What’s GameFi?
GameFi (GAFI), also known as a play-to-earn (P2E) game, is a combination of “game” (decentralized finance) and “game”. It describes a game that uses blockchain technology to allow players to purchase virtual items. Blockchain technology allows players to trade, chance, and sell virtual goods, making them real money. Virtual items can be traded with other markets and games because they are stored on the blockchain. It is possible to transfer goods even if a GameFi-owned game closes down.
History and Origins of GameFi (GAFI)
GameFi was created by Amazon Game Studios in 2013. It is part of their efforts to develop new digital entertainment products. GameFi released several experiments created by Amazon Game Studios in 2014, including Tales from Deep Space and Cat Fling. Crossy Road was also designed by GameFi, and it became one of the most popular iOS apps in 2014.
GameFi was an internal service that powered apps and games from Amazon Game Studios, as well as those from other companies. GameFi became an internal service in 2015. GameClosure was GameFi’s first customer outside of the United States. GameHouse Social uses GameFi to power its popular social gaming platform, GameHouse Social. GameClosure CEO Lior Tal says that GameFi performs “better than any other out there.”
Amazon announced in early 2016 a partnership with First Access Entertainment. This partnership leverages GameFi’s data to break new artists. GameFi allows the music label to determine which songs should go through its program. This is based on the artist’s success in other apps or games.
Amazon began selling GameFi to developers through its Amazon Web Services Marketplace in late 2017. GameFi can be purchased as a GPU instance. It supports several programming languages including Python, C#, and Java. GameFi provides access to aggregate functionality (tracking users across different games) and per-game behavior.
How GameFi Works
GameFi is a Play to Earn program. Players can earn coins by playing and redeeming them for in-game merchandise, XP boosts, and real-life merchandise. Earn just by playing the games that you love.
It is a good idea to start a Play to Earn program. Native tokens are a great way to attract and keep users in your ecosystem.
DeFi features allow GameCoins to be used more easily as a currency, in addition to Native Tokens. New transactions can be made on Ethereum using features such as Pay with Gas and a Native Token Gateway. DeFi is not just Native Tokens. However, Native Tokens are a good starting point for learning more about DeFi.
Imagine if your gaming income was paid for by the actions you take in-game. Non-fungible tokens, or NFTs, are real-life assets and items that can be represented on the blockchain. Because you can earn them through gaming, and then redeem them for in-game items or XP boosts and other benefits, non-fungible tokens work a lot like your GameFi coins.
What You need to play
To participate in these play-to earn games, users must do the following:
You can create a cryptocurrency wallet to store virtual currency and NFTs and perform in-game transactions. The game’s blockchain will determine which wallet you will need. MetaMask, an Ethereum-based crypto wallet service, will work with any GameFi-based Ethereum game.
Buy starter items: All GameFi Games are available for free download. Many require that players first purchase characters, native crypto tokens or decks of cards, as well as upgrades, to get started.
Pre-funded crypto wallet, for example, Cryptoblades requires that users download MetaMask and purchase Binance coin (BNB). Then, they can exchange it for the native cryptocurrency of the game, SKILL.
What’s next?
GameFi already has significant traction. The collective market capitalization for top games exceeds $14 billion. However, key opinion leaders within the crypto industry believe that there is more to come. Tron founder Justin Sun stated recently that he believes this sector will be crucial in increasing cryptocurrency adoption.
”GameFi is going to be the next big thing that makes the DeFi, NFT, and the larger crypto space easy to understand and be involved in.”
Gaming companies and startups are already racing to capitalize on this explosive trend. There is a long list to be launched over the next few months, including:
Star Atlas
Ember Sword
Guild of Guardians
Legends of Crypto
The Sandbox
Dr. Who: World’s Apart
MOBOX is an example of a gaming platform that allows users to create interoperable games with NFTs. It integrates DeFi elements such as liquidity pools and stakes where gamers can earn an income from assets that can be used for upgrades or to unlock chests containing NFTs.
There is no sign that the GameFi universe will slow down anytime soon. The sector has endless potential, thanks to new investments and GameFi-specific funds.
