Last year was an interesting period for NFTs in the mainstream gaming community. From GameStop to Square Enix, many of the big names in the gaming sector endorsed these assets. At the same time, there was some pushback from fans and even some projects that led many to question the future of NFTs in the space.
As we begin 2023, we can be sure that NFTs still have a place at least in the Square Enix ecosystem. This comes as the company has released its annual New Year’s Letter from its president which reinforces its NFT commitment.
Square Enis Sticking to NFTs
One thing to note about the New Year’s Letter is that it offers a sneak peek at what the year will have to offer. And as this year’s letter shows us, blockchain and NFT gaming are at the top of the priority list.
“In terms of new business domains, we named three focus investment fields under our medium-term business plan. Among those, we are most focused on blockchain entertainment, to which we have devoted aggressive investment and business development efforts,” the letter said, noting that 2022 saw a boom in blockchain visibility, especially when related to web3.
It was stated, however, that the industry also faces some setbacks, notably the FTX collapse and the volatility of the market. But all these do not seem to have phased the company as it says that blockchain is becoming more of a part of people’s lives as it rides out societal changes.
Furthermore, the letter notes that while in 2021, the blockchain gaming sector was overrun by speculative investors, the crypto winter has meant that those within it have to take a more grounded look at the technology behind it. Rather than seeing it as a means to an end (to make money), more are being forced to see it as a means to an end of giving customers exciting experiences, which is ultimately a good thing.
As such, rather than divesting from blockchain and NFTs, in 2023 because of the winter, Square Enix is going full-speed ahead.
“Our Group has multiple blockchain games based on original IPs under development, some of which we announced last year, and we are undertaking preparations that will enable us to unveil even more titles this year. We are also engaged in global sourcing from an investment perspective and will continue to take stakes in promising businesses whether we find them in Japan or abroad. Blockchain has been an object of exhilaration and a source of turmoil, but with that in the rearview mirror, we hope that blockchain games will transition to a new stage of growth in 2023,” the letter concludes.
NFTs in 2023
There you have it. From all indications, blockchain and NFTs will continue to have a place within the Square Enix ecosystem come 2023. And while the industry is clearly still navigating some existing challenges, the company has no plans of ceasing its efforts.
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Tokoni Uti
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