What is GameFi? How to invest and P2E (Play-to-Earn)?

What is GameFi?

The full name of GameFi is Game Finance, and Chinese is gamified finance. Combining games, decentralized finance (DeFi) with non-fungible tokens (NFTs), players can get rare NFT rewards while gaming, NFTs have ownership to ensure the value of GameFi items, and players can make money by trading NFTs in DeFi.

Invest in GameFi with BingX

What does GameFi have to do with DeFi ?

GameFi can be counted as a subset of DeFi, because it is all in the financial field.

The most popular game at the moment is AXIE. A large part of the reason for its popularity is that playing games can make money, that is, playing to earn, through early investment, and then playing games every day to get a certain profit.

This is essentially no different from DeFi’s liquidity mining. Liquidity mining is to provide Token staking to obtain rewards. In the play-to-earn type of games, you purchase various game NFTs in the early stage, and then spend a certain amount of time playing games every day to earn income, which is similar to APY (Annual percentage yields deposit annual interest rate ) in liquidity mining.

Sign up on BingX for free

How is GameFi different from traditional games?

1. Play-to-Earn

Play-to-Earn earning while playing is the core element in GameFi, which is also the biggest difference from traditional games. Assets in traditional games can only be used in the same game, unless you sell the entire account to cash out, otherwise in most cases, in-game assets cannot be exchanged for profit; players can use Play-to-Earn, trade the collected assets or NFT circulation market into cryptocurrencies, and then exchange them for cash or value investment. A game that makes money will surely attract more players to continue to participate and attract more players to join, so that the value of GameFi will continue to increase.

2. Game assets traded without borders

The props collected and obtained in the GameFi world can be made into NFTs for sale; after turning the props into NFTs, they have the unique ownership of the NFTs. In addition to selling the collected NFTs in the in-game Marketplace, players can also put them on the NFT. It is sold on some NFT platforms and traded into ether to make money or long-term investment. Compared with traditional games, the assets of the GameFi world have the ability to bring long-term profit value.

3. Earn interest by staking

Since NFT is a valuable asset, valuable NFT items can become collateral for other DeFi platforms, allowing players to stake their NFT assets to loan; Game tokens earn interest returns.

Invest in GameFi with BingX

How to play GameFi?

GameFi has not only changed the traditional game world, but also provided more new ways and opportunities for DeFi, which has not been innovative for a long time. On the basis of integrating the fun of games, GameFi provides methods such as liquidity mining, as well as the popularity of the secondary trading market, which brings more possibilities to ordinary users. So what are the ways for ordinary users to participate in GameFi?

1. Participate in GameFi games

First, you can experience participating in these GameFi projects. These NFT games can give players the opportunity to obtain corresponding token rewards, staking rewards or prop NFTs in different design mechanisms.

2. Invest in GameFi cryptocurrency

Different projects usually issue tokens that need to be used in their own games, and you can choose some of the project’s tokens for investment according to your own value judgment and interest preferences. In addition to the blockchain game project itself, you can also pay attention to some institutions or teams serving GameFi, and whether the distribution of tokens has investment value according to their development scale and prospects.

The popularity of GameFi may be an inevitable product of the maturity of DeFi and NFT products. It is making the next generation of encrypted assets integrate financial attributes, fun and make it a trend, bringing a new imagination to blockchain games and even the metaverse. You can use the Bing X app to “buy/sell — spot – metaverse” or click here to invest in GameF cryptocurrency, and then recharge it to the cryptocurrency wallet after purchase Play and earn while participating in GameFi games. BingX has now listed many cryptocurrencies in the GameFi sector with investment potential. We will screen the investment targets for you. You can learn more about the BingX cryptocurrency market.

Invest in GameFi with BingX

What is the Metaverse?

The 2018 film Ready Player One tells such a story. In 2045, a teenager discovers the clues of the virtual online game “Oasis” (OASIS) and clears the levels step by step to become the winner, get the ownership of the game and inherit the $500 billion legacy of the game creator as a reward. The film shows us that entertainment, work, and creation in the metaverse will be a way of life in the future.

Metaverse = meta (meta, transcendence) + verse (universe), that is, a new universe beyond the existing world, a more free virtual world. That is, to build a 3D virtual space on the Internet, which is interconnected with all aspects of the user’s life. It connects to multiple platforms, just like the web connects to different websites through a single browser. The metaverse is a brand new virtual world. Humans exist as virtual images and enter this world through VR devices. The metaverse is more free than the real world and more atmospheric than the existing Internet, and users and others can have various interactions that are closer to life scenarios.

