Play-to-earn Gaming on the rise, Investors are optimistic for the Industry’s future

As crypto continues to grow the term “DeFi” has become one of the keywords that is synonymous with the industry. However, Game-based Finance (GameFi) is slowly gaining traction as play-to-earn gaming has come to the market. According to crypto data tracker, DappRadar, almost 50% of active crypto wallets connected to decentralized applications are meant for playing games. 

The hype surrounding play-to-earn gaming was started by the popular game “Axie Infinity”. The world allows individuals to earn money through PVP battles, selling, and lending digital assets. The amount of players has steadily risen over the past months as crypto enthusiasts have become avid gamers through Axie. 

“We see around 80-100 million transactions in games daily,” said Pedro Herrera, senior data analyst at DappRadar. “It’s just impressive to see the evolution that blockchain games have experienced this year.”

The servers for Axie Infinity have seen over 100,000 players every 24 hours, according to DappRadar. The past few months have seen a boom in these blockchain games as there are currently over 1,200 of them in the market. The top five gaming digital applications have seen a total investment of more than $14 billion. Axie in particular has seen massive success when it comes to its NFT as an AXS has jumped to about $102 from 53 cents at the start of the year.  

A common phenomenon in these play-to-earn games is for individuals to have ‘scholars’ use their funds to play the games for them. What this means is one party provides the funds necessary to play the game, while another plays and attempts to increase their lender’s initial investment. 

According to Michael Bohnen, owner of the EOSUSA marketing firm, the potential to earn in gaming spaces is larger than that of the DeFi space. 

“There’s much more opportunity in the gaming space than there is in the DeFi space. There’s only so many banks, but there’s always a brand new game of the week. It’s much more of an expansive space in my opinion. There’s more opportunity to potentially make money,” said Bohnen. 

Source: Business World