Perhaps even a child now knows what NFT is. While some people make large sums of money from NFTs, some still don’t understand the value of this cryptographic token. Interestingly, players have been dealing with similar ideas for a long time. We are talking about exclusive skins, and in this article, we will analyze the similarities between NFTs and CS:GO skins.
What are CS:GO skins?
Skins in CS:GO are 3D models that are designed to change the standard type of weapon in the game. These items are purely cosmetic, skins do not affect the functionality of the weapon. CS:GO skins allow players to customize weapons to express their unique play style.
What are NFTs?
An NFT is a unique piece of information (image, audio, or video) that is analogous to physical collectibles. The uniqueness of the token lies in its non-interchangeability. This means that an asset has no analogs. For example, in the whole world, there is only one original composition “The Scream” by Edvard Munch. NFT confirms the right to own a token.
Features of CS:GO Skins & NFTs
There is an opinion that CS:GO skins are the forerunner of NFTs since these assets represent a certain digital object that has real value. However, the principle of ownership of the skin and NFT remains a mystery. There is an opinion that only the owner of an NFT has access to an asset, for example, an image. However, not everything is so clear cut. The NFT user only owns the hash for the image, which is stored on the blockchain.
The owner of the skin at first glance can use the digital asset as he sees fit, including selling it. However, Valve may at any time for any reason deprive the player of such an opportunity. Moreover, if the game closes, all skins will simply disappear.
It is also worth paying attention to the idea of uniqueness for skins and NFTs. In CS:GO, all skins are identical. The appearance and value of the skin indeed depend on the float value, as well as the presence of StatTrak technology or belonging to the souvenir category. However, all these features do not make the skin unique. At the same time, each Bored Ape Yacht Club asset has its unusual elements, colors, etc. Thus, NFTs are unique assets.
The features of NFT
- use of blockchain (decentralization);
- high level of security;
- abstract ownership;
- modern asset.
The features of CS:GO skins
- it can only be used within the game;
- abstract ownership;
- Tarde up online: by buying or selling CS:GO items on the market
- chance of losing the right to use the skin at any time.
The Main Differences Between CS:GO Skins & NFTs
The main difference between NFT and skin is the form of ownership. CS:GO players have the opportunity to buy and sell skins, but all CS:GO skins are actually on the Valve server. The company can potentially at any time deprive the player of the ability to dispose of the skin. NFT holders own the asset and their ownership of that item is recorded on the public blockchain network.
Another important difference between these two assets is their value. There is currently no intrinsic value of the NFT image represented by the token. Images are used primarily only for online display, but there are also cases of the appearance of physical analogs. Certain companies are planning to integrate NFT into their business systems, such as video games, but there is no big trend.
With skins, things are a little different. They are created to satisfy the desires of the CS:GO player and are successfully used for this purpose. Skins do not affect the gameplay technically, they have an aesthetic value that is important to the players.
Although players can get CS:GO skins online, the owner of the item has the option to convert it into real funds without any problems. Skins have a set market value through the Steam Community Market. Selling skins online on the safe CS:GO trading platform or through Steam allows players to save money in the Valve ecosystem, but there are quite a few ways to convert CS:GO items into real funds.
What Makes Both Positions Unique
The source of the creation and existence of NFT is blockchain, and this is a unique feature of a token. The public registry confirms the value of the token, and the owner’s ownership of this asset, and also provides the owner with the ability to transact with the asset. This means that these assets have inherent value across systems. The CS:GO skin will fulfill its tasks only within the game.
To Sum Up!
The modern digital world is filled with many fascinating, useful, but not always unambiguous things. Skins and NFTs do have common features, but the ownership and use cases of assets are quite different. However, there is a good chance that game developers will be more active in implementing blockchain technology and perhaps NFTs will take on a new meaning.