Mary Amakihi 
What You Need to Know Before Investing in Cryptocurrency Gaming Tokens
Investing in Crypto gaming is one of the significant ways to earn crypto. This article discusses what you need to know before investing in Cryptocurrency gaming tokens.
One of the most challenging obstacles for investors regarding cryptocurrencies is catching up in the excitement.
Many individual and institutional investors have quickly included digital currencies in their portfolios.
Simultaneously, specialists have continued to warn investors about cryptocurrencies’ volatile and unpredictable character.
You should research if you’ve decided to invest in the cryptocurrency market, as with any other investment.
Crypto gaming is getting much attention from regular players and investors. It’s opened up a new way to play games for fun and competition that no one saw coming.
Web3, as a whole, is still a new field, but it has been welcomed with open arms. Crypto gaming started slowly and was boring initially, but over time, it has grown into entertaining events for many different groups.
There is a crypto game for everyone to try, whether you like trading card games, action/adventure games, or sandbox makers.
It’s good that Web3 game creators have experimented with different types of games, making projects more accessible to start and last longer.
What is Crypto gaming?
The term “crypto gaming” describes the intersection of the two industries, where virtual currencies are used in video games.
In-game currency, playable characters, and other digital possessions all fall under this category. The idea that players can have complete control over their virtual assets has contributed to the rise in popularity of crypto gaming.
Players of decentralized games can hold in-game assets in the form of NFTs or cryptocurrencies, unlike in centralized games.
This has the potential to foster decentralized economies in which in-game assets can be traded between games or used by users in different games.
It also paves the way for innovative additions to existing games, such as “play-to-earn” models where users can earn NFTs or cryptocurrencies through normal gameplay.
GameFi (game finance) applies decentralized finance (DeFi) principles to the gaming business, thus closely tied to crypto gaming.
It employs blockchain technology and smart contracts to facilitate the creation of games with trustworthy financial transactions.
Crypto games are based on the idea of “play to earn.” In essence, this means that players who play these games will get cryptocurrencies and rewards within the games for their hard work and skill.
They can trade the things they win in games for real money both inside and outside of games. This is different from other games where the only prizes are those that have value in the game itself.
Unless it’s a Pokemon game, you can’t take your in-game things to other games or games in the same series.
On different blockchain lists, you can play other coin games. It’s possible to say that one blockchain is better than another because it has different functions and features.
Most people know about Ethereum and Wax, two of the most famous gaming blockchains. Ethereum is well-known because it has fast transaction times and can be scaled up or down.
This lets developers build decentralized apps on top of Ethereum using Layer-2 solutions such as Immutable.
What are Crypto Gaming Tokens?
As previously said, crypto gaming differs significantly from regular gaming in a number of ways.
One of the critical options available is the introduction of gaming crypto tokens. These are also known as NFTs or non-fungible tokens.
What causes them to be fungible? The fact that they cannot be copied (technically) makes them non-fungible.
Of course, you may screenshot an NFT, as you may have seen in a cryptocurrency meme a few months ago. Of course, there’s more to it than just a picture.
A crypto gaming token is registered on the blockchain via a smart contract, which serves as a digital receipt, displaying the owner and all other pertinent information monitored against the NFT.
Keep in mind that the blockchain never lies!
NFTs can be obtained in a variety of ways. Playing crypto games, trading and purchasing, NFT airdrops, and inventing them are all examples.
Games like The Sandbox let you create and sell your tokens that can be used both within and outside the game.
While they may appear to be a simple image at first glance, you will quickly realize they are far from it! Crypto gaming tokens, such as guns in a first-person blockchain shooter like EV.io, can take different forms.
With the emergence of crypto game-based tokens, new connotations of digital ownership have emerged, with gamers now having complete control over their favorite games.
Some NFTs are pretty valuable, whereas others are not. As the adage goes, you have to be in it to win it.
Top Crypto Gaming Tokens
With their growing popularity, these tokens have the potential to impact the gaming industry as a whole substantially.
They provide the potential for growth and innovation in the crypto gaming market thanks to unique features and strong community support.
