Sega Moves Away from Blockchain Games, but Licenses Characters for NFTs

In a recent interview with Bloomberg, Sega’s co-Chief Operating Officer Shuji Utsumi revealed that the company has decided to abandon its plans for developing blockchain games for the time being. This decision comes as a result of a survey conducted by the Game Developers Conference (GDC), which found that only 23% of game developers expressed interest in utilizing cryptocurrency or blockchain technology in their games.

Reevaluating the Use of Blockchain and Crypto

Utsumi explained to Bloomberg News that Sega is currently reevaluating its position on blockchain, crypto, and play-to-earn game mechanics. He expressed concerns about the lack of excitement in play-to-earn games, stating, “What’s the point if games are no fun?” As a result, Sega has decided to move away from integrating blockchain technology into its flagship franchises. However, the company does have plans to allow certain characters, such as those from Virtua Fighter and Three Kingdoms, to be used as NFTs (non-fungible tokens). Additionally, Sega will offer “lesser franchises” that can be utilized in multiple blockchain games, although the specific games have not yet been announced.

While Sega is currently stepping away from blockchain integration in its major games, Utsumi did not completely rule out the possibility of revisiting the technology in the future. He also declined to comment on whether blockchain would be utilized in Sega’s upcoming “super game” releases scheduled for 2026. Despite Sega’s cautious approach to blockchain and web3 technology, other gaming companies, such as Sony, have shown interest in fully embracing these features. Sony recently filed a patent for a system that facilitates the transfer and trade of PlayStation NFTs, indicating a potential interest in the technology among console makers.

Although the use of blockchain and web3 technology in games has faced backlash from players, developers and publishers continue to explore its potential profit opportunities. Sega’s current stance reflects a skepticism about the longevity and wider adoption of blockchain technology within the gaming industry.