If you are interested in play to earn (P2E) games, then the phrase “GameFi” has most likely already been brought to your attention. What exactly is GameFi, and how does it function? You’ll find the answers to these questions and more below:
GameFi is a combination of blockchain-based games that offer incentives to players in the form of cryptocurrencies or non-fungible tokens (NFTs). The name was derived from the combination of “game” and “finance.” Blockchain technology provides a gaming environment where players may earn digital incentives.
An example of a GameFi platform is Railings University, a huge crypto gaming guild with over 3000 gaming scholars from the Philippines and Indonesia. Railings University is the first guild established and managed by Plat It Forward to make it possible for gamers to earn from various P2E without risking their own money.
The incentives that may be earned through GameFi come in various formats, such as crypto tokens and in-game virtual assets, usually in the form of NFTs. Depending on the game’s economics or business strategy, the NFT assets can be readily bought or sold on NFT markets.
You will have a far better chance of succeeding in the game if you make smartly use NFTs. Earning from GameFi is not limited to playing games. You also have the opportunity to generate passive revenue by renting out or staking your NFTs to other participants.
Below is a list of some of the essential features of GameFi that contribute to the benefits it offers:
The play to earn business concept
P2E is a business concept that GameFi projects use. This model differs from the more common pay-to-play, or P2P, model. In a pay-to-play model, you are required to pay for a gaming console, a license, or a recurring subscription to participate in gaming.
Most of the time, if a game employs the P2P model, it will not let you get any cash rewards from your investments. Additionally, the gaming firms will have control over the administration of the in-game assets you purchase.
P2E, however, grants you complete authority over the virtual items you have purchased within the game. The approach also provides chances for generating revenue. To participate in the vast majority of P2E games, you need to make a financial investment, mainly in the form of NFTs. In exchange, you will have the opportunity to gain money through battles, increase the value of your NFTs, or rent the assets out to other players to make income.
However, some P2E games also employ the free-to-play business model, in which players are neither charged for either downloading the game or participating in it. However, if you want to earn money from playing the game, you need to purchase an NFT or other digital assets.
Some GameFi initiatives, particularly those focusing on P2E games, have decentralized finance (DeFi). Projects that use DeFi make it possible for two parties to engage in digital financial transactions inaccessible to governments, banks, and other centralized entities.
Using the DeFi applications makes it possible for GameFi projects to incorporate financial elements such as yield farming, staking, and liquidity mining. You may stake your in-game tokens to earn rewards, access higher gaming levels, and acquire unique in-game items.
Management and ownership of digital assets
In traditional games, the game developers control and administer the in-game assets purchased by the player. On the other hand, with GameFi, the in-game assets you have purchased will be under your complete command at all times. These in-game assets must be NFTs for easier management and transferability.
How to get started on your journey in GameFi
Before starting your journey in GameFi or any other P2E game, remember that every project has its own set of features and characteristics that make it distinctive. Check out the game’s website or read the whitepaper if you want more details about the project. Both of these resources are located on the game’s official website. Here is how you can get started on your journey in GameFi:
- Create a crypto wallet
You must own a crypto wallet that is compatible with your game to have access to the monetary features of GameFi. MetaMask is an example of a trustworthy crypto wallet. If you want to play a game built on the Ethereum blockchain, you will need a crypto wallet that is compatible with that game and can connect to the Ethereum network.
Certain games will demand you to sign up for an account on their internal wallet to save money. Axie Infinity is a good illustration of this type of game. Axie Infinity made breeding and selling Axies far more affordable by creating a sidechain called Ronin. As a result, users will be required to establish a Ronin Wallet to participate in the game and earn inside it.
- Join the game by connecting your crypto wallet
After creating your cryptocurrency wallet, the next step is to link it to the game you intend to play. To accomplish this, you must navigate to the official website for the game and look for the option that allows you to link your wallet.
Most often, signing up for a P2E game does not need the creation of a username or password, which is one benefit that these games offer over traditional video games. Simply linking your cryptocurrency wallet is all that is required of you.
- Get yourself familiar with the game rules, then start to play and earn
After you have linked your wallet, you will be able to purchase the necessary NFTs or other in-game assets so that you may enter the game. These assets may include a certain amount of gold or an item.
Conduct an extensive study into the game, its earning potential, and the total risk you should expect before you begin playing it. Another crucial step that should not be overlooked is checking the amount of time it will take you to turn a profit or recoup your original capital.
Do you want to become a P2E gamer or investor?
GameFi is such a wide industry, players and investors usually work together in it. There are millions of crypti gaming enthusiasts and you’re just one-step away from being one of them. Empower GameFi across the metaverse now be being either a P2E gamer or a token investor.
Enter as a gamer
Be one of the 3000+ gaming scholars of Railings University (RU), the pioneer guild under the management of Play It Forward DAO! Railings University is your way to get involved with different GameFi projects throughout the metaverse!
Enter as an investor
If investing in GameFi is what you’re looking after, then be a PIF token investor now! Unleash your journey as one of the crypto token investors of Play It Forward DAO. Talk to us right here in our Telegram and/or Discord channels today.