Crypto gaming is a blend of decentralized cryptocurrency and gaming with real-world value. You can buy gaming coins on some well-known exchanges, including Coinbase, Uphold and Robinhood
Remember grinding the midnight oil to get that rare weapon or epic armor? The world of gaming has come a long way. Forget pixels on a screen — blockchain technology is revolutionizing the way we play. You can enjoy epic adventures and potentially earn real-world value through cryptocurrencies, tokens, and in-game assets.
This guide, Crypto Gaming 101, is your one-stop shop for understanding the exciting world of crypto gaming. We'll breakdown everything you need to know, from the different types of digital currencies used in games to the mind-blowing potential of owning in-game items that hold real value.
What is Crypto Gaming?
Crypto gaming is a mix of cryptocurrency and gaming, where digital assets become part of the gaming fun. In this type of gaming, players can earn, trade, and own in-game stuff that has real-world value, thanks to blockchain tech and cryptocurrencies. Unlike regular video games, where in-game stuff stays inside the game, crypto gaming brings in currencies like Bitcoin and Ethereum, plus non-fungible tokens (NFTs) that can be earned, traded, and cashed out.
This gives players true ownership and lets them interact with the game's economy in a decentralized way. With blockchain and smart contracts, transactions in crypto gaming are transparent, secure, and permanent, giving players new ways to enjoy games and gaming communities. Overall, crypto gaming changes the gaming world by providing players more ownership, transparency, security, and chances to make money within games.
How Does Crypto Gaming Work?
Here's how crypto gaming rolls:
Blockchain Technology
Crypto gaming runs on blockchain technology, a secure and decentralized system for recording transactions. This tech ensures that in-game deals are transparent, secure, and permanent.
In-Game Tokens and Cryptocurrencies
Games often have their own tokens or currencies that players can earn, trade, or buy stuff with. These tokens have real-world value and can be swapped for cash or other cryptocurrencies.
Non-Fungible Tokens (NFTs)
Lots of games use NFTs, unique digital assets representing in-game items or characters. They give players real ownership of their stuff, letting them sell or trade items on other markets.
Play-to-Earn Model
In this setup, players get rewarded with cryptocurrencies or NFTs for doing well in the game, like finishing tasks or leveling up. It's a way to earn real value while having fun.
Cryptocurrency Wallets
To dive into crypto gaming, you need a compatible software or hardware wallet to securely store and handle your in-game assets and tokens. Wallets let you move your assets around and trade them for cash.
Smart Contracts
These are digital contracts that handle game mechanics and transactions automatically. They keep things fair and clear for players, ensuring everyone plays by the rules.
Which Crypto Is for Gaming?
Here's a breakdown of the top gaming coins and tokens by market cap (at the time of writing) to help you navigate this exciting space:
Immutable (IMX)
Immutable (IMX) is a cryptocurrency with a market capitalization of $2,961,791,353. It is associated with the gaming industry and is used within the GameFi ecosystem. IMX tokens are designed to power in-game economies, transactions, and governance mechanisms in blockchain games. Players can earn, trade, and use IMX tokens within gaming platforms, giving them economic incentives and ownership of in-game assets.
FLOKI (FLOKI)
FLOKI is a cryptocurrency with a market capitalization of $1,626,031,594. FLOKI tokens are part of the GameFi sector, where blockchain games intersect with finance. These tokens are used as in-game currency and for governance purposes within gaming ecosystems. FLOKI enables players to participate in the Play-to-Earn movement, earning tokens while playing and potentially trading them for other assets like Bitcoin or fiat currency.
Gala (GALA)
Gala (GALA) is a cryptocurrency with a market capitalization of $1,299,011,231. GALA tokens are integral to the GameFi market, where blockchain games and financial elements converge. These tokens are used within gaming platforms, including in-game transactions, rewards, and governance. Players can earn GALA tokens while progressing in games, contributing to the Play-to-Earn movement and enhancing the gaming experience.
Beam (BEAM)
Beam (BEAM) is a cryptocurrency with a market capitalization of $1,175,587,136. BEAM tokens are associated with the gaming sector and are used within blockchain games for transactions, rewards, and governance functionalities. Players can earn and trade BEAM tokens within gaming ecosystems, providing them ownership of in-game assets and economic incentives as they progress in games.
MultiversX (EGLD)
MultiversX (EGLD) is a cryptocurrency with a market capitalization of $1,065,057,802. EGLD tokens are part of the GameFi market, where blockchain games incorporate financial elements. These tokens are used within gaming platforms, including in-game transactions, rewards, and governance mechanisms. Players can earn and trade EGLD tokens while playing, contributing to the economic aspects of blockchain games and the Play-to-Earn movement.
What Is the Best Crypto Game Now?
Deciding the absolute “best” crypto game is subjective and depends on your gaming preferences and earning goals.
However, here are some of the top contenders in the play-to-earn space, crypto gaming coins, each with unique strengths:
1. Axie Infinity (AXS)
This Pokemon-inspired game, Axie Infinity (AXS), exploded in popularity in 2021. You collect, breed, battle, and trade adorable creatures called Axies, NFTs with real-world value. You can earn AXS tokens through gameplay, allowing you to purchase new Axies, breed them, and potentially generate income through marketplace sales.
