that some top games are launching in Webย 3.0 in the coming 6-18 months.ย
Polygonโs grand vision appearsย to have captivated the financing world asย well. Over $2 Billion was poured into financing Webย 3.0 games overย theย pastย year alone. Polygon and its ecologicalย system partners received a major share of these funds.
Nailwalโs optimism doesnโt end at the intersection of cryptocurrency and gaming. Reportsย by him, Polygon is asย ofย now one of the largest projects and could potentially claim the top spot regarding developer traction across all segments.ย
He likewise spoke of Polygonโs ongoing work on innovative solutions in the zero-knowledge (zk) space, which would enable scalability on a monumental scale.
On the decentralizedย financeย (DeFi) front, Polygon houses 417 protocols locking a whopping $982.78 Million in value, making it the fifth- largest network by total value locked (TVL), reportsย by DefiLlama.
Bridging gaming and crypto
The synergy betwixt Polygon and the gaming industry is becoming increasingly evident. Polygon Labs and zkMeta recently joined forces to create a dedicated gaming rollup on the Polygon network.ย
With the South Korean mobile game company launching Delabs Games on the network and the partnership with AQUA, a Webย 3.0 marketplace for gamers, the gaming ecologicalย system on Polygon is thriving.
The gaming industry, as a whole, is on a rocketing growth trajectory. A recent study by Zion Market Research estimated the gaming market to reach around $435 Billion by 2028, growing at a CAGR of approximately 12.1%.
The โwrapperโ phenomenon in crypto
Sandeep Nailwal concurs that centralized applications, such as certain exchanges and yield generators, have unfortunately given cryptocurrency a somewhat tarnished reputation.ย
This is because these applications, which he distinguishes as fintech rather than genuine cryptocurrency, are often perceived as integral to the cryptocurrency landscape.ย
They are stated as โwrappersโ over cryptocurrency owingย to their nature of encapsulating cryptocurrency assets while not adhering to the principles of decentralization, transparency, and immutability.
Nailwal emphasizes the need for education between policymakers toย comprehend the difference betwixt these โwrappersโ and actual cryptocurrency and Defi applications.
Enhancing engagement through NFTs
Nailwal expresses his enthusiasm for using non-fungible cryptoย tokens (NFTs) as collectible avatars in the Reddit community.ย
He sees Reddit as a leading big tech company that has successfully harnessed theย capacity of Non-Fungibleย Tokenย (NFTs) to drive user engagement. To further bolster the traction of this initiative, Nailwal suggests additional features such as a secondary marketplace for trading these Non-Fungibleย Tokenย (NFTs) and a launchpad for artists to debut their collections.
The balance betwixt web2 and web3
Regardlessย of the excitement around the shift to Webย 3.0, Nailwal does not envision it completely replacing web2. He claimsย that there are numerous applications where decentralization, trustlessness, and censorship resistance, the hallmarks of Webย 3.0, may not be necessary.
Nonetheless, in domains like finance, gaming, social media, and media moreย generally, where these features can significantly benefit, he predicts a dominance of Webย 3.0 applications over their web2 counterparts.
Progressive decentralization in crypto
Addressing doubts about theย present level of decentralization in cryptocurrency, Nailwal accepts that aside from Bitcoinย (BTC) and ethereum (ETH), most blockchainย tech ecologicalย systems are not fully decentralized.ย
He further introduces the concept of โprogressive decentralizationโ, emphasizing that itโs not imperative for protocols and applications to be fully decentralized from the onset. Instead, they should gradually decentralize as they grow in significance.
Nailwalโs responses during the Reddit AMA underscored Polygonโs longstanding vision of becoming the โvalue layer of the internet.โย
