I want to preface this article by saying that cryptocurrencies aren’t necessarily the simplest of ways to earn some cash in gaming. For the traditionalist; someone who’s comfortable with what he already knows, Esports betting with cash or cosmetic items (like CSGO skins) is the preference. Nonetheless, there are those who want a challenge; they want to experience something new and exciting – exactly what gaming cryptocurrencies represent today.
Cryptocurrencies have been around for quite a while now. Bitcoin made its debut 10 years ago and ‘experts’ scoffed at it, disregarded it as farce, and gave up on the idea altogether. Still, Bitcoin grew even with these opinions trying to hold it back. Today, we know of 50 or more valid cryptocurrencies, ten of which are the most popular (Bitcoin, UnikoinGold, Ethereum, etc.). Specific gaming cryptocurrencies haven’t appeared until recently, mainly due to being highly unique.
You won’t find a cryptocurrency enthusiast that wishes to spend his resources on gaming cryptocurrencies, when they don’t hold the same value in the market as regular ones. Who knows, maybe in the future they’ll be just as valuable, but right now, gaming crypto’s have their own niche. And in today’s article, that’s what we’re focusing on!
What are Gaming Cryptocurrencies?
Gaming cryptocurrencies are cryptocurrencies that are primarily (and oftentimes always) used in some games. The player can earn gaming crypto’s through playing, and also use what he earned to purchase items, enhance their heroes, etc. In the future, gaming crypto’s are expected to gain much more functionality like cross-play and purchasing cosmetic items in another game thanks to the crypto you earned playing something else.
But to understand the uniqueness behind gaming cryptocurrencies and the differences with regular crypto’s completely, we must explain how they work. See, a cryptocurrency doesn’t hold physical form whatsoever; contrary to the money we use in every day life. So how does it gain value?
Well, this mostly comes down to three things: Utility, Use Case, and Demand.
- Utility means the ability to use a cryptocurrency token for a purpose. If a cryptocurrency doesn’t have a proper purpose; something you can use it for, it is essentially worthless. So more utility = more value.
- Use Case follows up on utility and answers the question whether or not a token can be used in real life. If it can (and for what number of things), then the token’s value goes up. Now this is where the two cryptocurrency worlds diverge – gaming cryptocurrencies aren’t quite susceptible to real-world use, while regular ones are. More on this later!
- Demand is self-explanatory. The higher the demand, the higher the value. Demand is the last step in determining value behind a cryptocurrency (or anything in life really). If no one wants a specific cryptocurrency, then its value goes down and down. Two things happen here: Either the value drops completely and the token dies; or it gets picked up by people and who knows what happens afterwards.
You can find more info on this if you visit the Liquid blog!
Great; we now understand what cryptocurrencies are and what gives them value.
How Valuable are Cryptocurrencies in Gaming?
Gaming cryptocurrencies are valuable and sought for by the small community that wants them. This branch of cryptocurrency has been reported to be growing quickly so it’s safe to say that this trend will continue and their value increase.
This is where gaming crypto’s uniqueness comes into play. If we take a look at the three things that make up a crypto’s value, we can make an assumption. Gaming cryptocurrencies hold some form of utility; you can use the earned tokens for various different actions. In most games featuring gaming crypto’s, it is used as a method of evolving gameplay, or unlocking new items. This differs from crypto to crypto as each of them is one-of-a-kind.
Demand is strong as well; gaming cryptocurrencies are essentially newborn babies in the cryptocurrency world, so that makes them new and exciting. Demand is pretty strong right now and with more and more capability coming, I think it’ll only get better from here. So that gives value to them as well.
But what about the ‘use case’? You can’t really use gaming crypto’s in the real world now can you? They’re tied to a video game that you play on computer, and you still can’t translate the gaming crypto tokens into real money. How’s it possible then, that gaming cryptocurrencies are on such a rise, demand-wise and popularity-wise?
Simple: players reward themselves with what they earned to unlock new things! Think of people who just want to play GTA V with everything unlocked so they can cause mayhem in sandbox. They aren’t as interested in the story as they are in having everything. Others like to progress slowly and enjoy the moment when they finally achieve 100%! As far as gaming cryptocurrencies are concerned, each time you unlock a new part of the game – you feel great. And the great part about gaming crypto’s is that you can get the tokens just through playing the game!
What are the Most Popular Gaming Cryptocurrencies?
Some of the most popular cryptocurrencies in gaming are:
Don’t worry, we’re going into detail about each and every one of these gaming cryptocurrencies!
UnikoinGold is Unikrn’s flagship token. It is the largest and most popular gaming cryptocurrency out there and for good reason. Out of all of these, UnikoinGold has the most functionality, allowing you to bet on yourself and win, bet on others and win, deposit CSGO skins in return for UKG tokens, and much more. There’s plenty to do so it might be a bit confusing for a beginner but not to worry; once you get into it, it gets easy fast.
UnikoinGold is something Unikrn is immensely proud of and for good reason. So for someone who knows nothing about gaming cryptocurrencies and feel overwhelmed, here’s how the process goes. You can purchase UKG tokens on Unikrn for real money, but this isn’t the only way (which is, you’d agree, good). You can also exchange other cryptocurrencies for UKG tokens, or you can earn them for free by playing games.
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After that, these tokens end up in your Unikrn wallet and you’re set! Simple as that! UnikoinGold will keep expanding thanks to the everlasting support it receives from the Unikrn team. If it sounds exciting now, wait till we see how it’s gonna be later on!
If you ever played Pokemon in any shape or form, this gaming cryptocurrency might be exactly what would satisfy your crypto needs. EMONT is used as the main currency in a blockchain-based game called Etheremon. Now, it isn’t the same as Pokemon where you find and collect them in Pokeballs while on your adventures; in Etheremon, you need to purchase them with EMONT.
