Moonfrost is (according to developers Oxalis Games) a free-to-play “isometric, next-gen pixel art, lo-fi multiplayer life-sim set in a fantasy version of the modern day.” It’s visually beautiful, Mac and mobile-compatible, and seemingly everything a cozy gamer could ask for… Or is it?
I’ve been following Moonfrost for a while now, keeping an eye on it from a distance after a PR email hit my inbox earlier this year. The sunset palette-aesthetic and refreshed-retro pixel art style are what originally captured my attention. I had it on the back burner of my to-do list to check it out and write something up about what I discovered.
Little did I know I would discover what I would colloquially call The Most. It turn out that Moonfrost will incorporate blockchain technology, NFTs, and maybe even crypto right into its game design.
Blockchain 101: Key Definitions to Know
Here’s a bit of a primer for reading and getting the most out of my Moonfrost NFT commentary:
Blockchain technology is a digital ledger that records transactions across many computers, ensuring data is secure and tamper-proof. It enables decentralized control without needing a central authority.
Cryptocurrency is a digital or virtual currency that uses cryptography for security. It operates independently of a central bank and is often decentralized, relying on blockchain technology to record transactions.
NFT (Non-Fungible Token) is a unique digital asset stored on a blockchain, representing ownership of a specific item like art, music, or in-game items. Unlike cryptocurrencies, NFTs are one-of-a-kind and cannot be exchanged on a one-to-one basis.
Moonfrost NFTs: What Does it Mean?
We won’t know whether the blockchain technology woven into Moonfrost is inherently predatory until we see it live, out in the wild. Here are some theories on how it might work, though:
- NFTs (Non-Fungible Tokens): Players may be able to earn or purchase NFTs that represent in-game assets like character cosmetics, farm upgrades, special items, or artifacts.
- Play-to-Earn Mechanism: Moonfrost might incorporate play-to-earn elements. Players could earn NFTs by completing quests, engaging in special events, or simply progressing through the game. NFTs could then be sold or traded, giving players a way to potentially earn real-world value through their in-game activities.
- Interoperability: By utilizing blockchain technology, Moonfrost could potentially allow for the interoperability of assets across different games or platforms within the Solana ecosystem. This means that items earned in Moonfrost might be usable or tradable in other games that support the same blockchain standard.
- Decentralization and Player Ownership: Blockchain technology enables true ownership of in-game assets. Unlike traditional games where items are stored on company servers and can be lost or removed at the developer’s discretion, items in Moonfrost could be stored on the blockchain. This decentralization could mean that players have full control over their assets and earnings, independent of the game development companies.
Risks of Blockchain Technology in Moonfrost
While we don’t 100% know how Moonfrost’s blockchain usage will manifest, what we do know is the inherent risks involved with this breed of technology. Particularly in the current volatile newness of NFT and crypto tech overall.
When interacting with games that use blockchain technology, NFTs, or cryptocurrency, players should also be aware of the following concerns:
NFT Security Risks
- Scams and Fraud: The rise of NFTs and crypto-based games has attracted scammers who create fake projects to lure players into investing money. These scams can result in significant financial loss if players purchase worthless NFTs or invest in fraudulent tokens.
- Wallet Vulnerabilities: Players need to use digital wallets to manage their crypto assets, which can be vulnerable to hacking, phishing attacks, or security breaches. If a wallet is compromised, players might lose their NFTs or cryptocurrency permanently.
NFT Volatility and Financial Risk
- Price Fluctuations: The value of NFTs and cryptocurrencies can be highly volatile, with prices subject to sudden increases or decreases. Players who invest in in-game assets or tokens might find their value plummeting unexpectedly, leading to potential financial loss.
- Investment Risk: Some players might treat in-game NFTs as investments, but like any speculative asset, their value is uncertain. There’s no guarantee that NFTs or game tokens will appreciate in value, and players could lose money if the market crashes or if the game loses popularity.
Blockchain Regulatory and Legal Issues
- Unclear Legal Framework: The legal status of NFTs and cryptocurrencies varies by region and is still evolving. Players might face legal challenges or uncertainties, especially if they reside in areas with strict regulations on crypto activities. Regulatory changes could also impact the game’s operation or the value of in-game assets.
- Tax Implications: Buying, selling, or earning cryptocurrency or NFTs can have tax implications, depending on the jurisdiction. Players need to be aware of potential tax liabilities that come with these transactions.
Blockchain Environmental Concerns
- Energy Consumption: Blockchain technology, particularly proof-of-work models like Bitcoin, is known for high energy consumption, which has environmental impacts. While newer blockchains like Solana (used by Moonfrost) are more energy-efficient, the overall environmental footprint of crypto transactions is still a concern for environmentally-conscious players.
