FTX acquires Good Luck Games to boost adoption of NFTs and blockchain

The FTX exchange has been committed to achieving growth in a competitive sector. The exchange is now making plans to venture towards Web3 gaming to attract new users.

The focus on NFTs has been at the backbone of many cryptocurrency exchanges. These exchanges, which heavily rely on trading fees, are venturing into the booming NFT sector to attract a new user base and raise revenues.

FTX acquires Good Luck Games to focus on NFTs

The CEO of FTX, Sam Bankman-Fried, noted that the exchange had completed the acquisition of Good Luck Games, which developed Storybook Brawl. The acquisition was completed an undisclosed amount, and FTX has since integrated this game.

The blockchain gaming sector is currently a hot topic in the blockchain space and beyond. FTX plans to develop its game as a whitelabel package that will steer the exchange toward Web3 game development.

“We’re excited to support a number of our gaming partners with a full web3 suite. We also want to have an in-house case to develop our whitelabel package. But the single most important thing about that in-house game is, again, that it’s a great game,” SBF tweeted.

3) We're excited to support a number of our gaming partners with a full web3 suite.

We also want to have an in-house case to develop our whitelabel package.

But the single most important thing about that in-house game is, again, that it's a great game.

— SBF (@SBF_FTX) March 22, 2022

FTX has already unveiled a gaming unit that will support game publishers as they adopt a crypto-as-a-service model. Partnering with Good Luck games is a major move for FTX, given that the former is a veteran in developing and designing games. The developer is also behind Storybook Brawl, a popular card battle game.

“We’re excited to explore what the intersection of NFTs, crypto, blockchain, and gaming looks like. But we’re even more excited to see where Storybook goes. Our mission is to help them build the best games they can – with as much (or little!) integration with FTX as they want,” the CEO added.

Following this news, the FTT token has attempted a recovery to higher levels. FTT is the native token of the FTX ecosystem. The token has had a rough Q1 2022, just like the rest of the market.

At the time of writing, FTT was trading at $44.97, according to data from CoinGecko. It has dipped by 2.2% during the past 24 hours. However, this token has gained by 9.5% over the past week. The token could continue registering higher gains if the FTX ecosystem grows.

A problem with blockchain and NFT gaming

Blockchain gaming and NFTs in the gaming sector have become increasingly popular over the past year. Blockchain gaming companies such as Axie Infinity have witnessed a high rate of adoption and attracted gamers worldwide.

While the success of blockchain gaming is evident and the benefits that gamers can realize from adopting NFTs, the traditional gaming sector has remained sceptical about the offerings. Traditional gamers and gaming companies have stayed away from NFTs due to the controversy surrounding the sector.

Last year, Valve, one of the largest game developers, changed its policy to deter developers from publishing games involving NFTs. Epic Games, another popular game developer, also noted that it would not integrate NFTs just yet, but it could be open to this idea in the future.

Therefore, FTX Gaming has a tough challenge of ensuring that they involve users in integrating NFTs on these gaming projects. Before monetizing the platform, both FTX and Good Luck Games need to ensure that they involve the audience to ensure that this is something that they are willing to adopt.

However, given the success that FTX has witnessed in the cryptocurrency exchange business, it is poised to have similar success in the blockchain gaming and NFT sector.