Invest in Metaverse with BingX

How to play the Metaverse?

You can create a virtual identity in the Metaverse. You can create a personalized avatar (Avatar) and give it a blockchain domain name.
You can work, socialize, and play in the world of the Metaverse. You can wear VR glasses and headsets, have a meeting in the world of the metaverse, and after the meeting, you can play a blockchain game to relax, and then click “BingX” to manage your cryptocurrency assets and share today’s investment income. Perhaps it is the “metaverse way of life” for each of us in the future.

You can start by investing in Metaverse crypto assets. If you want to capture the opportunity of the metaverse in advance, investing in crypto assets, such as buying cryptocurrencies in the metaverse sector, will be the fastest way to participate.

Open BingX’s Account for free

How to invest in the Metaverse?

At present, the metaverse is still under construction. With the continuous popularization of augmented reality hardware, faster communication networks, and the construction of Web3, the metaverse will truly usher in an upsurge, and the boundaries between virtual and reality will become more blurred.

The universe involves multiple assets, and users can own items in this virtual world, including land, artwork, trademarks, and more. NFT (Non-fungible token) enables the ownership of these assets to obtain a unique “private property confirmation”. Make virtual assets into personally owned assets, and make you truly the sole owner of these assets. Cryptocurrency is used as the currency of the metaverse to pay for the consumption of metaverse assets.

Taking the metaverse platform Decentraland as an example, if you want to invest in Decentraland’s metaverse asset “Land”, then you need to pay with the platform’s “MANA”. The price of the plot as shown in the figure is 4200-4299 MANA.

How to invest in the Metaverse bingx

You can buy MANA through the BingX platform, through the app “Buy/Sell–Spot-Metaverse” or click here to choose to buy “MANA” cryptocurrency, and recharge to Cryptocurrency wallet to buy Metaverse assets. BingX has listed many cryptocurrencies in the metaverse sector with investment potential. We will screen investment targets for you. You can learn more about the Bing X cryptocurrency market.

Invest in Metaverse with BingX

What is Web3?

With the gradual improvement of encryption infrastructure, we are gradually moving towards Web3 and the sea of ​​stars in the metaverse. So, what is Web3? What kind of infrastructure does Web3 need? What is the relationship between Web3 and blockchain?

Looking at the development of the Internet, the current most concise definition of Web3 is:

Web1: Read

Web2: Read + Write (Read + Write)

Web3: Read + Write + Own (Read + Write + Own)

From the above comparison, we can understand that the biggest difference between Web3 and Web1 and Web2 eras is “Own”. Think about it, in the Web1 era, we could only browse information on the web, and the computers and mobile devices at that time were still huge.

In the Web2 era, we began to seamlessly share and interact with various information online, but at this time, we are all controlled by several unified Internet giants, and data privacy leaks often occur, so we will usher in the Web3 era in the future.

Looking back at the development of the Internet, Web1 gathers information, Web2 connects human beings, and the key to Web3 is the user’s data ownership, and the ownership of data requires the help of blockchain, which can realize trustless, permissionless, and user-controlled. This is why when people talk about Web3, they need to talk about blockchain. There are also many projects that are constantly exploring on the road of Web3.

Invest in Web3 Tokens with BingX

Why develop Web3?

Maybe you think that today’s Internet is convenient and efficient enough, and the accessible network information and various mobile applications have made life smart enough. Why develop Web3.

In fact, our current Internet is an Internet monopolized by technology giants. It is not “free” enough. Ordinary people have not gained their due benefits from this Internet revolution, that is, you spend every day on mobile applications. You don’t get a corresponding time reward when these apps capture your user data and habits. On the contrary, you are helping the algorithm understand you more intelligently. People often complain about a topic that day, and the shopping APP and short video APP start to push relevant content in the evening. This is the scary point of Web2.

How do we find a more “free” Internet? Thus, Web3 came into being.

What is “freedom”, here refers to the characteristics of Web3. Web3 is a natural anti-monopoly. Based on decentralized blockchain technology, it ensures that no giant can master all users’ data alone. Instead, user privacy is protected through encryption technology, code is open source, governance is open, and transactions can be checked.

Register on BingX for free

How to invest in Web3?

Web3 is a decentralized web world. Decentralization is the characteristic of cryptocurrency or blockchain, so the most direct way to invest in Web3 is to invest in Web3-related cryptocurrencies.

The BingX team will continue to list Web3’s most popular cryptocurrencies worth investing in. You can click “Buy/Sell – Spot – Web3” on the BingX app or click here to invest Currently the most noteworthy Web3 track.

Invest in Web3 Tokens with BingX

What is DeFi, staking and liquidity mining?

