With Axie Infinity dominating the crypto gaming space, it seems like GameStop is trying to emulate or surpass its success. GameStop will finally partner with Immutable X to start its NFT plans.
GameStop Chose Immutable X as Ethereum Layer-2 Scaling Solution
According to the story by Decrypt.co, GameStop has chosen Immutable X as its Ethereum layer-2 scaling solution. Immutable X will be the retailer's technology for its upcoming marketplace.
GameStop and Immutable X have already established a $100 million token incentive fund that focuses on NFT gaming. The plans of GameStop building on the Ethereum blockchain have long been known as its previous teaser launched with the Ethereum logo back in May 2021.
Why Did GameStop Choose Immutable X?
When the teaser launched, it first wasn't clear as to how GameStop planned to "tap into the leading NFT ecosystem." As of the moment, Immutable X is designed specifically for "token-driven video games and NFT-based projects" on the Ethereum blockchain.
Immutable X works with the security offered by the Ethereum mainnet but can handle higher volumes of transactions at much lower costs with a much smaller environmental footprint. Immutable X also takes hundreds of thousands of transactions on its own blockchain then rolls them over to the Ethereum mainnet.
Immutable X Shares Excitement Regarding Project
Immutable is also based on the zero-knowledge proof technology of StarkWare. GameStop's part in this story is that its marketplace will focus directly on NFT items that are usable in-game, just like other play-to-earn models close to Axie Infinity.
Robbie Ferguson, Immutable co-founder, and CEO, stated, "this is a huge leap forward for the gaming industry and blockchain" and that "It is further validation that NFTs and blockchain have tremendous utility and are reaching a much broader audience."
GameStop Looked Into Loopring Causing the Price to 3x
The companies were able to pull together a fund that will provide up to $100 million to assist in yielding the "next wave of NFT-fueled video games." In addition, Ferguson also noted that the fund provides tokens to studios building on their platform and using GameStop's marketplace in order for them to attract the best developers studios and help "accelerate mass adoption."
The Wall Street Journal article recently reported that GameStop added a team of over 20 people to work on the company's NFT project. In November, GameStop was speculated to be choosing Loopring, a scaling solution, to help power its NFT marketplace. This was due to references found in Loopring's code as well as other "purported leaks."
The price of Loopring's token even tripled during that time. However, GameStop was still looking for other providers during that time, and the company has now chosen Immutable X to power its upcoming NFT marketplace. As of the moment, it is yet to be seen how large the NFT marketplace could get and if it can compete with the likes of Axie Infinity.
Related Article: Study Shows It Costs $20K to Store 500KB on the Ethereum Blockchain; Could NFTs Be at the Risk of Link Hijacking to Alter Ownership
This article is owned by Tech Times
Written by Urian B.
