NFT in esports: a new way of monetization

The esports industry continues to rapidly evolve, with new ways of monetization emerging on the horizon that attract the attention of players, teams, and investors. One of these innovations is Non-Fungible Tokens (NFTs) — unique digital assets that are changing the approach to ownership and trading of virtual items. In this article, we will explore how NFTs are transforming esports and opening up new opportunities for all participants in this dynamic industry.

### What are NFTs and How Do They Work?

NFTs (Non-Fungible Tokens) are unique digital objects that represent ownership rights to specific content or assets on the blockchain. Unlike cryptocurrencies such as Bitcoin or Ethereum, each NFT is unique and cannot be replaced by another similar token. These tokens can include artworks, videos, in-game items, or any other digital assets.

The use of blockchain ensures transparency and security in NFT transactions, as well as preserves the entire ownership history of an object, allowing its originality to be accurately determined.

### Impact of NFTs on Esports

Esports is perfectly suited for the integration of NFTs due to the virtual nature of games and the content created around them. Teams, game developers, and tournament organizers have already begun to use NFTs to create unique offerings that can attract the attention of fans and players.

1. **In-Game Items and Skins**: One of the most obvious applications of NFTs in esports is skins and other items in games. Instead of buying skins in a traditional store, players can acquire NFT skins that are unique and can be sold or traded on specialized platforms. These skins may have limited releases, increasing their value and making them desirable among collectors.

2. **Fan Tokens**: Esports teams have also started issuing their fan tokens based on NFTs, granting fans access to exclusive content, voting opportunities, and unique collectibles related to the team or players.

3. **Collectible Cards and Moments**: Similar to physical sports cards, NFTs allow for the creation of collectible cards of esports players. These cards can include not only player images but also videos of their best moments in the game. Platforms like NBA Top Shot have already demonstrated how this can work in traditional sports, and similar projects are beginning to emerge in esports.

4. **Tournaments and Events**: Tournament organizers can use NFTs to create unique tickets for esports events, which can become digital collectibles after the competitions end. This also opens up opportunities for creating «digital autographs» from players, which can become part of fan collections.

### Advantages of Using NFTs in Esports

#### 1. New Revenue Streams

For esports teams and players, NFTs have become a new way of monetization. Selling digital assets, whether skins, cards, or video moments, provides an additional source of income that is independent of traditional sponsors or tournament prize pools. Furthermore, every time an NFT is resold, the creator can receive royalties, adding a constant source of income.

#### 2. Increased Fan Engagement

NFTs provide esports teams and tournament organizers with the opportunity to offer their fans unique content and interaction opportunities. Fans can own a part of the history of their favorite team or player, enhancing their attachment to the esports community.

#### 3. Support for Young Players

Young or lesser-known players can use NFTs to draw attention to their talent by creating unique collectibles or video clips of gaming moments. This provides an opportunity to receive financial support at an early stage of their career.

#### 4. Security and Transparency

The use of blockchain ensures complete transaction transparency and protects players and teams from fraud. This is especially important in the esports world, where there is high competition and risks associated with data security.

### Examples of NFT Usage in Esports

Some well-known esports teams and organizations are actively incorporating NFTs into their operations:

— **Team Liquid** has launched a collection of unique NFTs for their fans, including digital collectibles and memorabilia dedicated to the team’s victories.

— **OG Esports**, one of the most successful teams in Dota 2, offers fans the opportunity to purchase NFTs that grant access to exclusive behind-the-scenes materials and unique memorabilia related to the team’s victories.

— **Virtus.pro**, a Russian esports organization, has also started issuing NFTs to increase fans’ interest and offer them unique collectible items.

### Conclusion

NFTs are opening a new chapter in the history of esports, providing players, teams, and fans with unique monetization and interaction opportunities. By creating unique digital assets that can be bought, sold, and traded, NFTs can change the approach to owning virtual items in games and add a new level of engagement to the esports community. Although this technology is still in its early stages of development, its potential is already evident, and in the future, it may become an essential part of the esports ecosystem.