Warcraft, produced by Legendary Films in collaboration with Blizzard and Atlas Entertainment, will be based on the online roleplaying game which features elements of both fantasy and sci-fi.
Jones wrote on Twitter: "So the gauntlet was thrown down ages ago: Can you make a proper MOVIE of a video game? I've always said its possible. Got to DO it now! ;)"
According to The Hollywood Reporter, the film, penned by Blood Diamond screenwriter Charles Leavitt, will begin production in the fall of this year.
Jones - the son of musician David Bowie and his first wife Angela Bowie - has stepped into the project after director Sam Raimi dropped out.
The 41-year-old director is best known for his highly acclaimed science fiction drama Moon, and the 2011 thriller Source Code.
Warcraft is due for release in 2015.
Watch Duncan Jones answering Digital Spy readers' Twitter questions below: