A beginner’s guide to starting out in GameFi

  (photo credit: INGIMAGE)
(photo credit: INGIMAGE)

We all love games. Whether It's something as simple as tic-tac-toe or the advanced games we have on our PlayStation consoles, we all love the thrill of competing and winning something. For many people, that feeling comes almost hard-wired into our DNAs.

But, what if you could actually play games and earn money? What if you could take that passion for something and turn it into a paycheck for you? This is what GameFi is all about, and it is already shaping the way we interact with games in 2022.

GameFi is one of the biggest and hottest trends in the crypto market right now. And, if you’re a beginner looking to get into this field, this might be the best time - barriers to entry aren't so high, and the market downturn presents an opportunity for you to learn and become a pro. So, when things eventually flip bullish, you’re ready to rake in the gains.

The Play-To-Earn Model

At the heart of every GameFi project is the play-to-earn model. Through this model, players aren’t just incentivized to play - they’re spurred to invest in skill and time as they play these games. With new gaming environments, players are encouraged to really own the digital assets that they buy or procure in games. It doesn’t necessarily allow for compromising in the environment, but the play-to-earn model ensures that players get additional opportunities to earn money.   

To understand play-to-earn, think of the popular Farmville game. In this ecosystem, a player owns the land, tills it, grows crops, and sells them in the market to get coins. The players can use these coins to invest more in the farm, extend the pace, build a house, and buy more livestock. But, at the end of the day, the real players don’t actually get anything - save for the joy of turning a small parcel of land into an empire.

If you stop playing Farmville, then you lose everything you worked for. Play-to-earn looks to change this by converting many of these assets into real-world assets that can be traded and used.

So, a play-to-earn game that looks to replicate Farmville can use these land parcels and coins as actual cryptocurrencies - or perhaps even on-fungible tokens (NFTs). You will be able to take what you’ve earned and sell or trade it, thus levelling up in the game and actually earning real money in return.

GameFi: An Introduction

The word “GameFi” was derived from a combination of “gaming” and “decentralized finance.’ It describes the idea of building decentralized applications (dApps) that focus on gaming and offering a system where players will be able to actually earn money.

In a GameFi ecosystem, all assets created and owned are stored on a blockchain - where they can’t be hacked or stolen. Players also own sole rights to the assets they’ve bought, ensuring that they have the ultimate decision-making power over what happens to these assets.

GameFi also revolves around tokens. Most of these platforms tend to launch their own coins, which can be used to purchase assets and other in-game items. As you play the games and level up, you can win these coins as well and trade them - whether in the game or in some secondary market.

The evolution of GameFi has been nothing short of impressive over the past few years. We’ve seen platforms like Axie Infinity and Decntraland take this to another level, showing both game developers and players that there really is an ecosystem of players who would like to win money and turn their passions into paychecks.

Starting Out In GameFi

One of the best ways to get started with a GameFi platform is to learn how it works and understand the barriers to entry. There are guides that can help you out, and some plates even host beginner sessions online where you can see for yourself how the platforms work.

Another way to learn is to go through an incubator. One of the most popular is Meta DAO Guild - a training program that allows players to get onboarded much quicker with GameFi. Meta DAO Guild offers both training and funding to prospective players, allowing them to bypass the barriers to entry that they have to face when integrating themselves into GameFi platforms. This way, you get to skip many of the mundane steps and just begin earning.

The Meta DAO Guild whitelist is expected on the 10th of April, while its public sale happens on April 17th. Both events are sure to change the way we think about a lot of blockchain games, and Meta DAO Guild is on a mission to truly democratize how these games are played.

How Gamers Benefit From Play-To-Earn

The play-to-earn model is proving to be a game-changer for most gamers. With play-to-earn, gamers can take control of their actual assets and have practical ownership. You can use the assets you own, trade them for money, or upgrade them, so you have a better chance of winning and earning more.

Users can also be rewarded with these platforms’ tokens, which themselves can gain value. Axie Infinity’s AXS token became a massive hit after the platform blew up in 2021. Today, players can earn these tokens for free and still keep them as proper investments.

Furthermore, you can sell or trade the digital assets youtube in the game as well. So, from things like land to weapons in the game to skins and more, all of these are entirely tradable, giving you the opportunity to earn more.

The entire point of GameFi is to improve earning opportunities for investors. Right now, this field looks very attractive for newbies.

This article was written in cooperation with Tanveer