Sega’s COO finds blockchain gaming boring, leading to a reevaluation of their GameFi plans, according to Bloomberg.

Sega, who was once a strong supporter of GameFi and blockchain-based games, is now leaving the sector, as reported by Bloomberg.

In an interview with Bloomberg, Shuji Utsumi, co-Chief Operating Officer of Sega, stated that the gaming giant is now uncertain about the technology and will be canceling its plans to develop its own blockchain games.

“We are investigating whether this technology will truly succeed in this industry,” Utsumi told Bloomberg. “The gameplay in play-to-earn games is dull. What’s the point if the games are not fun?”

The Japanese company had previously announced that it would keep some of its most well-known games and intellectual property away from blockchain. However, it still plans to allow third-party developers to create blockchain games. Last year, it announced a partnership with a development studio called Double Jump Tokyo to create blockchain games based on its lesser-known intellectual property.

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The company had always been cautious about the appeal of blockchain gaming. When it first entered the field, it stated that it would withdraw if it was seen as a simple way to make money.

Sega is an investor in the Asia-based crypto fund IVC, which actively invests in GameFi projects. Several Sega executives attended IVC’s recent IVS crypto conference in Kyoto, Japan.

Edited by Parikshit Mishra.