Blockchain games have been long around since the early days of Bitcoin when people played games to earn Bitcoin.
A lot has changed since then and this time, we have many games you can play on the blockchain to earn rewards.
Game-Fi is a word derived from the combination of two words- game and finance.
Game-Fi combines the beat of both worlds; playing video games & decentralised finance.
It differs from the traditional video game models where in most cases you pay to play.
Let’s call them the Pay 2 Play model.
Game-Fi is entirely different as it employs the P2E model (Play 2 Earn) where players are rewarded incentives for playing games.
Sounds fun, right?
These incentives come in the form of tokens or NFTs.
They can be used in-game to unlock higher game levels and to earn more rewards.
Unlike the traditional video game models where your rewards mean nothing outside of the game, this is not true for gamefi.
Gamefi allows for digital asset ownership meaning that players can monetize their assets in different ways.
Earned NFTs can be traded on the NFT marketplace.
Likewise, earned tokens can be traded on an exchange to money.
There are over 5000 gamefi games out there and the numbers keep increasing.
Axie Infinity, Decentraland, The Sandbox are all examples of those leading the gamefi industry.
Axie Infinity is an Ethereum-based NFT game that has been growing in popularity since 2018.
Gamers can use their NFT pets (Axies) to earn SLP tokens by completing daily quests and battling other players.
Decentraland and The Sandbox focuses on virtual land ownership, allowing players to purchase digital pieces of real estate, develop them, then charge other players to stay there.
Play-to-earn games like Axie Infinity allow players generate passive income without playing the game at all through liquidity mining or lending of their gaming assets to other players.
How To Get Started With GameFi.
The following steps are to follow if you want to get started on game-fi.
1. Create a Crypto Wallet: A suitable cryptocurrency wallet, such as Trust Wallet or MetaMask, is required to enter the gamefi environment.
You may need to use multiple wallets or connect to separate blockchain networks depending on the game you’re playing.
2. Connect Your Wallet: You must connect your wallet in order to play a blockchain game.
Make sure you’re connecting to their actual website rather than a spoof.
Look for the option to connect your cryptocurrency wallet on the game’s website.
3. Check the requirements to play: To get started, most gamefi initiatives will ask you to buy their cryptocurrency token or in-game NFTs.
The prequisites differ each game, but you should always examine their earning potential as well as the overall hazards.
Make careful to calculate how long it will take to recoup your initial investment and begin profiting.
The gamefi growth pattern is projected to continue at a rapid pace as blockchain technology develops.
Gamefi is particularly appealing, especially in developing nations, because it allows you to own in-game assets and make money from them.