What is DeFi?

Decentralized Finance (DeFi for short) is a kind of finance built on the blockchain. It does not rely on financial institutions such as brokerages, exchanges or banks to provide financial tools, but uses smart contracts on the blockchain. (e.g. Ethereum) for financial activities. DeFi platforms allow people to lend or loan funds to others, trade cryptocurrencies, and earn interest in savings-like accounts.

Invest in DeFi Tokens with BingX

What is the difference between DeFi and traditional finance?

Decentralized finance (DeFi) is opposite to centralized finance (CeFi), which is the most common financial institutions in our daily life, such as funds, securities, banks, and insurance. Traditional financial institutions need to verify the credit limit of financial service objects through information verification, and whether it is saving or loaning, we all need traditional financial institutions as “middlemen”. As a result, the liquidity efficiency of funds is reduced, and the risks are also reduced. more uncontrollable. DeFi uses the blockchain to verify the user’s on-chain identity. Anyone can use digital assets to participate in smart contract agreements to complete loans and transactions, without the need for a “middleman”, improving the liquidity of funds and increasing users’ profits.

Invest in DeFi Tokens with BingX

How to play DeFi?

Compared with the traditional financial world, DeFi is more fun. You can complete the activities supported in the traditional financial world on the blockchain, but it is faster, does not require paperwork and third parties, and only needs to prepare cryptocurrency and encryption. All you need is your wallet. Let’s introduce the four most common decentralized financial services in the DeFi world.

1. Liquidity mining

You can participate in DeFi platform interaction or provide liquidity (such as trading on the platform, mortgage assets, lending, loaning), and you can get the cryptocurrency issued by the platform as a reward.

2. Automatic market maker

Automated Market Maker (AMM) is a decentralized exchange (DEX) protocol that uses mathematical formulas to price assets. You do not need to have a counterparty (another trader) on the other side to trade. Instead, you interact with a smart contract, which “creates” the market for you.

3. Staking

You can put cryptocurrencies on the platform and lock them up, and you cannot use the funds during this period, and you will receive corresponding cryptocurrency rewards after redemption at maturity.

4. Loaning

You can try lending services in the liquidity trading pool. Borrowers and lenders loan through the liquidity trading pool. The interest rate of each loan and loan is determined by the liquidity of the trading pool, that is, the total demand of the borrower and the currency of the lender. The volatility ratio of the total amount determines that through such a mechanism, the lender earns more interest and the borrower pays less interest.

Invest in DeFi Tokens with BingX

The current main ecology of DeFi

1. Stablecoins

Stablecoins are centralized stablecoins backed by fiat currency as collateral, backed 1:1 by fiat currency in bank accounts. Most stablecoins are pegged to the US dollar, such as the common USDT, USDC, etc.

2. Transaction layer

With the development of DeFi, the performance problem of public chains has become increasingly prominent, especially Ethereum. Therefore, at the transaction level, many public chains are actively exploring solutions, including Layer 1 and Layer 2. Layer 1 is basically to fundamentally improve the efficiency of the public chain, while Layer 2 is to improve the efficiency of Layer 1 (Ethereum network).

3. Crypto Wallets

As one of the most important components of the DeFi ecosystem, the wallet is regarded as the browser of the DeFi world, through which we can use various Dapp applications.

4. Decentralized trading platform

The Automated Market Maker Protocol (AMM) provides liquidity algorithmically, with buyers and sellers drawing liquidity directly from smart contracts and getting quotes based on the required number of tokens and available liquidity. Therefore, it is more like a “currency exchange” than an “exchange” in operation. The most special aspect of the automated market maker agreement is that anyone can become a market maker by providing funds and earn fees from third-party transactions.

5. Decentralized Lending

There are many DeFi platforms that can directly loan and lend Ethereum tokens through smart contracts, a feature of these smart contracts is that the borrower does not need to find a lender, and vice versa. Instead, smart contracts replace the role of the middleman, and interest rates are calculated algorithmically based on supply and demand.

6. Aggregate Transaction Protocol

In a DeFi ecosystem, there is usually not only one decentralized exchange (DEX). There are more than 20 trading platforms in the Ethereum ecosystem, which means that the liquidity of assets will be dispersed everywhere. The function of the aggregated trading platform is to help users capture the best price on each platform and complete it in one transaction, minimizing the user’s price slippage.

The above is a brief introduction to DeFi. DeFi will bring more liquidity to the cryptocurrency market. You can invest in DeFi through the BingX platform to unlock a forward-looking understanding of the market.

Invest in DeFi Tokens with BingX