#crypto #NFTs #games #fun, #money
The NFT (nonfungible token) is a certificate of authenticity, declaring the uniqueness or rarity of a digital or real item. This means such an item can not be swapped identical to another.
The digital certificate lives on the blockchain and contains vital information about the NFT collectible.
The rarity and use cases of NFT collectibles have fascinated artists, collectors, and traders into space.
Among the use cases of NFT are NFT games, as they are becoming more popular especially with upcoming NFT projects.
This is due to its potential to generate money for players and NFT developers.
If you are new to the NFT space you must be wondering what NFT games are and how they work. Don’t worry, before the end of this article you’ll be enlightened.
What are NFT games?
This is an avenue for holders of an NFT to use their tokens to earn while playing. Through play-to-earn model and in-game NFTs.
NFT games popularly known as Game-fi started with the crypto kitties craze in 2017. After crypto kitties, game-fi didn’t explode until 2021.
The popular NFT games include;
- Axie Infinity
- Sorare
- Cryptokitties
- Sandbox
- Age of rust
- Sprinterland
Ever since the new development in the NFT space, holders no longer have to rely on winning, finding, or breeding rare collectibles to earn.
Player/holders now get to experiment with different game-fi to earn through crypto arts or assets in the game.
The NFT games combined the finance world with the game world, providing players an opportunity to earn while still having fun playing.
These NFT games serve as an alternative means for players in poor countries to make money.
In the Philippines, a lot of people were reported to have made $200-$500 monthly, playing NFT games.
Difference between play-to-earn and in-game model
The Play-to-earn model gives players the avenue to earn more tokens the longer they play and occasionally earn NFTs which are based on chances.
On the other hand, the in-game model allows you to earn NFTs that represent
collectible items rather than a fungible ERC-20 token that P2e of
Offers.
Now, these two models are being combined to make the game much more interesting. Players get to earn both tokens and NFTs with NFT games still retaining the element of chance to heighten the experience.
How NFT games work
NFT games are made possible with the smart contract technology which makes up the rules for NFT usage.
This smart contract is used to technically implement NFTs into the game and it contains pieces of code stored on a blockchain e.g. Ethereum, Wax, binance smart chains.
Holders of an NFT, game tokens can use their token(s) to play in the game. These tokens could be unique characters or digital items you find while playing the game.
When you earn such rare items. You can swap or sell them to other players.
How do NFT games make money
You’re probably wondering how NFT game developers earn.
First, you need to note that earning in the game is important to the crafting process of the game. The more people play, earn and trade the game NFT is what determines the value of the NFT in the secondary market.
Nobody wants to buy a worthless NFT. In other words, to make the NFT in a game valuable the developer has to build hype around the game to get people playing, earning, and trading It.
This way they can earn more from charges like purchasing or withdrawing fees on tokens or NFTs that players make.
Is it possible to lose money playing NFT games?
Yes, it is possible to lose money in NFT games through;
- Market forces
- Scams
- Carelessness or
- Rules of the game
To avoid this or reduce losses ensure you make proper research on the utility of the game’s NFT and how well people are interacting with the game.
Concluding note: The NFT game is a revolutionary addition to the NFT space and gaming space.
This is because holders no longer have to rely on winning or breeding NFTs to earn nor will game lovers have to play for the sake of playing.
Players/holders of NFT games can now earn while still having fun, so if you’re new to the space this is a great way for you to earn.
