BSOD Crash After Display Drivers Fail - BCCode 116

It first happened while I was playing Diablo III. The colors on the screen went crazy then Diablo froze and the screen started flashing which eventually lead to a crash and a blue screen. After the reboot windows started and automatically ran the cmd prompt with winSAT trying to diagnose something? It would go through the process and it seemed like it was just looping over and over with no solution. I closed the cmd prompt and it crashed shortly after, with the same errors.

Code: Problem signature:
Problem Event Name: BlueScreen
OS Version: 6.1.7601.2.1.0.768.3
Locale ID: 1033

Additional information about the problem:
BCCode: 116
BCP1: FFFFFA800A640010
BCP2: FFFFF8800F6649C8
BCP3: 0000000000000000
BCP4: 000000000000000D
OS Version: 6_1_7601
Service Pack: 1_0
Product: 768_1

On the next reboot I then ran in safe mode and did a system restore hoping it would clear up. It did not. After the restore it did the same thing and eventually crashed again. Here I have both the dump files from the incidents (it only recorded two of them). I have googled and read up a lot on similar errors and it seems to be either a hardware issue or a driver problem. I am downloading drivers right now and will see what happens, but I am doubtful. Also when the blue screen came up, it said something about the "nvlddmkm.sys" file, but I don't recall what it said. It was too fast for me to catch it all.