Shifting African Gaming Economy On Chain: A Look at Awujo Redefining Play-to-earn Games
In 2020, Africa generated a total gaming revenue of approximately US$3.3 billion, making it the fifth-largest gaming market globally. The Africa Gaming Market is projected to have a CAGR of 12.65% between 2023- 2028, with mobile gaming driving growth due to rising internet connectivity and smartphone adoption. Out of all the leading markets, Nigeria is expected to have a significant share due to its large and rapidly growing population of energetic youths who are digitally savvy. However, concerns such as piracy, regulations, and fraud in gaming transactions could impede the market growth.
This week on BuildUp Africa podcast, we focus on the emergence of blockchain-based gaming economies in Africa, a trend that is gaining momentum in the gaming industry. Joining us as our guest is Toyosi Abolarin, the CEO of Awujo, a gaming platform that leverages blockchain technology to create a new gaming economy in Africa. Toyosi’s expertise in the gaming industry and his experience with blockchain-based gaming economies make him the perfect guest for this discussion.
Blockchain technology has become increasingly vital to the gaming industry, especially in Africa. The introduction of play-to-earn models in the last few decades has transformed the gaming ecosystem, which is estimated to reach $314 billion by global estimations in 2026. Blockchain has amplified economic potential with Web3 tools such as crypto-native games, NFTs, and interconnected gaming platforms, allowing for seamless character and asset ownership exchange across boards and in marketplaces. By ensuring optimum transparency in games and betting platforms, blockchain empowers players, developers, and other stakeholders equally. Players can be uniquely and verifiably identified, allowing for peer-to-peer transactions and exchanges and fostering vibrant communities that drive innovation and growth. In Africa, where the gaming industry faces numerous challenges and is still in its infancy, blockchain technology can unlock new prospects and revolutionize the sector.
The benefits of shifting the African gaming economy on-chain
The African gaming industry faces several challenges that blockchain technology can help address. One of the primary issues is the lack of a reliable and transparent system for verifying gamer credentials and facilitating transactions. Shifting the African gaming economy on-chain can provide numerous benefits and opportunities for growth and development.
The use of NFTs, cryptocurrencies and digital platforms is changing the status quo from centralised gaming and betting companies to democratise winnings and opportunities for players. More user involvement in the gaming industry will improve experiences and participation. This can lead to increased investment, job creation, and revenue generation for the industry and the broader economy. Additionally, blockchain technology can facilitate the creation of gaming communities that are more inclusive and collaborative, allowing for greater innovation and growth in the industry and this is what Awujo is powering.
Insights from the Podcast: How Awujo is advancing the African gaming economy on-chain
Awujo is a gaming platform where gamers come to discover earning opportunities from their favourite video games. Awujo was built to leverage the play-to-earn gaming model to empower Africans with internet access and find a resourceful community of like-minded people in a gaming guild. The idea began as an African-based gaming guild called Afriguild, and after much innovation, the Awujo gaming platform was launched on the Cardano blockchain.
Web3 games that offer high-yield assets are facing low adoption rates in Africa due to the expensive cost of entry and the complexity of the gaming environment. Awujo has set itself apart in the gaming industry by lowering the entry barrier through its user-friendly interface, a wide range of gaming tournaments, and a diverse collection of over 15 video games, including popular titles such as Apex Legends, Axie Infinity, Thetan Arena, Mortal Kombat, Call of Duty, and Fantasy Football. The platform features automated tournaments that allow gamers to compete and win prizes on a weekly and daily basis. Gamers can also obtain loans with crypto-collateral to enable them to compete in high-stakes games. Additionally, game owners can advertise their games on Awujo by sponsoring tournaments, providing users with opportunities to compete and win.
Listen to Awujo CEO Toyosi Abolarin on Youtube. Press play
Challenges Facing the shift to an on-chain gaming economy in Africa
The shift to an on-chain gaming economy in Africa faces various challenges. One of the most significant obstacles is the lack of technological infrastructure, particularly in terms of slow and unreliable internet connectivity. This could hinder the ability to participate in online gaming and blockchain-powered ecosystems.
Another challenge is the limited awareness and education on the benefits of blockchain technology, which could make it difficult to adopt and integrate into gaming platforms. The regulatory environment surrounding the gaming industry in Africa can also be complex and challenging to navigate, which may cause delays or complications in the adoption of blockchain technology and on-chain gaming platforms. Additionally, without adequate security measures in place, players may be hesitant to participate in on-chain gaming economies, which could slow down adoption and growth.
The Future of Blockchain Gaming in Africa
Despite the challenges facing the adoption of an on-chain gaming economy in Africa, platforms like Awujo are leading the way in creating awareness and educating African youths about the benefits of blockchain technology through gaming. Awujo is empowering gamers to participate in blockchain-based ecosystems and is creating vibrant communities that can fuel innovation and growth in the African gaming industry.
BuildUp Africa Podcast is available on Google podcast, Apple podcast, Spotify and several other popular streaming platforms.
Start listening now https://podcasters.spotify.com/pod/show/buildup-africa
Adaverse Official Links
Facebook: Adaverse Accelerator
Startup School: Adaverse Startup School
BuildUp Africa Podcast: BuildUp Africa