Pros: Established player base, strong community, familiar monster-collecting gameplay.
Cons: It requires an initial investment to purchase starter Axies, and the gameplay loop can become repetitive.
2. The Sandbox (SAND)
Calling all creative minds! The Sandbox is a metaverse platform where you can design, own, and monetize your creations within a vast virtual world. Build games, experiences, art galleries, or social spaces — endless possibilities. Use SAND, the platform's token, to purchase land parcels and in-game items and even contribute to shaping the platform's future.
Pros: Highly creative and social, allows for deep user-generated content and has the potential for long-term value creation.
Cons: The platform's full potential might not be realized yet; the concept might be overwhelming for new users.
3. Decentraland (MANA)
Another leader in the metaverse, Decentraland (MANA), offers a unique twist — digital land ownership. Use MANA, the platform's token, to buy plots of land (LAND) and develop them into anything you can dream up. These virtual plots can be transformed into games, experiences, social spaces, or even art galleries.
Pros: A strong focus on social interaction and community building within the metaverse allows for diverse user-generated content.
Cons: The value of your LAND and its development depends heavily on player activity and creativity; the learning curve for building experiences can be steep.
How Do I Get Started With Crypto Gaming?
The world of crypto gaming is exciting, but starting your adventure can seem daunting.
Here's a breakdown of the key steps to get you started:
1. Choose Your Game
The first step is to find a crypto game that appeals to you! Research different options. Consider your gaming preferences: strategy, exploration, card games, or building experiences in the metaverse. Look at popular titles like Axie Infinity, The Sandbox, Decentraland, Alien Worlds, or Gods Unchained. Each offers unique gameplay and earning mechanics.
2. Research the Game's Crypto
Once you've chosen a game, delve deeper into the cryptocurrency or token it uses. Understand its purpose within the game's economy. Can you earn it through gameplay? What can you use it for? Research the token's price history and market cap to understand its potential value.
3. Set Up a Crypto Wallet
You'll need a crypto wallet to store your in-game earnings and interact with the game's blockchain. Popular options include MetaMask, Trust Wallet, or Coinbase Wallet. Choose a reputable wallet that's compatible with the game's blockchain. Make sure you understand how to store your wallet's private key safely.
4. Acquire Cryptocurrency (Optional)
Some crypto games require an initial investment to purchase in-game assets or starter characters (like Axie Infinity). Others are free-to-play but might limit your earning potential. Based on your research and risk tolerance, decide how much you're comfortable investing.
5. Connect Your Wallet and Start Playing
Once you have a crypto wallet and (if needed) the required cryptocurrency, follow the game's instructions to connect your wallet and begin playing. This might involve creating an in-game account and linking it to your wallet.
Pros and Cons of Crypto Gaming
Pros
- Decentralization: Crypto gaming eliminates intermediaries, allowing players complete control over their in-game assets and ensuring transparent & secure transactions.
- New Revenue Streams: Players can earn cryptocurrency through gameplay and trade unique in-game items, presenting fresh opportunities for monetization.
- Non-Fungible Tokens (NFTs): NFTs grant genuine ownership of in-game assets, enabling players to trade or sell them on secondary markets.
- Enhanced Security: Blockchain technology in crypto gaming offers higher security levels than traditional gaming platforms, making it challenging for fraudsters to exploit the system.
- Global Accessibility: Crypto gaming transcends geographical boundaries, enabling players worldwide to access and engage in the gaming ecosystem.
Cons
- Volatility: Cryptocurrency values in crypto gaming can fluctuate rapidly, resulting in unpredictable changes in the value of in-game assets and player budgets.
- Complexity: Dealing with cryptocurrencies, wallets, and NFTs may overwhelm new gamers unfamiliar with these technologies.
- Lack of Regulation: The unregulated nature of the cryptocurrency market raises concerns about potential fraud and scams, necessitating careful selection of reputable crypto gaming platforms.
- Limited Adoption: Crypto gaming still lags behind traditional platforms in terms of adoption, making it challenging to find opponents or trade in-game items.
- High Barriers to Entry: Some crypto games require players to invest in NFTs or make substantial purchases upfront, creating hurdles for newcomers.
Unlocking the Future of Gaming: Concluding 101 on Crypto Gaming Coins & Assets
We've explored the different types of digital currencies used in games, from utility tokens fueling in-game economies to NFTs representing unique digital assets. You've also discovered some of the top contenders in the play-to-earn space, each offering unique gameplay experiences and earning potential. Whether you're a seasoned gamer looking for new challenges or a crypto enthusiast exploring innovative applications of blockchain technology, crypto gaming offers a unique and potentially rewarding experience. So, grab your virtual pickaxe, space suit, or card deck, and explore the exciting world of crypto gaming!
- Exclusive Crypto Airdrops
- Altcoin of the Week
- Insider Interviews
- News & Show Highlights
- Completely FREE
About Ishan Jain
Ishan Jain is a technical enthusiast with a knack for financial analytics and trading. Ishan primarily works on AI algorithms, business development, and software engineering for his ventures and side projects, and he produces Web3 content for Benzinga. Ishan has been involved in DeFi in a variety of ways, including heading a project at a crypto asset investment firm along with leading a blockchain security research project.