The crypto industry is abuzz with the latest trend called GameFi. It’s a revolutionary concept that fuses together decentralized finance, NFTs, and blockchain gaming – all in one! Unlike other traditional online games, built on a ‘pay-to-win’ model where players purchase upgrades for an unfair advantage over others, this game follows the “play-to-earn” approach by rewarding gamers financially as they progress through their games. In some cases, it has even enabled people to earn enough money to make a full-time income from playing these games!
Monetization in GameFi Is Usually Delivered Through NFTs
All items in GameFi are embodied as NFTs – digital tokens that confirm possession of rare intangible objects. Plots of land, avatars, costumes, weapons, and gold bars can be included here. Once players acquire them through their gaming experience, they may either exchange them for other NFTs or convert them into cryptocurrency by trading in a digital marketplace.
Gamers can maximize their profits by leveling up and boosting their avatars, constructing money-making structures on their land for other players to pay for use, or participating in competitions. Every user’s NFTs and crypto transactions are recorded on a public blockchain managed by an international network of computers. This form of technology not only offers secure record-keeping but also provides several advantages when used within gaming.
Benefits of GameFi
In blockchain gaming, players can now effortlessly demonstrate the possession of their in-game items with no risk of ever misplacing them. Moreover, there is no way to counterfeit, remove or destroy these acquired possessions during gameplay. With this groundbreaking technology known as game-native cryptocurrencies, players can transfer and receive payments without depending on any third party to settle accounts or safeguard assets.
Not just for entertainment, some GameFi games allow players to partake in decentralized finance (DeFi) activities like staking. Through locking away certain tokens, gamers can acquire annual interest and other rewards that they can use to purchase special items or unlock new content within the game.
What You Need for Any Play-to-Earn Game:
To partake in any GameFi play-to-earn game, users must create a cryptocurrency wallet to store their digital currency and NFTs. The type of wallet they need depends on the blockchain the game is based on; for instance, MetaMask – built off Ethereum – will work with all games designed from Ethereum.
Before you get started playing any GameFi game, there are usually starter items that must be purchased. For instance, CryptoBlades requires a Metamask download and Binance coins (BNB) to exchange it for its native cryptocurrency, SKILL. To purchase the necessary starter items and commence with the game, your crypto wallet will need to be pre-funded with the appropriate cryptocurrency beforehand.
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