How does the NFT games industry work?
NFT games have become more popular as new blockchain applications and NFT marketplaces have emerged this year. Digital currencies that are exclusive to new NFT games are climbing the rankings of the top cryptocurrencies as traders look for new methods to make money. On November 3, game developer Electronic Arts (EA) said during its Q2 2022 earnings conference call that collected NFTs will be “an major component of the future of our company” despite the fact that the “play to earn or the NFT discussion is still very, very early.”
Why do NFT games have such a cult following and what precisely are they? Which non-fungible token (nft game) are the most played?
We’ve compiled a comprehensive list of everything you need to know if you’re looking for information about the significance of NFT games. Learn more about do NFT games inspire capitalism?
What precisely are NFT games?
One industry where NFTs are being touted as potentially driving progress is gaming. They let content producers to monetize their work, and gamers who engage with it may earn money.
NFTs use blockchain ledgers to validate unique digital goods. This is essential to how NFT games work.
In video games, NFTs are used to create the characters, avatars, and items that players may own and trade with other players. The use and scarcity of an item influence its value. The devs have defined how NFTs operate in the game using smart contracts. A blockchain is where contracts are stored. Similar to how real products are swapped, items may also be traded. Every transaction is tracked on the blockchain.
One of the first games to use NFT characters was CryptoKitties, which made its debut on the Ethereum network in 2017. In CryptoKitties, users collect, breed, and market virtual cats. Every cat is a unique NFT. Their trading market value is determined by their attributes and uniqueness, which are described via smart contracts.
NFTs are only available on secondary markets after being issued in a limited quantity by games like CryptoKitties. Players may create their own NFT games items to use in other games.
Some NFT-earning games include a metaverse design, allowing players to get rewards for participating and honing their skills. In exchange for their efforts, players get cryptocurrency tokens that can be used to buy NFTs.
Players may rent out their in-game possessions to other players, sell them on secondary markets, or leave the platform altogether to gain money. Tokens from games like Axie Infinity have increased in value on cryptocurrency exchanges as a result of lesser-known cryptocurrencies attracting the interest of investors looking for large profits.
One of the things influencing the success of NFT play-to-earn games is the possibility of making money. Players may swap their tokens for fiat money on exchanges. This might be a source of revenue for people in underdeveloped countries that make money playing NFT games.
What NFT titles are the most well-liked ones?
From the Ethereum blockchain, NFT games have spread to other chains, with some even running on several chains. The most well-liked NFT apps have quickly gone to the top of the list, including many games.
These are the top five NFT games by user count as of November 23, 2021, according to data from DappRadar.
Splinterlands
A card-based strategy game called Splinterlands was created in 2018 and runs on the Hive blockchain. It is the most played NFT game with approximately 300,000 users.
In Splinterland, players collect cards that depict a variety of creatures with various attributes and talents, which they then use to battle other players. Among the online stores that accept the cards are Open Sea, PeakMonsters, and Monster Market.
The SPS governance token for the game was made available in July and will be distributed over a 65-month period. Splinterlands obtained a second round of private equity financing in July.
Alien Worlds
Players in the metaverse Alien Worlds use the Trilium token to participate in missions, cast ballots in elections, and vie for positions on planetary council. The publication date was December 2020. The game uses the WAX, BSC, and Ethereum blockchains.
In October, a new Alien Worlds Missions game was introduced on the BSC blockchain. Missions offer NFTs, and players compete for a share of a prize pool of Trilium tokens. The game’s functionality depends on the NFTs. On the basis of data from missions or NFT game cards, community game developers may also create games. There were eight different NFT game cards available at launch.
A science fiction video game called CryptoMines was launched in September 2021. It has risen to the top game on the BSC blockchain.
In order to travel across space in search of ETERNAL, a mineral that allows players to extend the lives of their characters, mint spacecraft, and make money from the game, players assemble workers and spaceships.
ERC-721 NFTs, which may be exchanged on exchanges or utilized in peer-to-peer transactions with other participants, are what the workers and spaceships are made of.
To earn more tokens and increase the value of one’s holdings, ETERNAL tokens may be staked in liquidity pools.
Axie Infinity
Axie Infinity is one of the most played NFT video games. The native AXS coin is the 25th largest cryptocurrency by market capitalization as of November 23, 2021, with a little under $8 billion.
Users may purchase, raise, and engage in battle with NFT monsters known as Axies in the comparable metaverse known as Axie Infinity.
In contrast to a free NFT game, Axie Infinity requires new players to spend ether to buy at least three Axies from the market. Gamers have created an unofficial “scholarship” system wherein “managers” rent out their Axies to “scholars,” who then use them to play and split any earnings, since the price of Axies has increased.
Players may acquire smooth love potion (SLP) tokens, which can then be exchanged. Axies are created using the metaverse’s governance token, AXS.
On the WAX blockchain, Farmers World, an agricultural simulation game, was launched in June 2021. In order to build farms and harvest crops, players may choose equipment and buy land.
Players may mint NFT items and mine the game’s native tokens via their agricultural endeavors. To protect their farms from wild animals, farmers may spend their GOLD tokens to create their own NFTs. In August, the game added membership cards, giving players more opportunities to collect rewards.
New players have the option of purchasing tools on AtomicHub or creating their own using the game’s crafting system. The three main resources are Farmers World Wood (FWW), Farmers World Food (FWF), and Farmers World Gold (FWG), each of which has a unique token (FWG). Tokens may be bought and sold by participants on decentralized exchanges.
This information is not meant to serve as investing or financial advice. Before investing in any cryptocurrency, NFT, or other financial product, always do your own research. Also, bear in mind that your decision should be based on your risk appetite, market understanding, portfolio spread, and how comfortable you are with losing money. Never risk more money than you can afford to lose on anything. Additionally, keep in mind that past performance does not guarantee future performance.