Game Longevity and Asset Control
- Dependence on Game Developers: Even though blockchain assets are decentralized, their value and usability are often tied to the game’s success and ongoing development. If a game fails or the developers abandon it, the NFTs associated with it could become worthless.
- Centralization of Control: Despite the decentralized nature of blockchain, game developers still have significant control over game mechanics, updates, and the overall ecosystem, which could affect the value and utility of in-game assets.
Blockchain Accessibility Issues
- Complexity for New Users: The technical aspects of using crypto wallets, managing NFTs, and understanding blockchain can be daunting for new players. This complexity might create a barrier to entry for casual gamers who are not familiar with the technology.
Blockchain technology can be predatory toward gamers by creating a system that prioritizes profit over gameplay. Developers can exploit the hype around NFTs and cryptocurrencies to lure players into spending money on speculative digital assets with uncertain value. The volatility of these assets, combined with the possibility of scams or sudden game shutdowns, can lead to significant financial losses.
Not to mention that the complex and unregulated nature of blockchain markets can obscure risks, making it easy for players, especially younger or less tech-savvy ones, to fall prey to manipulative practices.
Here’s a comment from Reddit user Pi_Heart that sums up the issues nicely:
The Future of Blockchain in Games
I’m sure you’ve noticed that I am exceedingly, exceedingly skeptical about seeing blockchain, NFT, and crypto elements bleed into video games. Like microtransactions, games-as-a-service, and even paid downloadable content (DLC), it’s not the tech itself that unsettles me, it’s how game developers might use it in a predatory way.
In a perfect and optimistic world, incorporating blockchain technology into video games could allow players to truly own, trade, and monetize in-game assets, creating new opportunities for earning and enhancing the gaming experience with secure, decentralized systems.
And Moonfrost isn’t the first game to test out this theory. Many indie developers are hopping on this bandwagon:
- Axie Infinity – A popular play-to-earn game where players breed, battle, and trade NFT creatures called Axies. It has a robust economy based on cryptocurrency and NFTs, making it one of the most well-known blockchain games.
- The Sandbox – A virtual world where players can build, own, and monetize their gaming experiences using NFTs and the platform’s cryptocurrency, SAND. The game allows players to create and sell virtual assets as NFTs.
- Decentraland – A virtual reality platform powered by the Ethereum blockchain where users can create, experience, and monetize content and applications. Land and other in-game items are represented as NFTs, which can be bought, sold, or rented.
- Gods Unchained – A digital trading card game where players own their cards as NFTs, allowing them to trade or sell them outside the game. The game emphasizes true ownership, unlike traditional digital card games where cards cannot be transferred.
- Illuvium – An open-world RPG game where players capture and battle creatures called Illuvials, which are represented as NFTs. The game combines elements of exploration, battle, and collectible NFTs.
These games are part of a growing trend in the gaming industry that leverages blockchain technology to offer players new ways to interact with, own, and profit from in-game content—for good or for evil.
Blockchain and NFTs in AAA Games
Indie developers aren’t to blame for this NFT games trend. In fact, indie games are the place to experiment with new tech and gaming possibilities, in my opinion. But blockchain gaming has been turning heads in larger studios, too.
In fact, several AAA game studios have explored or expressed interest in incorporating NFTs or blockchain technology into their games:
- Ubisoft: Ubisoft has been one of the most prominent AAA developers to experiment with blockchain. They launched the “Ubisoft Quartz” platform, which integrates NFTs, known as “Digits,” into games like Ghost Recon Breakpoint. However, the initiative received mixed reactions from the gaming community.
- Square Enix: Square Enix has shown strong interest in blockchain technology and NFTs, with plans to develop blockchain games. The company has mentioned blockchain as a key part of its future strategy, signaling possible integration into its upcoming titles.
- Electronic Arts (EA): EA has hinted at its interest in blockchain and NFTs, with CEO Andrew Wilson referring to NFTs as the future of the gaming industry. While no specific projects have been announced, EA’s interest suggests potential future developments.
- Konami: Konami has entered the NFT space with a series of digital collectibles tied to its classic games, such as Castlevania. While not directly integrated into gameplay, this move indicates the company’s exploration of blockchain technology.
- Take-Two Interactive: Take-Two, the parent company of Rockstar Games and 2K, has expressed interest in NFTs and blockchain, although it remains cautious. CEO Strauss Zelnick mentioned the potential for NFTs in games, but also acknowledged concerns about their implementation.
There is undoubtedly a growing interest among major game developers in exploring how blockchain technology and NFTs could be incorporated into gaming, despite some pushback from players.
More on Moonfrost NFT game coverage:
Stay cozy, gamers!