Digital watermarking is a promising solution to video game piracy. In this paper, based on the analysis of special challenges and requirements in terms of watermarking textures in video games, a novel watermarking scheme for DDS textures in video games is proposed. To meet the performance requirements in video game applications, the proposed algorithm embeds the watermark message directly in the compressed stream in DDS files and can be straightforwardly applied in watermark container technique for real-time embedding. Furthermore, the embedding approach achieves high watermark payload to handle collusion secure fingerprinting codes with extreme length. Hence, the scheme is resistant to collusion attacks, which is indispensable in video game applications. The proposed scheme is evaluated in aspects of transparency, robustness, security and performance. Especially, in addition to classical objective evaluation, the visual quality and playing experience of watermarked games is assessed subjectively in game playing.