Long gone are the days when gaming was considered just a pleasurable pastime. Today, it has become a multi-billion dollar industry with a global business of almost $300 billion, driven by a large number of gamers looking for social interaction.
The rise of blockchain has brought about a noticeable change in the paradigm of the gaming industry. Instead of distributors and developers being the only ones to enjoy all the monetary benefits, gamers can now earn an income from non-fungible tokens or cryptocurrencies.
Now many major game distributors like Ubisoft have also joined this trend. They have announced that they will launch NFTs in their next Ghost Recon game.
However, before starting to play these games, it is essential to understand how you can earn a sizeable return for your gaming hours. It is also recommended to keep yourself updated with all the latest play-to-earn news as this will keep you in the loop of exactly what’s happening.
What Are Play-To-Earn Games?
It is possible to further your progress in video games, particularly MMO or Massive Multiplayer Online games, by collecting digital items like wearables, weapons, or property. You can typically earn them as rewards for completing challenges and quests or acquire them from loot boxes purchased with real currency.
In regular video games, players can customize their characters with better equipment and new outfits made from various skins or bought with in-game currency; however, these items cannot be bought by other players for cash.
But play-to-earn games, also commonly known as P2E games, are different from these. Designed with blockchain technology, the in-game items, and rewards in play-to-earn games are unique and transferable. They can range from collecting NFTs to earning native digital currencies or earnings from staking.
Coins can be deposited in crypto wallets, where they can be converted into fiat currency, such as US dollars. NFTs, on the other hand, can be sold to other players using secondary marketplaces and in-house trading platforms.
For instance, Axie Infinity, one of the most popular play-to-earn games, allows gamers to battle, breed, and buy virtual creatures minted using the Ethereum blockchain. Each Axie represents an NFT that can be bought and sold by players using cryptocurrency.
How To Earn Money From Play-To-Earn Games
You can earn money from P2E games by selling the NFTs you have earned while playing on an NFT marketplace. Some games like the Axie Infinity make it compulsory for gamers to buy NFTs from an NFT marketplace to play the game.
Your earnings from play-to-earn games greatly depend on your gaming skill. However, you should be very, very cautious while making money through NFTs as cryptocurrencies can be extremely volatile. Crypto traders are vulnerable to scams, and many have also lost millions of dollars due to market crashes.
Which Play-To-Earn Game Is Right For You?
Now that you have understood the mechanics of P2E games, you can start looking for a game that works best for you. However, with so many options available, it can become quite a difficult task to find the one that is right for you.
The key to this lies in the fine print. Before starting playing, you need to realize what you want to learn from your experience, understand how you can change in-game coins to other cryptos, and how rewards are paid out.
Do You Want To Play For NFTs or Coins or Both
P2E game rewards are available to gamers in various forms. In most games, a combination of in-game cryptocurrency and NFTs are given to players, which can be sold and traded to external traders and other players.
In some rare cases, gamers are offered popular currencies for their play. For example, in Coin Hunt World, gamers need to find keys in their neighborhoods to unlock quizzes. If you answer correctly, you will be rewarded with bitcoin or ether.
Before you start playing P2E games, it is crucial to understand how you can earn gameplay rewards and the time required to earn them. Some play-to-earn games require bigger investments to get rewarded, whereas, in some games, you just need to complete simple tasks to earn NFTs.
How To Cash Out Your Coins
Although several P2E games are built on popular blockchains, such as Polygon and Ethereum, it can be a long and difficult process to change them into another coin. In-game coin values are subject to frequent fluctuations, while NFTs can take a long time to sell.
It is essential to do proper research to understand how you can use your NFTs for real-world earnings before you invest your time in a play-to-earn game. This will help you decide if the game is right for you.
How Much Do I Need To Spend To Get Started?
Similar to regular video games, you need to purchase a starter pack using cryptocurrency before you can start playing P2E games. The entry cost to these games varies depending on the game you decide to start playing.
For instance, you will have to buy at least three Axis before you can start playing the highly popular Axie Infinity. You can sell common Axis on the Axie Infinity Marketplace for as high as $70, whereas the rarer Axis can sell for hundreds of dollars.
There are other games where you do not have to make a purchase to start playing but will need to spend some cash to enjoy premium features.
Although it can be quite profitable to play P2E games, they often need an investment of time and money to become proficient. With proper planning and due diligence, it is possible to have fun while earning cryptocurrency rewards for your time.
However, if you have recently been introduced to the phenomenon of cryptocurrency and are just testing the waters, then it is better to begin with, a small investment. This will help minimize the risk of losing a large sum of money. Because, as you know, with cryptocurrency, it is hard to say if and when you will earn your money back!