With the advent of play-to-earn (P2E) games, practically anything you earn in the digital realm can be exchanged for real currency. People have even begun playing titles as a means of making a full-time income in our coronavirus-ravaged world.
P2E might sound like somETHing new, but it’s been around a lot longer than you might think. Let’s dive more into P2E meaning and some examples that constitute this sector in the world of cryptocurrencies.
P2E Meaning
P2E, or “play-to-earn,” is an up-and-coming hot topic in the crypto world. As the name suggests, play-to-earn is a sector in the gaming industry where players are making money by playing the game. While most of us are happy to play a game like Call of Duty or League of Legends for fun, these games bring playing to a whole new level.
Generally, P2E games reward players with tokens or NFTs that can be used in the game or sold for real-world currency. Essentially, P2E doesn’t work that much differently from “illegal marketplaces” for in-game items. Many of us gamers will have bought black market FIFA coins, or CS:GO skins, in our gaming lifetime. The only difference here is that while EA and Valve actively police the trading of in-game items, it is totally accepted in P2E games.
As long as the game is popular (and therefore in demand), people will continue to make money just by playing the games.
How P2E Games Work
Play to Earn games vary somewhat in their delivery but the principle remains the same – these games ‘pay’ users to play. Payment tends to be in the form of cryptocurrency or NFTs. By playing regularly, users can build up a collection of digital assets which in some cases, can be sold outside of the game itself.
What is so revolutionary about the P2E model is that for the first time, we’re seeing crypto ownership opened up to a much wider pool of individuals. Blockchain technology helps ensure the collectability of these items as well as creating fully functional digital economies.
To cash out your assets, you will need to deposit your crypto coins or NFTs on an exchange or marketplace. Most won’t permit you to convert into fiat currency straightaway so selling tokens for a stablecoin is a good idea. You can then convert your stablecoin into the fiat currency of your choice.
Examples Of P2E Games
To help point you in the right direction, we’ve listed some fairly popular Play to Earn blockchain games in 2022:
Axie Infinity
Hosted on the ETHereum blockchain, this is one of the most popular P2E games around. The game combines traditional video gameplay with the new blockchain model. Players can make money by selling Smooth Love Potions (SLPs), staking and by breeding rare Axies.
An Axie is an NFT minted on the ETHereum blockchain (which is why they cost money and why you can sell them for a profit). Any in-game asset you hold can be traded outside the game’s platforms. Players also have the option to sell their Axies, should they want to stop playing.
Players should note that in order to play Axie Infinity, they’ll first need to purchase three Axies. Axies don’t come cheap. In fact, you may need to part with over a couple hundred dollars or more.
Zed Run
Zed Run is a virtual horse racing game where players can own, breed and race horses. The game utilizes the Matic Polygon network alongside the ETHereum blockchain. The platform hosts over 100,000 users and offers several ways to earn money. Players can either breed, race and flip (buy a horse at a low price and resell at a higher price).
Whilst racing can be rewarding, it is competitive. Players should also note that the game is quite complicated, so it might not be the best choice for beginners.
CryptoBlades
CryptoBlades is a web-based, role-play game that operates on the Binance Smart Chain. Players fight monsters, create weapons and trade assets on the open market in order to collect SKILL tokens. These tokens can be used to upgrade characters. The game’s script also includes an NFT marketplace.
The Sandbox
The Sandbox is an ETHereum-based metaverse where players can play, build and own their virtual experiences. It is a community-driven gaming ecosystem. Players will need to download The Sandox’s free software, VoxEdit and the Game Maker and Marketplace to create assets and experiences to share with others. The platform aims to disrupt the likes of Minecraft and Roblox by providing creators with NFTs and rewarding them for their participation.
Whilst these are some of the more well-known ones, there is a wide range of Play to Earn games. Other popular titles include:
- Pegaxy
- Chumbi Valley
- Crabada
- Alien Worlds
- Gods Unchained
- Plant Vs. Undead
- Thetan Arena
Pros And Cons Of P2E Games
Pros
It’s not hard to see why Play to Earn games have amassed such a large following, they’ve got a lot to offer, including:
- Straightforward enjoyment
- Opportunity to earn cryptos and real cash
- Available on-the-go via iOS and Android mobile apps
- Rewards for all players, not just those at the top of the pyramid
- They offer an accessible route into expensive cryptocurrencies such as Bitcoin
- Also available on Xbox and PlayStation, including PS5
Cons
- Whilst it may seem like a win-win, there are some drawbacks to consider:
- Expensive – some games can require you to make costly purchases in order to start playing or to advance within a game
- Time-consuming – some options require you to invest a good chunk of time to generate meaningful returns
- No free money – all games require an often daily investment of some kind whETHer that be upfront capital or your time on an ongoing basis
Closing Thoughts
Play-to-earn is still in its infancy, and yet many experts consider P2E to be the “future of gaming,” and for good reason. If the model takes off, it could revolutionize the way gaming works forever. Instead of paying to play a game, you will get paid for it.
Time will have to tell if the model takes off, with plenty of questions on the long-term viability of the business model, and whETHer or not pay-to-earn will erode the fun of gaming over time are left unanswered.
In any case, now that you’ve learnt P2E meaning, would you be trying out any? If so, let us know what P2E game you are looking to play!
