Play-to-earn or play-to-win games have become hugely popular. They are revolutionizing the video game sector thanks to the global phenomenon of non-fungible tokens (NFT) and their potential to earn money when gaming.
Depending on the time spent playing, the number of wins, and their skills, gamers can earn more than the monthly minimum wage that many workers receive. So it’s no surprise that huge numbers of people have turned to this alternative way to finance their living expenses.
In this article, we’re going to provide you with all the information you need to get started in crypto games.
What are Non-Fungible Tokens?
Cryptocurrency games are developed with non-fungible tokens (NFT). According to investopedia.com “Non-fungible tokens (NFTs) are cryptographic assets on a blockchain with unique identification codes and metadata that distinguish them from each other.” This means that an NFT is based on a contract that represents something unique, for example, a photo.
The advantage of this contract is that it validates that the photo is original and who the owner is. The price for each NFT works on similar economics to the world of art in that it varies depending on supply and demand. NFTs are usually auctioned off, and whoever offers the most money becomes the new owner.
What is Decentralized Finance?
Decentralized finance or DeFi, provides financial instruments but without the reliance on intermediaries such as banks or exchanges. This then means that the control is removed from the traditional banking organizations, eliminating the fees they often charge and allowing peer-to-peer transactions.
How Do You Take Part in NFT Games?
The way to get into NFT games is through decentralized finance, so the first thing that will be needed is a wallet for cryptocurrencies. There are different ones, each one with its advantages and disadvantages, and although some games require specific wallets, in general, the most used is Metamask. The way to install any of these Defi crypto wallets is through a browser extension.
The wallets are, for the most part, completely free to download and use, so once the wallet is ready to store and collect the cryptocurrencies, it is necessary to buy the token with which the game will be entered. This one depends on the NFT game again, some don’t require buying a native token as it is entered with a token like Ethereum (this is the case with Axie Infinity). Others require the player to buy a minimum number of tokens of the game in question, as is the case with games such as Plant Versus Undead.
The 2 Best Know Games in the NFT Gaming Community
The best-known game, and considered by many to be the Bitcoin of NFT games, is Axie Infinity. Although the game has two tokens (AXS and SLP), only SLP is mined for when playing. The player can then choose to sell their “farmed tokens” and convert them into a useable currency. Each NFT game has a different way of generating income; in the case of Axie Infinity it currently has three main ones:
- Token mining, through playing. Every day, the player can complete quests and spend energy that renews every 24 hours, thus generating SLP.
- Servant of Axies. An investor can buy axies to breed and sell their offspring for profit, although each axie can breed a maximum of 6 times.
- Resale of non-fungible tokens. In the world of Axie Infinity, a player can purchase axies, lands, and more. One way to generate income from this game is by buying an NFT and selling it at a higher price sometime later.
The cheapest and most efficient method to start playing Axie Infinity is through what is known as a “scholarship,” which consists of an investor buying axies for a third party to play, as a job. Creating a team of axies has a variable cost, but it is usually around 0.5 ETH or the equivalent of around $1,500. Although there are axies that have been sold for 888 ETH or 2.6 million dollars, there are others that are much more affordable.
Another game considered by NFT gamers to be the “Ethereum of non-fungible token games” is Plant Versus Undead (PVU). Although the game is still in beta, it has a great acceptance by the community and a large number of users. So far, in PVU, you can only buy plants and land, sell them if you wish, and water both your plants and those of third parties.
The Methods of Generating Cryptocurrencies in PVU are:
- Resale of NFTs. As in Axie Infinity, players can buy land and/or plants and then sell them for a higher price. Fortunately, most of the time, the prices are stable, but they could be decreasing, which means that it is not so easy for players to earn money this way.
- Farm job. Entering the game as a farmer is the cheapest method for VP, and requires more or less 5 VP, the equivalent of $115. When playing as a farmer, the user must water the plants of others, and for this, he will receive a reward in the currency called LE, which has a zero value in the market, but he can exchange 100 LE for 1 PVU, which has a value close of $23.
- Buy plants. You can earn by buying and watering your plants. The return on investment of a plant is on average one and a half months, depending on the plant, and the price of the PVU token.
- Be a landowner. The investor with the highest purchasing power can buy one or more lands and put plants on them. By doing so, he will generate income from his plants, he will also be able to be a farmer, and in turn, others will be able to water his plants so they do not have to spend to do so.
Our Final Thoughts on Crypto Games
This is an incredibly exciting time in the world of gaming. Crypto has opened the door to a whole new range of options and opportunities. But, caution is ended. Each game has its own terms and conditions and it’s important to understand what they are as well what options there are for converting in-game awards to cash you can spend outside of the game.