Polygon has launched a subdivision called Polygon Studios, and has set up a $100 million fund for NFT gaming projects.
Polygon Launches Subdivision With The Aim To Grow NFT Gaming
Originally created with the aim of providing a framework for building and connecting Ethereum networks, the Polygon platform has spread its ecosystem wide.
Now, Polygon plans to also make its mark on NFT gaming. And for that it has set up a $100 million fund, as per a VentureBeat report.
The company has opened a new unit called Polygon Studios that will deal with game-related projects. This subdivision will help developers fuse their web 2.0 games with the web 3.0 technology.
According to Polygon, they already have over 500 decentralized apps under them. One of the most prominent of these is OpenSea, a popular NFT marketplace.
Their roster also includes gaming projects like Decentraland, Aavegotichi, and Skyweaver. Over 100k gamers already use these platforms.
The reason Polygon is an attractive scaling option for these platforms is the fact that Polygon’s chain, based on the Ethereum blockchain, has faster and more efficient processing. This enables transaction fees (or “gas fees”) of NFTs to fall down to zero.
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Polygon studios plans to use the $100 million funds to provide marketing, technology, investment, and community support. They will provide developers with software development kits (SDKs) so that they can enable blockchain attributes into their games.
Polygon’s head of gaming and NFTs, Shreyansh Singh, says:
We will incubate some products and teams that want to build projects. Maybe we can get them an external license and support them. We are here to support the entire ecosystem. We want to add value and bring the next 100 million users
At the moment, Polygon studios’ gaming partners include the likes of Ubisoft, EA, and Atari.
The Non-fungible Token Market
Not too long ago, NFTs were insanely popular, but in May of this year the market had a 90% crash. Since then, the trading volume hasn’t improved much.
Related Reading | NFTs In A Nutshell: A Weekly Review
However, the technology itself seems to be very alive and kicking as shown by latest investments like the one by Polygon.
The concept of NFT-powered games have a lot of potential, and investments like these will help bring it to fruition.
The market crash happened in tandem with the Bitcoin and crypto crash. At the time of writing, BTC’s price is around $31.9k, down 2.6% in the last 7 days. Here is a chart noting the trend in the coin’s value:
Bitcoin has started to climb back up after the dip below $30k | Source: BTCUSD on TradingView