- Decentraland
- The Sandbox
- Axie Infinity
Decentraland
Decentraland is a virtual world that operates in a decentralized manner and is constructed on the Ethereum blockchain.
It enables participants to possess virtual land and create many experiences, encompassing games, art, and numerous activities.
Through the utilization of its indigenous cryptocurrency, MANA, users can get virtual real estate and engage in the governance mechanisms of the platform.
Some of the notable characteristics of this platform are;
- It’s a decentralized virtual environment wherein users possess virtual pieces of land.
- The platform is constructed on the Ethereum blockchain.
- The MANA token serves the purpose of facilitating in-game transactions and enabling governance within the game.
The Sandbox
The Sandbox is a decentralized platform that allows people to use visual scripting tools to create 3D gaming environments and experiences.
SAND, the native coin, is utilized for in-game transactions including buying equipment, and LAND – a digital piece of real estate in The Sandbox’s Metaverse.
Some of its essential features are;
- It is a platform for generating 3D gaming worlds that is decentralized.
- Visual scripting tools make it simple to create games.
- The SAND token is used for in-game transactions like buying LAND.
Axie Infinity
Axie Infinity is a popular game based on non-fungible tokens (NFTs) in which players gather, trade, and combat ‘Axies.’
Players can earn AXS tokens through various in-game actions using the play-to-earn (P2E) mechanism.
Here are some characteristics of this gaming token
- It is a collection of creature-based NFT games.
- AXS tokens are used in a play-to-earn (P2E) paradigm.
- A strong sense of community and an engaged player base.
What You Need to Know Before Investing in Crypto Gaming
If you want to invest in Crypto games, you need to know a lot about the challenges and chances that this new industry offers.
Doing a lot of research before investing your resources is very important. You need to know some things before investing in any Crypto game.
- Concept and innovation
- Team expertise
- White paper analysis
- Token utility
- Regulatory compliance
- Scalability and speed
Concept and Innovation
Examine the Crypto game’s distinctiveness and inventiveness. Does it provide a unique gameplay experience, new mechanics, or ground-breaking features that distinguish it from other games?
Team Expertise
Find out how much experience the development team has with games and bitcoin technology. A strong team with a history of success is more likely to finish a job on time and on budget.
White paper Analysis
Look over the project’s report very carefully. It should give a clear account of how the game works, how tokens work, and how blockchain technology works.
Token Utility
Recognize the role of in-game tokens or assets in the ecosystem. Investigate these tokens’ utilization, scarcity, and prospective worth.
Regulatory Compliance
Check to see if the project meets all the legal and regulatory standards. Be aware of the problems that could come up with virtual assets and coins.
Scalability and Speed
Check how fast transactions can happen and how the blockchain can grow. High fees and transfers that take a long time can make it harder to play and get new users.
The Future of Crypto Gaming
Crypto games will be more than places to kick a ball around or shoot zombies for fun.
The future of blockchain gaming that uses “play-to-earn” mechanics has the potential to completely change economies and financial systems, and we’ve already seen signs of this happening.
The Philippines’ economy and finances have already changed so much because of the vast amounts of money that players there are making that the government had to come up with a whole new way to tax in-game earnings.
Just one game brought so much money into the Philippine economy that people now have chances they probably never would have had before. This can have a hugely positive effect on the whole country.
So many blockchain games are coming out soon. Games are coming out faster than ever before, and they’re getting more challenging.
Games like Star Atlas will have a whole world with its own economy and financial system.
Players can make money by doing almost anything they can think of or doing many different virtual jobs for a living.
In a recent interview, the CEO of Star Atlas talked about how the game will have jobs for everyone, from miners to soldiers and space pilots.
Imagine a world where a lot of people quit their real-life jobs to work in metaverses like Star Atlas.
This is a real possibility, and I would even say it’s likely because it’s not ridiculous to think that people would rather fight aliens while flying around the galaxy and making money than sit at a desk all day and look at Excel charts.
Final Thoughts
Crypto gaming tokens are gradually gaining market traction. The industry will continue growing and evolving due to the increasing amounts of money entering the field each year.