But it wouldn’t be a good game if it was that greedy, so the devs made it easy for the player. As long as you keep playing, you’ll keep earning EMONT over time. Though, as you progress throughout the game and increase your level, the rewards later on are scaled and thus, you earn less EMONT than previously. Also, for the time being, you can purchase monsters with Ethereum as well.
Remember when I said it’s not the same as Pokemon? Hah, fooled you! You don’t have to purchase ‘Mons’ (the monsters from the game); you can catch them in the wild! Having and using EMONT tokens is just an extra; and a pretty neat one at that! An exciting gaming crypto for sure.
EnjinCoin is simply infused with gaming. The well-known team behind one of Minecraft’s most popular addons has come through with a gaming cryptocurrency that’s quite unique. For those unaware, this team created ‘Enjin Network’; a simple and quick way to create a server for Minecraft and enable efficient trading between players. EnjinCoin currently doesn’t have vast capabilities when it comes to usage, but expanding them is the next step for the dev team. Right now, EnjinCoin is planned to appear in a couple of games including Forest Knight, War of Crypto, Bitcoin Hodler, and Age of Rust.
What this means is probably a similar system to EMONT’s will be used (earning this gaming crypto token in-game whilst also being able to spend it elsewhere). However, EnjinCoin isn’t known for the games it’ll appear in; no no. What EnjinCoin wants to achieve is a first. They want to provide the ability to trade in-game items between multiple different games. Think of it this way – a guy wants to buy your Fortnite skin but he doesn’t have a Fortnite skin himself. What he does have is a CSGO skin! And so, if you play CSGO and agree to the terms, you can trade these two items; even if there are two different games!
Of course, this level of functionality is still far away, but the EnjinCoin dev team is taking it step by step; as it should be.
Or, more precisely, Ether. Ethereum is the blockchain-platform Ether (the cryptocurrency token) is based on. Now, even though Ether isn’t necessary a gaming cryptocurrency, there is a multitude of such crypto’s that are based on the Ethereum blockchain. Sounds confusing? Don’t worry; it’s not.
Here’s the deal. When blockchain tech first entered the world, it caused a sonic boom throughout the industry and a delayed one at that! However, once blockchain’s potential was discovered, proven, and expanded upon – the cryptocurrency world has gotten larger. Without the Ethereum blockchain, many gaming crypto’s wouldn’t exist today. But the hope is that each of them has their own, unique but effective blockchain tech.
Oh, and Ethereum is open-source so that means it’s free-for-all!
The second true gaming cryptocurrendy in our list, EOS represents the next step forward in crypto technology. It is not alone in this endeavor and it is surely not the last one. Such ideas pave the way for future blockchain and cryptocurrency technology so we’re excited to share this one with you!
EOS is a smart-contract platform; meaning it can be used for things other than games. Mind you, EOS does host a couple of games but only one stands out from the rest – EOS Knights. In EOS Knights, you progress through a story, collecting as many materials as you can along the way. You’ll level up, craft items for yourself, and trade with others. Think of it like Runescape but on a smaller scale (much smaller at that).
Still, EOS Knights is considered top dog in the crypto gaming world. One advantage it has over others is full mobile-optimization. So grab your phone and start playing! Oh anything you need to purchase in-game is done so with the EOS cryptocurrency. This also makes for a stable cryptocurrency system and a constant value.
As we go through the gaming cryptocurrencies list, it is obvious that this aspect of life has kept increasing development speed. Sure there are hiccups along the way, but it’s rewarding when you finally finish something.
TRON is a platform similar to EOS; the difference being its purpose. While EOS is more gaming-oriented, TRON is more entertainment-oriented. This does include gaming as well, and one TRON Platform game exceeded all expectation.
TRON Legend is a multiplayer RPG game where the premise is racking up those numbers. Make way and collect heroes, upgrade them, make some enchanted items, fight bosses and monsters and even fight other players! The numbers are promising, even if they sound relatively small (around 2,500 recurring players every month).
So why is this gaming cryptocurrency something to look out for? Well, on top of everything beforementioned – you also use the TRON cryptocurrency to trade with others or pay the transaction fees.
Ah Bitcoin, the prodigal son of cryptocurrencies. Or father should I say. Bitcoin is the most well-known cryptocurrency in the world and was at one point on the top of the food chain. Big Kahuna of the crypto world.
Well, it took a few tumbles and turns but Bitcoin is still here, leaving impressions on adventurous individuals looking to start their own cryptocurrency.
Back on point: Why is Bitcoin such a staple name, even in gaming? It helps that it was the first massive-scale cryptocurrency in the world. When everyone saw how useful it was, some technologies changed to accompany that. Today, there are many Esports betting sites that accept Bitcoin, but not just them. If we were to take a really deep dive into Bitcoin and gaming, it would take another article. So that’s something to look forward to in the future!
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As for now, Bitcoin is simply versatile, relatively simple to come-by even if you’re a newcomer to crypto’s, and widely-accepted. Though nowadays, the competition is fiercer than ever before! Bitcoin will have to keep on trucking if it wants to stay relevant for years to come.
No, not the gaming platform Steam; Steem. Steem was originally meant to be a cryptocurrency specific to social networks, but during development, the original plan changed. And quite drastically might I add. The devs saw the opportunity and grabbed it with both hands; the Steem blockchain now featured a digital collectible card game titled SteemMonsters.
This is a simple game which can be nice and relaxing, except when you lose to others. Just joking! There are constant tournaments that you can participate in and fight for the grand prize of Steem! Obviously, you use the Steem token to purchase monster packs.
There are more than fifteen thousand games of SteemMonsters played every day. This fact is astonishing because it shows just how far gaming cryptocurrencies and platforms have come. Here’s hoping they’ll last for a long time!