Play and Earn: How the GameFi Industry Will Change the World of Traditional Finance
The GameFi sector continues to rapidly evolve and reshape the world of traditional finance. And if earlier the main tools for making money on cryptocurrencies were trading and investments, today you can get a reward in cryptocurrency for completing tasks in a computer game. How GameFi works today and what the sector will face in the future, consider the example of the Cypherpunks project.
Second life of NFT tokens
The creation of non-fungible tokens has become the main trigger for the development of the gaming finance market. In fact, their appearance closed the circle into a single NFT-DeFi-GameFi-Metaverse system and contributed to the creation of a new digital economy that actively uses gamification technology.
For the first time, NFT tokens appeared back in 2017. Then the NFTs themselves, in terms of both graphics and game mechanics of projects such as crypto-cats or crypto-sharks, were as primitive as possible. The first NFT wave came to naught due to the poor understanding of the community about its potential and insufficient attention to the quality of implementation. Technology and non-fungible tokens were forgotten until 2021 when there was a real NFT boom.
“Oddly enough, we started working with NFTs back in 2018, and their place in the proposed project was wider than the usual essence of modern NFTs, I think you could compare it with NFTs in modern games, but included in the real world … The concept has been postponed for now, but sooner or later it will be implemented. Now we have made a limited collection of cypherpunks and wanted to draw attention to the historical component of cypherpunk culture through the wave of popularity of NFT. At that time, there was something unusual and difficult for the average layman – now it is a whole industry of cryptocurrency and blockchain that has forgotten its history,” explains the founder of the Cypherpunk project.
Today, the original Cypherpunk collection has 30 unique NFTs traded on the OpenSea marketplace. The issuing company adds one unique token weekly, the value of which grows proportionally: from the cheapest to the most expensive. The last of the added tokens were sold for 6.15 ETH.
“The development of the GameFi industry is greatly expanding the usability of NFT tokens. Now they can be used not only as game avatars but pumped, exchanged or sold. Users can receive additional rewards through systems similar to user loyalty systems,” said founder M. Kubrick.
This winter, the company will release two more collections of NFT tokens that will be used in the new Play-2-Earn game, which is scheduled to launch in 2022. You can sign up for a whitelist to be the first to purchase NFTs.
Cyhperpunk collection consists of 30 NFTs eligible to generate nodes in the blockchain, one of the last stages and most ambitious goals of the project.
Cypherpunk: rebels contain 3,000 tokens. The sale of the NFT collection starts on December 15th. The owners are directly involved with the functional collection in the “Devouring pool”. Inclusion in the “founder’s bonus” pool, at the stage of node formation.
Сypherpunk: anarchist has 30,000 tokens. Each user will be included in the “conceptualist” pool at the stage of forming the network of nodes.
Each NFT will be a unique character in the game, with a ranking system depending on the rarity of the collection.
How Paly-2-Earn games will show and drag us into the processes taking place in the world of finance
In addition, Cypherpunks is preparing to release its own stablecoin and two currency indices, which will be integrated into the new Play-2-Earn game.
The Reverse USD index will reflect the devaluation of the dollar as a currency towards itself.
“We can accurately measure and track how and at what rate the US dollar loses its initial value relative to itself. After all, the value is trust in the current government and the US economy. If now we see (take figurative values) that confidence in the dollar is equal to 100 units, then with the same certainty we can say that the value of 110 is 10% more, the advance of 10% is an understandable advance, but there is a simple conclusion that it is higher than 100% of the advance is already forced connivance. The advance payment of 100% was passed a long time ago, we give one more chance and start counting over again”, commented M. Kubrick.
The CexToDex index will reflect the process of transition of the outdated centralized financial system to the new decentralized one.
This index has a numerical value, the ratio is representing the total value of values in two areas denominated in dollar values. Fiat currencies and derivatives are valued essentially in themselves or in the base currency of the US dollar. This indicator has an understandable nature and its growth is commensurate with the progress and general development of human society. There is also a process, the essence of which is partially described in the information accompanying the Reverse USD index can be described as an uncontrolled process of devaluation of common values due to the devaluation of the currency in which almost everything in our world is now denominated. We will change this approach.
Algorithmic stablecoin based on the Reverse USD index.
USDR is a token whose price is the expression of the Reverse USD index. A person issuing USDR from USDT receives the number of tokens corresponding to the index coefficient. For example, if the index reflected a 10% drop in the value of USD, this means that the rate became 1 USDT to 0.9 USDR, but with the reverse exchange at the same moment, 0.9 USDR will be changed to 1 USDT. The pool is closed within the USDT-USDR exchange, the usual dollars will always be available for withdrawal. The amount of USDT backing USDR will always provide an equivalent exchange in the opposite direction, and if a person puts 1 USDT into the pool, he will receive 1 USDT back, even if the USDR rate is 0.1 $.
The GameFi sector will continue to reshape the traditional finance sector, creating a new digital economy. In-game finance opens up unlimited opportunities for receiving rewards for simple actions: completing game stages, pumping and selling an avatar, and more. In the future, this sector will continue to evolve and will contribute to the formation of entire gaming metauniverses. In a sense, play is a stage of awareness and transition for the entire community, allowing it to attract attention and, at the same time, identify the tasks and goals of the general movement. The game is not only a game but a new reality capable of projecting into life what is right and fair in relation to everyone.