"Choose a job you love and you'll never work another day in life.", they said.Â
Only if it were true. But...
Hold on. What if it were true? What if it exists?Â
Hahaa! At least for some of us who love playing games online: it’s coming true: we can now earn money by playing video games! And from medical school students to Wall Street hotshots, many are quitting their jobs to do just that.Â
We know what you're thinking:
And somewhere deep down, you also have trust issues. So here’s a breakdown of the new-age gaming for you!
Play-to-Earn Games
Today, words like crypto, blockchain, and NFTs have become a part of our vocabulary (Here are our explainers on all things crypto). And these are the very elements involved in "play-to-earn" games.
Most play-to-earn games are built on a blockchain, which is an online record-keeping system. These games allow you to create your own NFTs or non-fungible tokens (unique digital artwork) or win NFTs and tokens. These can then either be sold on a crypto exchange or to the highest bidder.Â
Confused? Let's take a look at how Axie Infinity, one of the most popular play-to-earn games works.
Created in 2018, Axie Infinity works sort of like Pokémon games. Each player owns different Axies or creatures that compete with one another. What do they get if they win?
Smooth Love Potions and Axie Infinity Shards. Don’t go by the name. These tokens can be exchanged on a crypto exchange and fetch you real cash. Each Axie is also an NFT, which can be sold and purchased using Ethereum.Â
Sounds great. But, there's a catch. Like you need to invest your own capital before you start a business, the same way you need to buy at least three Axies before you can start playing. And one Axie costs around $300!Â
Not everyone has this kind of money to throw around. And here's where capitalism enters into the picture.
Enter Capitalism From Left of the Stage
Some rich people saw this as a great opportunity to earn more money. They began to buy Axies and give them to other players who couldn't afford them. Now, whenever these players win a game they have to split their winnings with the owners of the Axies. This system has allowed more people to enter the lucrative world of GameFi (game finance). In March 2020, there were 51,000 active players playing Axie Infinity. This number increased by 599% in three months and the game's trading volume is currently over $2.5 billion!
Wow!Â
Wondering how much money you can actually earn by playing these games? Well, the exact number will depend on your mad gaming skills. But just for an estimate: the price of Axie's in-game tokens Axie Infinity Shards has increased from $3.22 in June to $136 currently.Â
The price of NFTs of Crypto Raiders, another play-to-earn game, has increased from $45 to $680 in just three months!
It’s like a virtuous cycle. More popularity, higher prices, more investors getting interested, more popularity and so on.Â
But game economics like real-world economics has to be balanced carefully. Too many players or too few NFTs can cause chaos in this delicate ecosystem causing prices to swing violently.
What did you expect? Crypto in the current age and time, will always bring with it an element of volatility and uncertainty. You never know when a crypto will tank or even be wiped out of existence. So, quitting your job to become a full-time player? Do it at your own risk!
The Metaverse Play
Whether you decide to play these games or not, they highlight how future metaverses, which Zuckerberg is pioneering, will play out. Many of these games like The Sandbox, which allows you to create your own universe within the game, are metaverses in their own right. They are virtual spaces where you can not only play but also trade and earn or just chill out in general. These games show what a crucial part NFTs and crypto will play in the future when the internet evolves into a giant collection of metaverses.Â
Many of us have so far been confused about how useful or relevant NFTs are and whether we should buy them. But with the arrival of the metaverse, this changes.Â
Imagine a future where you're spending most of your time socializing or gaming in a virtual space. In such a scenario your only real assets are the digital ones. Ironical, eh? These digital assets or NFTs will not only allow you to create a distinct virtual identity but will also allow you to earn money. And the best part is that the more desirable these NFTs are, the more their value will increase in the future. It's basically like owning a rare Picasso painting or a signed copy of the first edition of Harry Potter.Â
All in all, play-to-earn games are not only changing the lives of many, they are also underscoring the fact that virtual assets and virtual currencies are only going to become more mainstream.
Planning to play to earn?
Share this with your friends on WhatsApp and Twitter and help us grow :)
If you are coming here for the very first time: Don’t forget to join us on WhatsApp to get daily updates! 👇