The possibility of cryptocurrency integration in the next generation of Xbox consoles is not far-fetched. Last September, gaming news was filled with reports about a few leaked documents containing plans for Microsoft to integrate the Xbox consoles with cryptocurrency wallets.
Microsoft’s consideration of cryptocurrency is another example of crypto’s use in the entertainment sector. There are already several blockchain-based games powered by distributed ledger technology that expand the possibilities and innovations in the gaming sector. This is similar to crypto applications in areas like online gambling, where some of the best crypto casinos allow players to place bets and withdraw winnings via digital assets. In addition to bigger bonuses and guaranteed privacy, these crypto casinos are easy to use, even for players without crypto experience.
No Official Confirmation Despite Crypto Indication From Leaked Documents
The leaked Xbox documents allegedly showed communication between company executives about plans for a new console. The document showed a roadmap that includes crypto wallet support, a gyro controller for games that involve aiming, a variation of the Xbox Series X without a disc drive, and a next-gen console for release in 2028.
The leak was confirmed after Xbox head Phil Spencer stated that it probably happened because of the Federal Trade Commission’s (FTC) legal action against Microsoft following the company’s intention to acquire gaming giant Activision Blizzard. At the time, several antitrust agencies, including the FTC and the United Kingdom’s Competition and Markets Authority (CMA), challenged the acquisition. PlayStation maker Sony also criticized the plan, sharing concerns that Microsoft would restrict the Call of Duty franchise to Xbox.
Unfortunately, the documents did not contain specific details on the crypto wallet or plans for digital asset support. However, reports state that instead of an “industry solution,” the wallet would be an “Xbox/Microsoft solution.” This suggests that the Xbox crypto wallet would likely be developed in-house by experts from Microsoft. However, there is no official confirmation.
Neither Microsoft nor Xbox has committed to crypto integration with any new consoles. However, Microsoft is generally pro-crypto and has added cryptocurrency payments to its store. Users can shop on the Microsoft Store and complete their transactions using Bitcoin (BTC).
Microsoft’s Crypto Foray
Microsoft is pushing deeper into the cryptocurrency industry, announcing an artificial intelligence (AI) and Web3 partnership with layer-1 blockchain Aptos. According to Daniel An, Microsoft’s global director of business development for AI and Web3, “AI will be infused into Web3 solutions at greater scale in the coming months and years.”
While this does not indicate interest in crypto use on Xbox, the general possibility remains. Shortly after the leak, the crypto community reacted with excitement, hopefully anticipating an official announcement or a wallet release.
Competition from Sony’s Playstation
If Xbox does begin crypto integration, the company will compete with several others that are also pushing into the Web3 space and bridging the gap between gaming and cryptocurrency. For instance, Microsoft’s major gaming rival, Sony, officially submitted a patent filing for a system that allows players to transfer digital assets between games. Using blockchain technology, PlayStation players will be able to own and use assets across multiple platforms, contributing significantly to interoperability. Sony’s filing with the World Intellectual Property Organization (WIPO) suggests that these in-game assets will be represented as non-fungible tokens (NFTs) on a blockchain, allowing for easy cross-game transfers. The filing also indicates that the NFTs can be used “cross-generationally,” with assets transferable between PS4 and PS5. Interestingly, Sony also suggests in the filing description that these NSFTs may be transferable between gaming platforms, including Xbox or Nintendo.
Although Sony, Xbox, and Nintendo are rivals, using blockchain technology could unify the three consoles to some extent, broadening their offerings to millions of teeming players worldwide. The platform will also offer players increased use of cryptocurrencies and contribute significantly to crypto adoption. Furthermore, players will experience true asset ownership and increased game longevity because they will be able to enjoy their games and assets in new gaming titles and on new consoles. All of these perks will also be available to Xbox users.
