Playing games to earn income have become pretty popular in recent years. They allow users to collect or farm cryptocurrencies and NFTs. These accumulated digital assets can be sold for fiat or other digital coins on a crypto exchange. You earn these digital assets by literally playing games on game websites or consoles. The more you play, the more you earn.
How Play To Earn Games Work
Gamers can generate passive income in cryptocurrencies by playing games. Each game that allows players to earn is made by a different company, and has a different mechanism by which it operates. However, most rewards on crypto games come from farming or staking a game’s native token, generating tradable NFT items, or staking cryptocurrencies. Crypto games where players earn are categorized as GameFi applications due to their mix of gaming and finance.
Gamers relied primarily on luck or their chances to earn in the older blockchain games. However, new games have created business models that allow players to work for their earnings.
Gamers can earn income through:
- In-game crypto tokens
An example of cryptocurrency earned through this method includes Axie Infinity’s SLP tokens. SLP is collected by battling other players and completing daily quests.
2. Earning or trading NFTs
Another way of earning income by playing games is by earning NFTs and selling them. Each NFT represents an item, character or other collectibles in the game. These NFTs can fulfill an in-game purpose or can be cosmetic, depending on the game.
3. Staking
Staking is a third option to earn while playing games. Gamers can lock up their cryptocurrencies or NFTs for a period through smart contracts. This then generates rewards for the gamers. For example, gamers can stake their MBOX tokens and get rewarded NFTs through MOMO Mystery Boxes.
Axie Infinity is one of the best games in the market that allows players to earn income. It is built on the Ethereum blockchain. Axie Infinity has combined gameplay with traditional video games with the old blockchain game model. It features PvP battles, an adventure mode, and tournaments. The game is compatible with several devices, including Android, Windows, iOS, and Mac OS.
How Much Do People Make From Playing Crypto Games?
The farming method to earn on Crypto games is pretty popular in the Philippines. Many now see it as a more steady alternative to getting real jobs. Most active players can earn $200 on a minimum to $1,000 monthly by farming SLP. The amount made depends on the playtime and the token price on the market.
How To Pick The Right Play-to-earn Crypto Game
There are hundreds of play-to-earn games to pick from. However, understanding how play-to-earn games work is the first step to choosing a suitable game. Once you understand how these games work, the next step is to find the games that work best for you. Before selecting a game, you need to know how the reward system works. You also need to know how to convert in-game coins to fiat or other cryptocurrencies. Finally, it would be best to decide what you truly want to gain from your experience.
How Easy Is It To Cash Out Your Coins?
Play-to-earn games are built on block chains, and the rewards earned are mostly paid in the native tokens of these blockchains. The most popular blockchains where most play-to-earn games are built on are Ethereum and Polygon blockchains. When you earn rewards in the native tokens of these blockchains, the next step is to convert them to other preferable tokens or fiat.
Converting your rewards to another coin may sometimes be challenging, depending on the gaming platform. The most difficult rewards to convert or sell are NFT rewards, as they may take time to sell. While trying to sell these in-game coins and NFTs, their values may fluctuate or drop drastically. Therefore, before investing in any game, ensure you research to understand how to convert your rewards for real-world utility.
How To Start Playing Crypto Games To Earn Income
Different Crypto games have unique requirements for their users. The primary requirement will be a wallet. Other conditions may follow depending on the gamer mechanism and the game developers. You can use cryptocurrency wallets like Binance Wallet, Trustwallet, or MetaMask. The purpose of having a wallet is to keep your earnings safe.
Interestingly, entering a digital crypto-economy mostly comes with a price. Therefore, some games may require that players to invest some amount before they can start playing the game. They will use these funds to set up a team or pay for in-game services.
For example, Axie Infinity asks users to make an initial investment of almost $600. They will use this to buy three Axies. Interestingly, users can earn their initial investment by some weeks or months of playing the game. However, this acts as a barrier for many gamers, as they can’t spend that much money. Entering a digital crypto-economy usually isn’t free.
Another way of playing games and earning is to search for scholarships. This allows gamers to borrow NFTs or Axies from other players to access the Axies Infinity game. The loan comes with no interest; however, the game would have to share the income generated with the player that provided the loan. Once you have the funds to process the game, you can then create a team and complete some daily challenges or tasks.
Conclusion
There are several ways to earn cryptocurrencies, and this includes playing games. However, they are a new development in the free crypto earning market. These games remain one of the most fun ways of earning cryptocurrencies. But like most new projects, you have to be early in this space to earn with this method. You also have to understand how playing games to earn income work. Finally, it would be best if you were an excellent gamer. This guarantees that you win duals to earn crypto.
As fun as playing games to earn income is, it is also risky; therefore, you should be careful. Apart from the many games being unsustainable due to bad tokenomics and high risk, they can also expose you to scammers. Many of these scammers create games then rip players off their investment. Therefore, before investing in any play to earn a game, ensure you do proper research on the game, history, and developers.