What is GameFi?

For the first time, the term Gamefi was mentioned by the founder of the Defi project of YEARN FINANCE Andre Kronya in 2020, but the support of cryptocurrencies was added to gaming projects long before that. Back in 2014, some online casino took deposits in Bitcoin.

The developers experimented, integrating bitcoin with minecraft servers, a computer game in the sandbox genre. On the MinecraftCC server, players received a reward in https://gagarin.news/news/former-ethereum-developer-sentenced-for-attending-north-korean-blockchain-conference/ the first cryptocurrency for any action: placing blocks, killing monsters, construction and much more. In 2016, the program became unstable and the support of bitcoin was removed, but the server is still active.

The Cryptokitties app, launched in 2017, was one of the first popular online games on Ethereum. In Cryptokitties, everyone could buy, grow and exchange digital kittens in the form of ERC-721 standard tokens.

The application aroused great interest among users: less than a week after the launch of cryptocotes, more than 11% of all transactions in the network had to. The game more than once caused the overload of the Ethereum blockchain.

Since the beginning of 2020, the GameFi sector began to actively develop. A large number of games using tokenized intra -game objects have appeared. This was facilitated by the growth of the popularity of Defi and NFT.

What distinguishes GameFi from classic video games?

The classical model “Pay to Play” (Pay to play) obliges the user to pay for subscription or licensed access, as well as for attributes that optimize the gameplay.

This category of video games operates on centralized servers of gaming companies. Therefore, intra -game purchases and environment cannot fully belong to the user.

For example, the user buys new armor or weapons that improve the performance of the game character. As a rule, objects are limited by a specific game platform or virtual environment. The player uses them only where they were purchased.

Gamefi changes the traditional game industry. Projects combine pleasant with useful – gameplay and monetization, and blockchain gives this model decentralization and transparency.

The concept involves the preservation of ownership of digital items in the form of NFT. Data on the owner of game artifacts are fixed in the blockchain. Information cannot be replaced or deleted.

In addition, users receive remuneration for the game in project tokens. The player can sell tokenized awards, as well as exchange them for another cryptocurrency or fiat money on trading floors.

Gamefi provides a wide selection of genres: from a classic lottery to complex multi -user multi -senior. The company developers of the blockchain-game Gala Games seeks to create a holistic ecosystem with a single economy for different game genres in the future.

Which blockchain is used to create GameFi projects?

The first Gamefi created on bitcoin and Ethereum, but at the moment they mainly use cheaper and fastest solutions.

For example, Axie Infinity was originally released on the basis of Ethereum, however, a full -fledged ecosystem was eventually deployed in Ronin Sidchan.

There are other specialized blockchain platforms adapted for GameFi, for example, Flow from creators of Cryptokitties. Many games are released on Tron, BNB Chain, Wax and Polygon blocks.

What categories are GameFi projects divided into?

Free2Play (from English. Play for free) – projects that do not require primary investments – you can start playing immediately.

For example, GODS Unchained – Collective card game on the blockchain. It largely resembles Hearthstone, but allows players to freely sell and exchange NFT cards, as well as receive success awards in the game.

Play2Earn (from English. Play to earn)-this category includes all blockchain projects that enable users to monetize game experience.

Move2Earn (from English. Move to make money) – projects that reward users for physical activity, and not for the gameplay.

The well-known representative of the segment is a fitness application for the STEPN mobile device. The application tracks the movements of players using GPS, and the user receives a project tokens for a walk or running. To participate, you must have a couple of digital sneakers in the form of NFT.

Metavselnaya – the virtual world in the form of a three -dimensional game “sandbox”, where users own not only digital objects, but also land plots represented in the form of incorrect tokens.

For example, in The Sandbox and Decentralan any player can buy digital real estate, develop it and receive income, and in the multi -user my neighbor alice you can buy a whole farm.

Separate attention is deserved by companies that provide tools for the development and distribution of gamified projects on the blockchain.

For example, Enjin provides projects with tools for developers, introduces blockchain technologies and virtual economies into existing video games, and also helps to release intra-game cross-nFT cross.

What is the essence of the P2E model?

Special attention should be paid to the Play2Earn models (from English. Play to earn).

The main advantage of the P2E model is remuneration in the game tokens of the project, as well as the ownership of digital assets and characters.

As a rule, players receive awards for performing intra -game tasks: interaction with other players, participation in tests and competitions, level promotion and other actions. However, most Play2Earn projects require initial investments.

For example, in the Axie Infinity ecosystem before starting the game, you need to purchase or rent a team of Axie characters. Players use NFT socialists to earn Sweet Love Potion (SLP) tokens. They can be exchanged for another cryptocurrency or fiat.

What does Defi have to go to GameFi?

Projects integrate into the game ecosystem of Defi mechanics, namely profitable farming, staying and mining liquidity.

For example, in the Metavlian The Sandbox players are available to SAND token steaking. The user makes a profit in accordance with the volume of blocked funds, as well as valuable GEM and Catalyst game resources.

Thanks to Defi elements, games become even more decentralized. Some GameFi provide an opportunity for the community to influence the future of the project through decentralized autonomous organizations (DAO) and smart contracts. The number of tokens in holders affects the right.