If the release of CryptoKitties has shown anything, it’s that blockchain applications have the potential for broad consumer appeal. While awareness of cryptocurrencies is on the rise with the public, they’re still of little practical use for most people. CryptoKitties introduces a new category of application to the blockchain space that could open up new development opportunities.
CryptoKitties, which allows people to collect, breed and trade digital cats, was released on the 28th of November by Canadian startup studio Axiom Zen and quickly attracted users. It requires players to use Ethereum’s cryptocurrency ether and it runs on Ethereum’s blockchain. Within a week, transactions for CryptoKitties constituted between 10% and 15% of the Ethereum network’s total.
This led to complaints that CryptoKitties was slowing down the network and causing one company, SophiaTX, to postpone its ICO. As a result, the game’s developers were forced to increase the network fee required to created new kittens from .001 ETH to .015, 15 times the original price.
That is, until they dropped it again.
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The sales prices of the digital cats have surprised many, with five having sold for more than $100,000 USD, according to price tracker CryptoKitties Sales. Data from ETH Gas Station says that transactions for the game are currently bouncing between first and second place for the most executed smart contract on Ethereum’s network.
Axiom Zen and their design team executed well in creating a game that takes steps towards making Ethereum user friendly. Benny Giang of Axiom Zen said that blockchain is still difficult to use for the average consumer, but that the company’s goal was to “to make our game as accessible as possible.”
Some users on Twitter have commented how they think CryptoKitties will introduce many people to blockchain applications beyond Bitcoin.
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It seems likely that other companies will follow in Axiom Zen’s footsteps and try similar projects. Whether CryptoKitties fizzles out or continues to grow, its release has pointed the way towards uses of blockchain that are not purely financial.